What does a living wage law generally require employers to pay?

A living wage law typically mandates that employers provide compensation that exceeds the Federal minimum wage. This is premised on the idea that the minimum wage is often insufficient for workers to cover basic living expenses, such as housing, food, transportation, and healthcare.

The intent behind living wage laws is to ensure that workers earn enough to support themselves and their dependents without needing to rely on public assistance programs. By requiring a wage above the Federal minimum, these laws aim to improve the quality of life for employees and promote economic stability within communities.

In contrast, options reflecting equal to or less than the Federal minimum wage do not align with the purpose of living wage laws, as they would fail to address the financial needs and standard of living intended by such legislation. A salary based on employee performance, while relevant in employee compensation discussions, does not directly relate to living wage laws, which focus on a base pay standard rather than performance metrics.