LAS VEGAS (FOX5) -- Nevada's minimum wage will increase starting July 1, 2020, the Office of the Labor Commissioner reminded Nevada employers in an email message on Tuesday.
Per Assembly Bill 456 passed in 2019, the minimum wage will increase by 75 cents annually through 2024 for a total increase of $3.75 over five years.
Starting July 1, the minimum wage rate is $8.00 per hour if the employee is offered qualifying health benefits, and $9.00 per hour if the employee is not offered qualifying health benefits.
An increase in the minimum wage will also increase the daily overtime rates for the same period beginning July 1, except for those employees exempted from overtime requirements.
Employees in Nevada who earn more than one and one-half times the minimum wage for both tiers -- $12 per hour for those offered health benefits and $13.50 per hour for those not offered health benefits -- are eligible for overtime at one and one-half times their regular rate of pay for over 40 hours of work in a week.
For employees that earn less than the amounts listed above, in addition to overtime pay after the traditional 40-hour week, Nevada law also provides for overtime pay at one and one-half times an employee’s regular rate of pay for working more than 8 hours in a 24-hour period.
"Absolutely the worst time. Las Vegas is slow in the summertime already, we got a pandemic, the governor has reduced our capacity to 50% and now increased the hourly wage," said Todd Clore.
Clore owns Todd's Unique Dining on Sunset Road near Green Valley Parkway.
"Many times in the higher end restaurants it doesn’t affect so much, but the people that it does affect are now making tips. We’ve been trying for years to get the tip credit applied to Nevada," said Clore.
Tip credits allow owners to use tips to meet minimum wage requirements. Nevada is one of the few states without it.
"With this increase in the minimum wage, really the people that it’s helping are not really the people that it’s intending to unless you’re a front-line worker at a fast food restaurant," he said.
It’s a small bump in paychecks for servers, bartenders and busboys who mostly rely on tips, but it's another expense for Clore, who said his margins keep shrinking due to the pandemic.
"Thirty percent of every dollar I made went to packaging just to do curbside."
He also reduced menu prices by 35% to give back to the community.
"They’ve been supporting me for 16 years so I wanted to give something back to them," said Clore.
Clore said he's hopeful his restaurant can make it with the help of the community.
'With all of those combinations of everything and now labor going up the pennies just keep going out the door."
The annual bulletins for minimum wage and overtime can be found at http://labor.nv.gov.