1. Who Works Minimum Wage Jobs? 1

2. Who Works Minimum Wage Jobs (U.S.) Federal minimum wage is $7.25 per hour (since 2009). Nationally, 2,992,000 workers are at or below minimum wage. Employers may pay tipped employees a minimum of $2.13, as long at the tips raise the hourly earnings to $7.25. Tip credit wage has been $2.13 since 1996. Oregon does not allow for a tip credit. Seven states do not allow tip credits, including California, Washington, and Nevada. 1,737,000 workers have wages below minimum wage due to the tip credit and other provisions. That’s 58% of workers at or below minimum wage. 2

3. Who Works Minimum Wage Jobs (U.S.) Minimum wage workers are more likely to be women 63% are women (50% of all workers) 37% are men (50% of all workers) Women are more likely to be at or below minimum wage 4% of all workers earn minimum wage 5% of employed women 3% of employed men 3

4. Who Works Minimum Wage Jobs (U.S.) The median age of minimum wage workers is about 25 years. Minimum wage workers tend to be young. 21% are 16-19 years (5% of all workers are 16-19 years) 27% are 20-24 years (14% of all workers are 20-24 years) 22% are 25-34 years (23% of all workers are 25-34 years) 11% are 35-44 years (19% of all workers are 35 to 44 years) 9% are 45-54 years (20% of all workers are 45-54 years) 7% are 55-64 years (14% of all workers are 55-64 years) 3% are 65 years and older (4% of all workers are 65+ years) Younger workers more likely to be at or below minimum wage. 15% of employed teens 16-19 years 7% of employed young adults 20-24 years 3% of employed ages 25 years and older 4

5. Median age of minimum wage workers is about 26 years for women and about 24 years for men. 5

6. Who Works Minimum Wage Jobs (U.S.) There is little difference by race and ethnicity in the percentage of workers at or below the federal minimum wage. 4% of White and Black workers earn minimum wage 3% of Asian and Hispanic or Latino workers earn minimum wage 6

7. Who Works Minimum Wage Jobs (U.S.) Minimum wage workers tend to be part-time (usually work fewer than 35 hours per week). 65% are part-time (27% of all workers) 35% are full-time (73% of all workers) Part-time workers are more likely to be minimum wage 10% of all part-time workers. 2% of all full-time workers. 7

8. Who Works Minimum Wage Jobs (U.S.) Minimum wage workers by education (16 years old and older): 23% have less than high school (12% of all workers) 31% high school graduates, no college (34% of all workers) 30% some college, no degree (23% of all workers) 7% associate degree (12% of all workers) 9% bachelor’s degree or higher (18% of all workers) Those with higher educational attainment are less likely to be at or below minimum wage. 7% of workers with less than a high school education 4% of high school graduates with no college 5% of those with some college, no degree 2% of those with an associate degree 2% of those with a bachelor’s degree 8

9. Who Works Minimum Wage Jobs (U.S.) Two out of three workers at or below the minimum wage are in service occupations. Half of all minimum wage workers are in food preparation and serving related occupations. 50% are in food preparation and serving (9% of all workers) 14% are in sales and related (10% of all workers) 7% are in transportation (8% of all workers) 6% are in personal care and service (4% of all workers) One out of five food preparation and serving workers is at or below the minimum wage. 21% of food preparation and serving occupations 6% of personal care and service occupations 5% of sales and related occupations 9

10. To find this presentation online, go to www.QualityInfo.org and use the search box to look up my name Join the conversation: OregonEmployment.blogspot.com Twitter @OrEmployment Nick Beleiciks, State Employment Economist Oregon Employment Department Nick.J.Beleiciks@Oregon.gov Nick.J.Beleiciks@Oregon.gov (503) 947-1267