Virginia does not allow individual communities to raise the minimum wage, and in Alexandria, Virginia’s minimum wage of $7.25 isn’t allowing for its employees to live in the city. This lead Kim Bobo, executive director of the Virginia Interfaith Center for Public Policy, to create a privately-run program that recognizes employers who offer employees a living wage and practice ethical business. This new economic justice program is known as the Alexandria’s Living Wage Program, and is bringing increased attention to living wage laws in Alexandria. This program was created to increase the housing options available to minimum wage workers in the city, as the cost of living in Alexandria has exceeded the current federal minimum wage. A living wage, according to living wage laws, is seen as the minimum wage a full-time worker must make to pay for basic necessities, which includes food and housing, without assistance from others.
Alexandria Living Wage Program
The program certifies employers who pay their workers a wage that is in line with Alexandria City living costs. This is done by breaking down the businesses into different ranks based off of the minimum wage they offer. Businesses are considered a gold level if they pay $15.70, silver level at $14.14, and inspirational at $11.23 per hour, which exceed minimum wage declared by living wage laws. The program has also found that there are many businesses who are already paying over the gold level wage.
The goal of the voluntary program is to recognize employers who are already paying a living wage and to encourage other employers to pay a living wage, which will increase employees’ ability to live in Alexandria and maintain a basic quality of life. The program also strives to build customer loyalty by advertising employer’s wage practices in order to help drive sales and generate revenue. Finally, the program works to lower the cost of doing business by attracting top-tier talent and increasing employee retention. The program uses window stickers and publicity to apply social pressure for customers to choose these businesses to support, and as attractive places for employees’ to seek employment.
Employers have found this program to be very beneficial because it strengthens the relationship between employer and employee. This increases employee loyalty and satisfaction, increasing the chances for long-term employment. The higher wage is also beneficial for both parties as it may allow employees to live closer to work, offering them a shorter commute time and the ability to live in the community they work.
Because this is simply just a program and not rule of law, if your employer does not participate in this program you cannot seek legal action. However, you can still help the program by promoting it and promoting businesses who are a part of it.
Alexandria’s Living Wage Ordinance
A living wage ordinance is enacted by the local government to raise job standards for workers at firms that do business with a city or county that benefit from taxpayer assistance. The Alexandria City Council adopted a living wage ordinance in 2016 that raised the minimum wage to $15.00 for contractors, excluding construction, providing services on City-owned or City-controlled property. In 2000, they had unsuccessfully tried to win state permission to raise the local minimum wage to $8. Since then, the council has required the city government, its contractors and subcontractors to pay at least $15 per hour. This applies to all public contractors for the provision of services on property owned or controlled by the City of Alexandria with limited exceptions.
On July 1st of every year, the purchasing agent announces the current living wage based off of two deferral indices. All service contracts performed on City-owned or City-controlled are subject to this change. There are exceptions for construction contracts that are estimated to be greater than $50,000 in value. All contractors are supposed to provide quarterly and annual reports of wages to the City to ensure they are complying with the ordinance. If you work for one of these contractors, notices of the living wage should be posted at work sites and at the contractor’s places of business so that you can be informed of what the living wage laws are.
If you are an employee of one of these contractors and are not receiving the living wage, you should reach out to an employment law attorney for more information about your potential case. If your employer is found in violation they can be required to provide back pay plus interest, and if they continue to not pay the living wage, the contract can be terminated and they can be debarred from doing business with the City. Similarly, if you are an employee not receiving Virginia’s minimum wage of $7.25, you should contact an Employment Law Defense Attorney. Every Virginia employee has the right to get paid on time, be paid for overtime even after announcing you are leaving the job and being paid the minimum wage according to local living wage laws.