North Carolina Wage and Hour Laws

Both federal and state law protect workers in North Carolina. The North Carolina Department of Labor (NCDOL) enforces the Wage and Hour Act and other state and federal laws on wage payment and other employment matters. Workers with complaints about unpaid wages or other concerns can file with the NCDOL or contact a North Carolina employment law attorney.

North Carolina Wage and Hour Laws

The North Carolina Wage and Hour Act outlines the state’s laws regarding wages, pay periods, and other employment laws. North Carolina law provides little additional protection beyond the federal Fair Labor Standards Act (FLSA).

Wages and Overtime

North Carolina’s minimum wage is $7.25 per hour, which matches the federal minimum wage. Under North Carolina’s law, “wages” includes hourly pay, bonuses, vacation pay, and other promised wages or compensation described in the employee’s hiring agreement or contract. Employers can pay more than the minimum wage, but not less.

Tipped employees can receive $2.13 per hour as long as their combined wages and tips equal the hourly minimum wage of $7.25. Employers must notify tipped employees in advance of their intention to use a tip credit when using this method.

North Carolina allows tip pooling, but imposes a strict 15% cap. This means employees must retain at least 85% of their own tips. Only front-of-house workers (waitstaff, bussers, bartenders) can receive tips.

Overtime pay is calculated on any hours worked over 40 hours per week, not hours per day. Overtime is paid at one-and-one-half the employee’s regular rate of pay. Some salaried employees are entitled to receive overtime pay if they meet certain requirements. Independent contractors, executives, and some volunteer workers are exempt from overtime requirements.

Meals, Breaks, and Sick Leave

The North Carolina Wage and Hour Act doesn’t require private employers to provide sick leave or paid break time. If an employer agrees to provide paid meal breaks or leave and then fails to do so, employees can file complaints with the N.C. Department of Labor to enforce the contract.

The Federal Family and Medical Leave Act (FMLA) guarantees all eligible employees up to 12 weeks of unpaid leave in any 12-month period to care for their own serious illness or that of another family member, or following the birth or adoption of a child. To be eligible, an employee must have worked 1250 hours for a covered employer in the preceding 12 months.

Employers are not legally required to give workers time off to vote. North Carolina prevents employers from demoting or firing employees who serve on a jury.

Child Labor

All minor workers must obtain a Youth Employment Certificate before they can begin work. Children under 14 are prohibited from working in most public and private employment. Minor workers can begin non-agricultural employment at age 14. Minors under 18 can’t work in dangerous or “detrimental” occupations.

When school is in session, 14- and 15-year-old students can work up to three hours per day on school days, to a maximum of 18 hours per workweek. They may work only between 7 a.m. and 7 p.m. Children aged 14 and 15 must receive a 30-minute break after five hours. Students aged 16 and 17 can’t work between 11 p.m. and 5 a.m. if school is the following day without written authorization from their parents and the school principal.

When school is not in session, minors may work up to eight hours per day, to a maximum of 40 hours per week. Evening hours are extended to 9 p.m. Summer is considered June 1 through Labor Day.

Pay Periods and Final Paychecks

Private employers can choose the pay period, whether they want to pay daily, weekly, semi-weekly, or monthly. Employers must notify employees of all deductions from wages or changes to their paychecks. Employees can find all wage and hour regulations on the state department of labor website.

Bonuses, commissions, and other promised benefits are considered wages. They don’t need to be paid on each regular payday, but they must be paid according to the employer-employee agreement. For instance, if the agreement was that bonuses would be paid monthly, they must appear on the final check each month.

Employers must pay final paychecks on or before the next regular payday. Bonuses and commissions must be paid on the first regular payday after they are calculated.

Research the Law

• North Carolina Law – Information about North Carolina statutes, including those pertaining to criminal, family, employment, and injury law
• Official State Codes – Links to the official online statutes (laws) in all 50 states and DC

North Carolina Wage and Hour Laws: Related Resources

• State Pay Day Requirements
• North Carolina Pay Day Requirements
• North Carolina Whistleblower Laws

You work hard for your money and deserve every penny owed for every hour worked. If you’ve been denied overtime or aren’t getting paid what you’re owed, you have legal options. Learn about your rights by contacting a North Carolina employment law attorney. They’ll examine your situation, explain your options, and provide legal guidance every step of the way.