Among hourly-paid workers in Texas, 550,000 had earnings at or below the prevailing Federal minimum wage of $7.25 per hour in 2010, according to the U.S. Bureau of Labor Statistics. (See
chart 1 .) Nearly 5.8 million workers were paid at hourly rates, representing 55.7 percent of all Texas wage and salary workers.
1 . Regional Commissioner Stanley W. Suchman noted that the number of Texans paid
at or below the Federal minimum wage increased as the number of workers earning the exact Federal minimum wage rose, while the number of Texans paid below the minimum wage declined. Combined, these workers accounted for 9.5 percent of all hourly-paid workers in Texas.
In the United States, 72.9 million workers were paid at hourly rates in 2010, representing 58.8 percent of all wage and salary workers. Of those paid by the hour, 1.8 million earned exactly the prevailing Federal minimum wage and about 2.5 million additional workers earned wages below the minimum. Together, the nearly 4.4 million workers with wages at or below the Federal minimum made up 6.0 percent of all hourly-paid workers in the nation, up from 4.9 percent in 2009.
With the exception of 2003, the number of hourly-paid workers at or below the Federal minimum wage declined steadily in Texas from 1998 to 2006. (See
chart 1 .) However, annual increases in the Federal minimum wage from 2007 through 2009 contributed to increased numbers and higher percentages of workers in the State receiving pay at or below the mandated level. Although the Federal minimum wage was unchanged in 2010, the number of workers with pay at or below the minimum wage increased in both the State and the nation.
The number of Texas workers with hourly pay at or below the Federal minimum rose by 76,000 in 2010, with men and women accounting for nearly equal portions of the rise. The number of men earning at or below the Federal minimum wage rose by 36,000, an increase of almost 20 percent from 2009. The number of women earning at or below the Federal minimum rose by 39,000, an increase of less than 14 percent. As a result, men accounted for nearly 41 percent of the States workers with wages at or below the mandated level in 2010, their highest share since 2003. However, women continued to have a higher percentage of workers earning at or below the Federal minimum wage than men, 11.9 percent compared to 7.4 percent.
The median hourly earnings for all hourly-paid wage and salary workers in Texas stood at $11.20 per hour in 2010; nationally, the median was $12.50.3 . For men and for women, the median hourly rates in Texas were $12.13 and $10.24, respectively. (See table 1 .) Nationally, the median hourly rates were $13.76 for men and $11.83 for women.
Texas, at 9.5 percent, tied with Mississippi for the highest proportion of hourly-paid workers earning at or below the prevailing Federal minimum wage among the 50 states and the District of Columbia in 2010.
Alabama and West Virginia followed, each at 9.3 percent. Washington, Oregon, Alaska, and California had the lowest percentage of workers earning at or below the Federal minimum wage (2 percent or less).
Texas accounted for 12.6 percent of all U.S. workers paid at or below the Federal minimum wage in 2010, down from 13.3 percent in 2009.
It should be noted that as of January 1, 2011, 17 states and the District of Columbia had laws establishing minimum wage standards that exceeded the Federal level of $7.25 per hour; on January 1, 2010, that number stood at 14
4 .