Plano, TX Employment Preemption: Minimum Wage Preemption (2026)
Key Facts
- Federal floor
- 7.25 per hour
- Tipped wage
- 2.13 per hour
- State preemption
- TX Loc Govt 229.001
- Local override
- Prohibited
Summary
Texas Local Government Code 229.001 preempts Plano from setting a local minimum wage, leaving the federal floor of 7.25 dollars per hour as the legal minimum across Toyota North America, FedEx Office, JCPenney, and every other Plano employer.
Sec. 62.051. MINIMUM WAGE. Except as provided by Section 62.057, an employer shall pay to each employee the federal minimum wage under Section 6, Fair Labor Standards Act of 1938 (29 U.S.C. Section 206). Sec. 62.0515. APPLICATION OF MINIMUM WAGE TO CERTAIN GOVERNMENTAL ENTITIES; CERTAIN AGREEMENTS WITH 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.
Full Breakdown
Texas Local Government Code 229.001 prohibits cities from regulating private wages, including minimum wage, paid leave, scheduling, and most benefits. Plano therefore cannot match Dallas-area corporate floors or follow California-style wage hikes. The Texas Minimum Wage Act in Labor Code Chapter 62 mirrors the federal Fair Labor Standards Act at 7.25 dollars per hour, last raised in 2009. Tipped workers receive 2.13 dollars per hour with tip credit. Despite Plano hosting Toyota, Frito-Lay, and Cinemark headquarters, neither the city nor Collin County can mandate higher wages, leaving market forces to set actual pay above the minimum.
Violations & Fines
Failing to pay the federal 7.25 dollar floor or misclassifying tipped employees triggers federal Department of Labor wage-and-hour complaints, back wages, liquidated damages, and possible Texas Workforce Commission claims.
Frequently Asked Questions
Can Plano City Council raise the minimum wage to 15 dollars?
Does Plano require a higher minimum for city contractors?
Sources & Official References
Other rules in Plano
Texas rules heatmap·Compare Plano to another location·View the Texas employment preemption overview
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Minimum Wage Preemption in Nearby Cities
How other cities in Collin County handle minimum wage preemption.