Employers subject to the Fair Labor Standards Act in the United States must pay the federal minimum wage of $7.25 per hour as of 2025. State minimum wage can vary and is often higher than the federal minimum wage. Twenty-one states raised their minimum wage on Jan. 1, 2025. Ten of them and Washington D.C. will have minimum wages of $15 per hour or more.

A minimum is set in the U.S. but critics often say that any minimum wage discourages businesses from hiring more employees who should be compensated based only on the 澳洲幸运5官方开奖结果体彩网:free market. Five dev🥂eloped nati♚ons outside the United States do not have a set minimum wage.

1. Sweden

Sweden operates without a nationally implemented minimum wage but the nation uses a 澳洲幸运5官方开奖结果体彩网:Nordic model. Minimum wages are set by sector or industry through collective bargaining using the krona.

Nearly all Swedish citizens belong to one of about 110 trade unions and employers' organizations that negotiate wage rates for regular hourly work, salaries, and overtime. Swedish law limits the workweek to 40 hours just as the U.S. does. It also dictates that all workers are entitled to 25 vacation days and 13 additional public holidays, however.

2. Denmark

Relations between workers and employers i💜n Denmark have been deemed harmonious due to the lack of a federally mandated minimum wage. Trade unions negotiate for workers to be paid a reasonable rate.

Some types of work dictate the amount the worker must be paid per hour. The pay may consist of a piece-work rate, performance-related pay, or a similar arrangement in other areas.

3. Iceland

Iceland consistently ranks among the happiest countries because of its low crime rates, high wages, and healthy populace. Employees in Iceland are almost all members of trade unions that are responsible for negotiating baseline salaries for the industries they represent.

4. Norway

Norway🎃 is another northern nation that has eschewed a federally mandated minimum wage in favor of having union-negotiated wages set by industry. Norwegians enjoy good job security, strong wages, and ample vacation time.

Basic hourly wages vary by industry, age, and experience. Most Norwegians have job contracts and a fixed monthly income. Unskilled laborers often have a fixed income per hour.

5. Switzerland

There's no national minimum wage but Swiss wages are high relative to other nations. Some sectors use minimum wages negotiated between unions and employers' associations as defined in the collective and standard employment agreements.

Employees that work in a sector with a minimum wage can't be paid less than the minimum wage indicated in the collective and standard employment agreements for that sector.

The Bottom Line

Employers subject to the Fair Labor Standards Act in the United States must pay the federal minimum wage of $7.25 per hour as of 2025. Five developed nations including Norway and Switzerland don't have a national minimum wage rate but negotiate salaries by sector or through unions.