After emancipation, many slaves went from working for free to working for tips

The Fair Labor Standards Act established a minimum wage—but it didn't cover everyone

A 1966 amendment created the “tip credit,” which allowed restaurants to pay below minimum wage if tips compensated the difference. However, this federal tipped minimum wage has remained frozen at $2.13 per hour since 1991, whereas the regular minimum wage has increased multiple times since then.

US tipped employees receive the 'subminimum wage' of $2.13, unchanged since 1991

Tipped employees (anyone who makes $30+ per month in tips) are not federally entitled to a traditional minimum wage. Customers determine their earnings. The National Restaurant Association believes that if restaurant owners are forced to pay above the subminimum wage for tipped workers, restaurants could be forced to close.

Advocate estimate roughly 27% of Black service workers live below the poverty line

That’s significantly higher than the rate for restaurant workers overall. Approximately 37% of tipped workers are mothers, nearly half being single moms struggling with income volatility. This article includes more statistics about what the average tipped worker looks like and offers a peek inside their lives.

Minimum wage laws are a relatively new phenomenon in the US

Today, the federal minimum wage in the US is $7.25 per hour. But the country wasn’t founded with minimum wage laws in its DNA. The first federal minimum wage wasn’t set until 1938, when it was 25 cents per hour.

Many states require higher direct wage amounts for tipped employees than the federal requirement

Employers of "tipped employees" are required to pay them $2.13 per hour in direct wages if that amount, combined with the tips, at least equals the federal minimum wage of $7.25. If the employee's tips combined with the employer's direct wages of at least $2.13 per hour do not equal the federal minimum hourly wage, the employer has to make up the difference. However, this differs from state to state. This interactive map shows what tipped workers make per hour in every state.

The US had roughly 1.6 million minimum wage workers as of 2021

Typically, minimum wage workers are young. They’re not only more likely to be a woman than a man, but also more likely to be single than married.

The monthly minimum wage a full-time worker receives varies around the world

In Luxembourg, for instance, the monthly minimum was roughly $2,140 as of January 2023. But in Nigeria, it was just $68 a month. Of course, the cost of living varies by country too.

In 1980, the median US household income was $21,020

In 1980, a steady middle-class job paid roughly $13,000 to $16,000 a year, according to Bureau of Labor Statistics data. That income comfortably supported a household on one paycheck. The average full-time worker today, who makes $68K per year often cannot afford to support a household without a second income.

George Pullman popularized tipping in the US with his Pullman sleeping car business

By 1868, Pullman, who operated luxury sleeping cars on the country’s growing network of railways, had started hiring formerly enslaved Black men as porters for extremely meager wages, working long hours in poor conditions. He encouraged wealthy passengers to tip them, helping institutionalize tipping in the US.

At just over $1K, Mississippi has the lowest average weekly wage in the country

The mean weekly wage in the US is $1,459—more than a $1K difference from Washington, DC, where the average weekly wage is nearly $2.4K. Also among the highest earning states are Washington, Massachusetts, and California. Likewise, Mississippi, West Virginia, and Arkansas have the lowest weekly averages.

What was life like as a slave in the US?

Over 2,500 former slaves were interviewed by writers and journalists in the late 1930s as part of the US Federal Writer's Project. The collection recorded images and firsthand verbal accounts of life as a slave, eight of which are highlighted in this article at the Library of Congress. See the humanity in each of these individuals with their firsthand accounts.

Before Social Security, elderly Americans relied on family support, limited state pensions, or company-sponsored pensions

Before Social Security benefits were available to American retirees, they had to find other ways to get by. Pensions were only available to roughly 15% of workers, and most elderly Americans went without meaningful economic security.

What's the role of forced prison labor in a land where slavery is illegal?

Companies across the South profited off the forced labor of people in prison after the Civil War. This hourlong investigative podcast episode explores the role forced (and often unpaid) prison labor has played in the US since slavery was abolished.

Read Truth's account of escaping slavery in 1826

After her enslaver broke his promise to free her, Truth left before dawn, carrying her infant daughter and a bundle of clothes. She later found refuge with the Van Wagener family, who paid her master $20 for her freedom and $5 for her infant daughter.

Timeline of women in labor history

In 1866, newly freed black women working as laundresses in Jackson, Mississippi, formed a union and went on strike for higher wages. But it wasn't until 1974, that the Coalition of Labor Union Women was founded as America's only national organization for union women. Want to find out more about the history of women in the labor movement? Click here for the full timeline.

State of pay transparency

Pay transparency—once considered taboo—is gaining momentum. Despite being legally protected since 1935, open salary discussions have only recently become more common, especially among younger workers. This overview explores how cultural norms, economic shifts, and new state laws are reshaping the conversation around what we earn.

Since 1913, Americans have paid income taxes at varying rates

In the 2020s, the top marginal tax rate has floated around 37%, relatively lower than previous eras. Some have called for boosting the rate significantly to tax the highest earners.

Approximately 180,000 African Americans served in Union forces

About 180,000 Black soldiers—roughly 10% of the Union army—served in the United States Colored Troops after 1863. Despite lower pay and discrimination, they were crucial to the Union victory.

Frances Perkins was the first woman in the US to hold a cabinet position

President Franklin D. Roosevelt named her the United States Secretary of Labor in 1933. In her cabinet seat, she not only helped establish the first federal minimum wage in the US, but also the Social Security Act.

Minor leaguers once unionized for better pay, housing, and medical care

For decades, Minor League baseball players endured overcrowded housing, indifferent medical care, and all-night bus rides for a chance to make it to “The Show.” And they did it for as little as $4,800 a year.

Newspaper delivery people, trash collectors, and more: who to tip and how much

The suggested holiday tip amount for garage attendants is between $10 and $50, whereas the suggested holiday tip amount for doormen in apartment buildings is between $25 and $100 each.

Immigrants generated about $1.7T in economic activity in 2023 and paid roughly $652B in taxes

This economic output surpasses their 14.3% share of the US population, and their labor force participation rate of nearly 67% is higher than the approximately 62% rate for US-born workers.

New Deal programs still shape mandatory federal spending today

Many of the largest items in today's federal budget—especially mandatory programs—trace their origins to Franklin D. Roosevelt's New Deal. This podcast explores how those policies reshaped federal spending and government responsibility.

In 1711, the New York City Common Council decided that the city’s slave market would operate on Wall Street

In 1711, the New York City Common Council decided that the city’s slave market would operate on Wall Street. Back then, the nation’s economy rode on the backs of slave labor and the slave trade itself—meaning that the slave market’s location was an economic hub for the city.

Juror pay varies widely by state, and most employers are not required to cover it

State court juror pay ranges from nothing in Illinois and South Carolina to $50 per day in six states, with a national average of around $22 per day. Only eight states and DC require employers to provide paid time off during jury service.

Calculate how much of your tax dollars go to each federal program based on your income, filing status, and number of children

About 2,000 US babies are born annually without some portion of their limbs, potentially leading to a lifetime of pricey prosthetics.

Roughly 43 million US borrowers owe roughly $1.7T in student debt, the second-largest source of consumer debt behind mortgages.

Some coin denominations have ridges etched on their sides, partly to prevent counterfeiting, in a practice called 'reeding.'

Watch a 1934 short film starring jazz legend Cab Calloway, a major figure in the Harlem Renaissance's music scene

The American cockroach is actually from Africa, an apparent hitchhiker aboard ships carrying enslaved people, with evidence suggesting the bug may have arrived in the New World as early as the 1600s.

Before the current East Wing ballroom project, only two White House renovations in the past 100 years cost more than $10M.

After the Boston Tea Party, colonists switched to coffee, which became the main morning drink for revolutionaries.

Up to a million Girl Scouts sell about 200 million cookie boxes every spring, generating $800 million, largely because refusing a child is frowned upon

20,000 letters to the advice columnist 'Dear Abby' provide insight into prevailing sex, religion, and LGBTQ fears, anxieties, and concerns from the 1950s onward.

Domino's Pizza's 30-minute delivery guarantee was responsible for the chain's 1980s surge, but it was discontinued after the company was found liable for delivery driver accidents.

Hedge funds, the private investment firms that trade a wide swath of financial assets, make money by imposing steep fees on investors and from the fund's investment performance.

For centuries, it was common to sleep in two shifts: a few hours at the beginning of the night, and a longer period beginning around midnight

The United States has had a tumultuous relationship with Cuba since its 1959 revolution, highlighted by a nuclear crisis and a decades-long trade embargo.

The first steps to rebuilding your credit score include getting to know exactly what's on your credit report and figuring out how far you are from the '700 club,' or 'good score' range.

See a ranking of the best (and worst) Federal Reserve Chairs since 1914 out of the 16 men and women who have held the office since.

The first line of 'immortal' human cells, which can divide indefinitely and are used in scientific research, was nonconsensually taken from a Black woman.

Art theft is the third-largest source of criminal revenues worldwide, thanks in part to the subjective nature of valuing a work of art.

The story of Dollree Mapp, whose legal challenge over her 1957 conviction for possessing "obscene material" led to a major strengthening of the Fourth Amendment

Abraham Lincoln was almost assassinated weeks before his inauguration as he traveled from Illinois to DC through Baltimore in 1861; it took two independent claims for Lincoln to be convinced the threat was real

The US Constitution is widely regarded as the longest-standing written national constitution still in force—see how it has influenced rights worldwide.

In 1939, baseball star Lou Gehrig delivered his inspirational 'Luckiest Man' speech after retiring due to the health condition that now bears his name.

Watch the cumbersome, but necessary, precautions healthcare workers must take to care for and protect themselves while caring for Ebola patients.

The Brothers Grimm were lawyers before they were storytellers, and became interested in fairy tales as they began investigating how rules and customs had been passed down through cultures.

Louisiana's 'Cancer Alley' is infamous for having some of the highest industrial pollution, toxic air emissions, and cancer risks in the US.