Travis County, TX Employment Preemption: Minimum Wage Preemption (2026)
Key Facts
- Federal floor
- $7.25 per hour
- Preemption statute
- TX Local Govt Ch. 229
- HB 2127 effective
- September 2024
- Travis Co staff wage
- Above 20 dollars
Summary
Texas preempts local minimum wage laws under Local Government Code Chapter 229, leaving the federal $7.25 per hour rate as the floor for most private employers in Travis County, though Austin and Travis County set higher wages for their own employees.
Sec. 62.0515. APPLICATION OF MINIMUM WAGE TO CERTAIN GOVERNMENTAL ENTITIES. (a) Except as otherwise provided by this section, the minimum wage provided by this chapter supersedes a wage established in an ordinance, order, or charter provision governing wages in private employment, other than wages under a public contract.(b) This section does not apply to any state or federal job training or workforce development program.(d) For purposes of this section, "governmental entity" includes a municipality, a county, a special district or authority, a junior college district, or another political subdivision of this state.
Full Breakdown
Texas Labor Code Chapter 62 ties the state minimum wage to the federal Fair Labor Standards Act rate, currently $7.25 per hour. Local Government Code Chapter 229, expanded by HB 2127 (2023, effective 2024), broadly preempts cities and counties from enacting higher private-sector wage floors. Austin and Travis County government can pay their own staff and contract workers above $20 per hour as employer policy, and Austin promotes a living wage for tipped service workers, but they cannot mandate it for private businesses. Federal contractors face separate Executive Order minimums.
Violations & Fines
Private employers below the federal $7.25 floor face Department of Labor wage-and-hour investigations, back pay liability, and double damages; local minimum wage ordinances against private employers are unenforceable under preemption.
Frequently Asked Questions
Can Austin require a higher minimum wage?
Are tipped employees treated differently?
Sources & Official References
Other rules in Travis County
Texas rules heatmap·Compare Travis County to another location·View the Texas employment preemption overview
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