(a) (1) In this section the following words have the meanings indicated. (2) "Employer" includes a governmental unit. (3) "Small employer" means an employer that employs 14 or fewer employees. (b) Except as provided in subsection (d) of this section and § 3-414 of this subtitle, each employer shall pay: (1) to each employee who is subject to both the federal Act and this subtitle, at least the greater of: (i) the minimum wage for that employee under the federal Act; or (ii) the State minimum wage set under subsection (c) of this section; and (2) to each other employee who is subject to this subtitle, at least the greater of: (i) the highest minimum wage under the federal Act; or (ii) the State minimum wage set under subsection (c) of this section. (c) (1) Except as provided in paragraph (2) of this subsection, the State minimum wage rate is: (i) for the 12-month period beginning January 1, 2023, $13.25 per hour; and (ii) beginning January 1, 2024, $15.00 per hour. (2) The State minimum wage rate for a small employer is: (i) for the 12-month period beginning January 1, 2023, $12.80 per hour; and (ii) beginning January 1, 2024, $15.00 per hour. (d) An employer may pay an employee a wage that equals a rate of 85% of the State minimum wage established under this section if the employee is under the age of 18 years.
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