Raleigh's Living Wage Ordinance (City Code Chapter 1 §1-1003) sets a floor for city employees and certain service contractors, but NC preemption (NCGS §95-25.1) prevents extending it to private hotel workers citywide.
Raleigh adopted a living wage policy in 2015, adjusted annually, applying to city employees and certain service contractors performing work for the City under §1-1003. The ordinance does not extend to private-sector hotel workers because NCGS §95-25.1 preempts local minimum wage rules above the federal $7.25 floor. Hotel housekeepers, maintenance staff, and front-desk workers fall under the federal Fair Labor Standards Act and NC Wage and Hour Act. City contractor compliance is verified through procurement audits and annual wage certifications.
City contractors paying below the living wage face contract termination, debarment, and back-wage liability. Failure to pay even the federal minimum wage triggers FLSA and NC Wage and Hour Act claims with double damages and attorney fees.
See how Raleigh's hotel living wage rules stack up against other locations.
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