The federal Fair Labor Standards Act’s minimum wage – $7.25/hour – applies to businesses operating in Puerto Rico that (1) have employees either (a) engaged in commerce or in the production of goods for commerce or (b) engaged in handling, selling, or otherwise working on goods or materials that have been moved in or produced for commerce by any person and (2) have annual gross volume of sales made or business done of at least $500,000.161
The Puerto Rico minimum wage applies to all businesses to which the federal minimum wage does not apply. The minimum wage for those businesses excluded from the federal minimum wage is the equivalent to seventy percent (70%) of the prevailing federal minimum wage.
Source: A Guide To Doing Business in Puerto Rico, published by the Government of Puerto Rico.
Robert Alex Fleming is a corporate and trial attorney with over 35 years of experience advising and representing clients in Puerto Rico. He leads Fleming Law Offices, LLC, where his practice is informed by decades of experience in commercial matters, litigation, governance, and dispute resolution. Mr. Fleming is admitted to practice before the courts of Puerto Rico, several federal courts, and the state courts of New York and Texas. He holds an LL.M. in Commercial Law and an MBA from the Kelley School of Business at Indiana University.