MT · state labor law, 2026
Montana labor laws: minimum wage, overtime, leave, final pay and breaks
Montana is the one state that is not at will: after a probationary period, most employees can only be dismissed for good cause.
Montana and federal rules checked on official sources on · Checked by Radif Partners · How we calculate
- Minimum wage now
- $10.85/h
- Statewide
- From January 1, 2027
- $11.20/h
- announced rate
- Tipped cash wage
- full minimum
- no tip credit
- Overtime
- 40 h/week
- state law
- Paid sick leave
- no state law
- employer policy
- Paid family leave
- no program
- FMLA is unpaid
Montana is the only state where most private-sector employees cannot be fired without good cause once their probationary period is over. The Wrongful Discharge from Employment Act lets a worker sue for lost wages when a dismissal breaks that rule, violates the employer's own written policy, or punishes the worker for refusing to break the law or for reporting a violation. Pay rules are generous too. The minimum wage is $10.85 an hour in 2026 and rises to $11.20 on January 1, 2027 under the yearly inflation adjustment, and Montana allows no tip credit, so servers receive the full minimum before tips. Earned vacation counts as wages and must be paid out when the job ends. A fired worker is owed final pay immediately unless a written policy sets a later date, and Montana has no paid sick leave or paid family leave law.
Gross pay for this week in Montana
$434
Time and a half after 40 hours in a week
| Minimum wage in Montana now | $10.85 an hour |
| Your rate against it | At or above the minimum |
| Overtime: none this week | $0 |
| Paid sick leave earned in a year | No statewide paid sick leave law |
| Breaks owed in a 8-hour shift | None required for adults |
| Final paycheck if fired | immediately, unless a pre-existing written policy extends it, and no later than the next payday or 15 days, whichever comes first |
| Unused vacation at the end | Accrued vacation must be paid out |
| Paid family leave | No state program |
40 hours a week at $10.85. State rule applied. Minimum wage, overtime and leave rules have exceptions by employer size and industry. How this is calculated.
Good cause instead of at-will
Everywhere else in the country, a job without a contract can end for any lawful reason or none. Montana changed that by statute. Once a probationary period ends (the employer's stated period, or a default set by law when none is stated), a dismissal must rest on good cause, which the statute defines as reasonable job-related grounds such as failing to perform the job satisfactorily, disrupting the employer's operation, or another legitimate business reason. A worker dismissed in breach of the act can recover lost wages and fringe benefits for up to 4 years, minus what they earned or could have earned elsewhere in the meantime. Quitting because the employer made the job intolerable can count as a constructive discharge under the same act. Since a 2023 amendment, firing someone only for lawful free speech, including posts on social media, also counts as a wrongful discharge. Two procedural rules matter: a claim must be filed within 1 year of the discharge, and if the employer has a written internal appeal procedure, the worker must use it first.
If you were let go today
Employment rule
Good cause needed after probation
| Final pay | immediately, unless a pre-existing written policy extends it, and no later than the next payday or 15 days, whichever comes first |
| Unused vacation | paid out |
| Right-to-work state | no |
A wage indexed every year
The Department of Labor and Industry recalculates the minimum wage each autumn from the consumer price index; the letter for 2027 sets $11.20. Montana bans tip credits, meal credits and training wages, so the rate is the rate. One exception remains in the statute: businesses not covered by federal law with gross annual sales of $110,000 or less may pay $4.00 an hour, but any employee individually covered by the FLSA must still receive at least the federal $7.25, which in practice limits that rate to very few jobs.
What the minimum wage raise is worth to you
Next rate in Montana
$11.20
| Rate on January 1, 2026 | $10.85 |
| Rate in force now | $10.85 |
| Extra pay a year since January | $0 |
| Extra pay a year at the next rate | $546 |
Overtime and final pay
Time and a half is owed after 40 hours a week, and holiday, sick and vacation hours do not count toward the 40. When a job ends by dismissal, wages are due at once, unless a written policy that existed beforehand allows the next payday or 15 days, whichever comes first; a worker who quits is paid by the next regular payday or within 15 days. Accrued vacation is part of what is owed.
Leave
Montana has no paid sick leave or paid family leave requirement for private employers. The federal FMLA covers eligible workers at larger employers for up to 12 weeks of unpaid leave. Montana is not a right-to-work state.
Montana employment rules at a glance, 2026
Minimum wage schedule
| From | Who it covers | Rate | Note |
|---|---|---|---|
| January 1, 2026 | Statewide | $10.85 | CPI-adjusted from $10.55 |
| January 1, 2026 | Businesses not covered by the FLSA with gross annual sales of $110,000 or less | $4.00 | Employees individually covered by the FLSA must get the higher federal/state rate |
| January 1, 2027 | Statewide | $11.20 | Announced in the DLI determination letter dated October 7, 2026 (CPI +3.40%) |
Workers covered by both laws get the higher rate. Read the Montana rule.
Overtime
Time and a half after 40 hours in a week. The salary test for exempt employees is the federal $684 a week. Holiday, sick and vacation hours do not count toward the 40 hours. source
Sick leave and family leave
Montana has no statewide paid sick leave law for private employers; leave depends on the employer's policy or a city ordinance. No state paid sick leave law for private employers.
No state paid family leave insurance: the federal FMLA gives eligible workers up to 12 weeks of unpaid, job-protected leave.
Final paycheck and unused vacation
Fired or laid off: immediately, unless a pre-existing written policy extends it, and no later than the next payday or 15 days, whichever comes first. Quitting: next regular payday for the period or 15 days, whichever comes first. Vacation: Earned vacation pay is treated as wages and is collectible like any other wages.. source vacation rule
Meal and rest breaks
No meal break is required for adults by state law. No paid rest break is required for adults. source
Unions and dismissal
Montana has no right-to-work law, so a union contract may require a fee from the workers it covers. Not at-will after probation: under the Wrongful Discharge from Employment Act (MCA 39-2-901 et seq.), once the employer's probationary period is completed a discharge is wrongful if it is not for good cause, is retaliation for refusing to violate or reporting a violation of public policy, materially breaches the employer's written personnel policy, or is based solely on the employee's legal free speech (including social media). During probation either party may end employment for any reason; employers have the broadest discretion for managers and supervisors.
Also worth knowing in Montana
- Montana is the only state where most private employees cannot be fired without good cause once their probationary period ends (Wrongful Discharge from Employment Act). source
- Since the 2023 amendment, firing someone solely for legal free speech, including social-media posts, is a wrongful discharge. source
- The minimum wage is indexed to inflation every year: $10.85 in 2026, rising to $11.20 on January 1, 2027. source