North Carolina . Wage & Hour . Updated April 2026

North Carolina enforces federal minimum wage of $7.25 with absolute state preemption.

North Carolina law explicitly adopts the federal minimum wage of $7.25 per hour by reference. Crucially, N.C.G.S. section 95-25.1(d) establishes state preemption, preventing any city, county, or local government from enacting their own minimum wage ordinances. This means employers across the state operate under a single, consistent minimum wage floor.

State Minimum Wage
$7.25/hour
Tipped Wage
$2.13/hour
Local Ordinances
Blocked by Preemption
Active

Federal $7.25 Floor Enforcement

Ensures all non-exempt employees in North Carolina receive at least the federal minimum wage, with state law explicitly preventing local variations.

Blocks local wage ordinances
Applies federal minimum wage
Always running

What those rules do as a North Carolina shift is created.

Teambridge's compliance engine continuously monitors and applies North Carolina's wage and hour rules in real-time. From the moment a shift is scheduled, our system ensures adherence to the state's minimum wage floor and preemption mandates, preventing common errors before they occur.

Block Local Wage Overrides

Any attempt to set a minimum wage below $7.25 or to apply a higher local minimum wage (if one were to be proposed) is flagged and prevented, upholding state preemption.

Ensure Federal Floor

For all non-exempt hours worked, Teambridge verifies that the effective hourly rate meets or exceeds the federal $7.25 minimum wage, adjusting pay calculations automatically if necessary.

Tipped Wage Compliance

Monitors tipped employee wages, ensuring the $2.13 hourly rate combined with tips meets the $7.25 federal minimum wage, and flags any potential shortfalls.

Stop worrying about North Carolina compliance.

Let Teambridge handle the complexities of North Carolina's wage and hour laws, so you can focus on your business.

The rule, plainly stated

North Carolina adopts the federal minimum wage and prohibits local variations.

The North Carolina Wage and Hour Act (NCWHA) explicitly links the state's minimum wage to the federal standard. This means employers must pay non-exempt employees at least the federal minimum wage, currently $7.25 per hour. A critical aspect of this law is the strong state preemption clause, which prevents any local government from setting a different minimum wage.

N.C.G.S. § 95-25.3. Minimum wage.

(a) Every employer shall pay to each employee wages at a rate of not less than six dollars and fifteen cents ($6.15) per hour or the minimum wage set forth in the Fair Labor Standards Act, 29 U.S.C. 206(a)(1), as amended, whichever is greater.

N.C.G.S. § 95-25.1. Definitions.

(d) No unit of local government may establish or mandate a minimum wage greater than that established by G.S. 95-25.3.

Federal Minimum Wage Adoption

North Carolina's minimum wage law, N.C.G.S. § 95-25.3, directly incorporates the federal minimum wage by reference. This ensures that as the federal minimum wage adjusts, the state's minimum wage automatically follows suit without requiring separate state legislative action. Employers are required to pay the higher of the two, though currently, the federal rate of $7.25 per hour is the operative floor.

State Preemption of Local Ordinances

A defining feature of North Carolina's wage framework is its robust state preemption clause, N.C.G.S. § 95-25.1(d). This statute explicitly prohibits any city, county, or other local governmental unit from enacting a minimum wage that exceeds the state-mandmandated rate. This provision ensures statewide uniformity in minimum wage requirements, simplifying compliance for businesses operating in multiple jurisdictions within North Carolina.

On autopilot

Teambridge ensures North Carolina minimum wage compliance, automatically.

Our platform integrates directly with North Carolina's wage and hour statutes, providing continuous, real-time compliance. From scheduling to payroll, Teambridge automatically applies the correct minimum wage, flags potential violations, and keeps you updated on any legislative changes, all without manual intervention.

01 . Schedule

Pre-shift Wage Validation

Before a shift even begins, Teambridge verifies that the scheduled pay rate for non-exempt employees meets or exceeds the current $7.25 federal minimum wage, preventing underpayment from the outset.

02 . Clock-in

Real-time Rate Check

Upon clock-in, the system confirms that the employee's applicable hourly rate aligns with the federal minimum wage, accounting for any specific job codes or roles.

03 . Payroll

Guaranteed Minimum Earnings

During payroll processing, Teambridge calculates actual earnings against total hours worked, ensuring that all non-exempt employees receive at least $7.25 per hour for all hours, adjusting for any tip credits if applicable.

04 . Updates

Legislative Change Monitoring

Our system continuously monitors for federal minimum wage changes. Should the federal rate increase, Teambridge automatically updates your compliance settings, ensuring immediate adherence without manual updates.

FAQ

People also ask.

What is the minimum wage in North Carolina?
The minimum wage in North Carolina is $7.25 per hour, which is the current federal minimum wage. North Carolina law explicitly adopts the federal rate by reference.
Can cities or counties in North Carolina set their own minimum wage?
No, North Carolina law (N.C.G.S. section 95-25.1(d)) includes a strong state preemption clause that prohibits any local government from establishing a minimum wage greater than the state-mandated rate.
Does the North Carolina minimum wage apply to tipped employees?
For tipped employees, the direct wage is $2.13 per hour. However, their total earnings from wages and tips combined must meet or exceed the federal minimum wage of $7.25 per hour. If not, the employer must make up the difference.
What happens if the federal minimum wage changes?
Because North Carolina law adopts the federal minimum wage by reference, any change to the federal rate automatically becomes the minimum wage in North Carolina without requiring separate state legislation.
Are there any exemptions to the minimum wage in North Carolina?
Yes, certain employees are exempt from minimum wage requirements, including executive, administrative, and professional employees (FLSA white-collar exemptions), outside salespersons, and certain seasonal amusement or recreational establishment employees. Specific rules apply.
What are the penalties for violating North Carolina's minimum wage law?
Employers found in violation of the NCWHA may be liable for unpaid wages, liquidated damages equal to the unpaid wages, and mandatory attorney fees and court costs. The NC Department of Labor can also assess civil penalties.