Is there any hidden obligation to give raises? — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Is there any hidden obligation to give raises?

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in Compensation and Benefits,Human Resources

Q. Does any law require a company to give employees a raise at the end of the year or other amount of time? — Berenice, Florida

A. No, as long as you are paying employees at least the minimum wage, you need not raise their pay, ever. Of course, more than legal issues are at stake here. No pay raises will eat away at morale and, if your competitors pay more, employees may seek other employment.

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