Alabama has no minimum wage law. That means eligible employees in Alabama are entitled to either federal minimum wage (currently $7.25 per hour) or any local (city of county) minimum wage law that is on the books, whichever wage rate is higher.
Because Alabama has no minimum wage law, Alabama employees are subject to the federal rules on tip credits and minimum wages for employees who receive tips.
(For more information, see Nolo's article Tips, Tip Pooling, and Tip Credits.)
Alabama has no overtime laws, although you may be eligible for overtime pay under the federal Fair Labor Standards Act (FLSA). To learn more, see Nolo's article Overtime Pay: Your Rights as an Employee and contact the Alabama Department of Labor.
Alabama does not require employers to provide lunch or rest breaks. However, you are entitled to be paid if you have to do any work during a break (for example, if you have to cover the phones while you eat lunch). And, generally, you are entitled to be paid for any short breaks (five to 20 minutes) your employer provides; this time is considered part of your work day.
To learn more about wage and hour laws in Alabama, contact the state Department of Labor.
Wage and hour laws set the basic standards for pay and time worked -- covering issues like minimum wage, tips, overtime, meal and rest breaks, what counts as time worked, when you must be paid, things your employer must pay for, and so on.
The federal wage and hour law is called the Fair Labor Standards Act. Most states also have their own wage and hour laws, and some local governments (like cities and counties) do, too. An employer who is subject to more than one law must follow the law that is most generous to the employee. For example, the federal minimum wage is currently $7.25 per hour, but employers in states that have set a higher minimum wage must pay the higher amount.
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Updated February 12, 2021