What Employers & Employees Must Know

Georgia’s labor laws are relatively minimal at the state level compared to many other U.S. states. In many respects, federal labor laws (especially the Fair Labor Standards Act, FLSA) dominate the landscape. However, Georgia has some unique rules and new changes emerging in 2025. This blog post provides a clear, up-to-date guide for both employers and workers in Georgia.

Key Takeaways

  • Georgia’s state minimum wage is $5.15/hour, but most employers must pay the federal minimum wage, $7.25, under FLSA. (Georgia Department of Labor)
  • In 2025, Georgia enacted the Dignity and Pay Act, which limits paying subminimum wages to people with disabilities. (employmentlawwatch.com)
  • Georgia does not mandate breaks, rest periods, or statewide paid sick leave; these are generally left to federal rules or employer policy. (Workstream)
  • Overtime pay under Georgia law follows FLSA: over 40 hours/week earns 1.5× regular rate. (Workstream)

Georgia Minimum Wage & 2025 Updates

1. State vs. Federal Minimum Wage

Georgia’s own statute sets a minimum wage of $5.15/hr for employers with six or more employees. (Georgia Department of Labor)

However, federal law supersedes when FLSA coverage applies. That means most employees in Georgia must legally receive at least $7.25/hr, the federal minimum wage, as of 2025. (DOL)

Therefore:

  • If state law and federal law differ, employers must pay the higher wage.
  • The $5.15/hr rate applies only in limited state-law circumstances (e.g. some employers not covered by FLSA).

2. Tipped Employees & Youth Wages

  • Tipped employees: Under FLSA, tipped workers may be paid as low as $2.13/hr, provided their tips bring them up to the federal minimum. (employerpass.com)
  • Youth / training wage: Employees younger than 20 may be paid a reduced “training wage” (e.g. $4.25/hr) during their first 90 days of employment under FLSA rules. (employerpass.com)

3. Dignity & Pay Act (2025)

A new and important development in Georgia is the Dignity and Pay Act, signed in 2025 and effective July 1, 2025. (employmentlawwatch.com)

  • The Act prohibits subminimum wages for individuals with disabilities in many situations.
  • Previously, employers could obtain certificates (under federal law) to pay persons with disabilities below minimum wage, but Georgia law is phasing that out.
  • Until July 1, 2026, employers with preexisting certificates may still use them, but must gradually increase wages. After July 1, 2027, subminimum wage under any certificate will be disallowed. (employmentlawwatch.com)

This change aligns Georgia with states that consider paying less than minimum wage to disabled workers unfair, and removes a legal loophole.

Overtime, Hours & Exemptions

4. Overtime Standards

Georgia does not have a separate state overtime law beyond the FLSA. That means:

  • Nonexempt employees must receive 1.5× their regular rate for hours worked over 40 in a workweek. (Workstream)
  • The FLSA duties/salary tests (executive, administrative, professional) determine who qualifies as exempt vs nonexempt.

5. No State Daily Overtime or Premiums

Unlike some states (California, etc.), Georgia does not require:

  • Overtime for hours beyond 8 in a day, unless weekly threshold is exceeded
  • Premium pay for working on weekends, holidays, or during late hours

Any extra pay for those situations depends on employer policy or collective bargaining, not state law.

6. Exempt Classification

To classify someone as exempt (not eligible for overtime), an employer must satisfy FLSA tests:

  • Pay a salary (above a regulatory threshold)
  • The job duties must meet executive, administrative, or professional criteria
  • No state threshold in Georgia beyond what FLSA demands

Misclassification is a common risk, so employers should review roles closely.

Meal Breaks, Rest Breaks & Leave

7. Breaks & Meal Periods

  • Georgia does not require employers to provide meal or rest breaks under state law. (Workstream)
  • Under federal law (FLSA), bona fide meal periods (≥30 minutes, employee fully relieved) may be unpaid. Short breaks (5 to 20 minutes) generally must be paid.
  • Employers can choose to offer breaks, but must pay for short rest breaks if provided.

8. Paid Sick Leave & Other Leave Rights

  • There is no mandatory state paid sick leave in Georgia.
  • Leave types (sick, family, medical) are usually governed by federal laws (FMLA), employer policies, or local ordinances if present.
  • Some local jurisdictions or cities might adopt additional leave protections — always check local rules.

Final Pay, Wage Statements & Recordkeeping

9. Final Pay / Termination Pay

Georgia has no strict state rule forcing immediate final paycheck upon termination. Instead:

  • Wages due must be paid according to the employer’s regular payday schedule, unless otherwise contractually required.
  • However, claims for unpaid wages may be filed under federal law.

10. Pay Statements & Recordkeeping

  • Georgia has no state requirement for detailed itemized pay stubs.
  • But employers covered under FLSA must maintain required payroll and time records (hours, wages paid, employee data).
  • Employers should provide clear pay statements (even if not legally required) to reduce disputes.

Anti-Discrimination & Enforcement

11. Federal Protections Apply

Since Georgia’s own protections are limited, employees in Georgia enjoy protection under federal laws:

  • Title VII (race, color, religion, sex, national origin)
  • Americans with Disabilities Act (ADA)
  • Age Discrimination in Employment Act (ADEA)
  • Retaliation protections for whistleblowing, reporting wage violations, etc.

12. Enforcement, Wage Claims & Legal Remedies

  • Wage claims may be brought under FLSA in federal court or with U.S. Department of Labor.
  • Failure to pay minimum wage or overtime may lead to back pay, liquidated damages, and attorney’s fees under federal law.
  • After the Dignity and Pay Act, violations related to disabled worker pay will be enforceable under Georgia law.

2025 Compliance Checklist for Georgia Employers

Below is a concise action list to help employers in Georgia stay compliant in 2025:

  1. Pay at least $7.25/hr in most cases (federal minimum) unless an employee is exempt from FLSA.
  2. Revise policies to remove use of subminimum wage certificates for disabled employees starting July 1, 2025 (per Dignity and Pay Act).
  3. Audit overtime calculations: ensure 1.5× pay over 40 hours; classify exempt roles appropriately.
  4. Decide break policy: if offering breaks, ensure short breaks are paid; document policy.
  5. Establish leave policies consistent with federal law; track local leave rules if any.
  6. Maintain payroll & time records per FLSA requirements (keep for required period).
  7. Provide pay statements or stub information to employees, even if state law does not demand it.
  8. Review local jurisdiction law — some counties or cities may adopt additional requirements.
  9. Train managers & HR on new Dignity and Pay rules, classification, and wage law basics.
  10. Monitor legislative changes — proposals exist (e.g. to increase state minimum wage) that could change law. (7shifts)

Final Thoughts

Georgia remains among states with minimal state-level labor requirements, largely deferring to federal law. But two developments are particularly notable in 2025:

  • The Dignity and Pay Act ends a controversial practice of paying subminimum wages to disabled workers over time.
  • Employers must be vigilant about FLSA compliance, especially overtime, recordkeeping, and proper classification.