NC · state labor law, 2026
North Carolina labor laws: minimum wage, overtime, leave, final pay and breaks
A state that mandates few benefits but holds employers to the ones they promise, starting with earned vacation.
North Carolina and federal rules checked on official sources on · Checked by Radif Partners · How we calculate
- Minimum wage now
- $7.25/h
- statewide
- Next change
- none announced
- checked October 11, 2026
- Tipped cash wage
- $2.13/h
- tips must make up the rest
- Overtime
- 40 h/week
- state law
- Paid sick leave
- no state law
- employer policy
- Paid family leave
- no program
- FMLA is unpaid
North Carolina's minimum wage is $7.25 an hour in 2026, the same as the federal rate, with no increase announced. Working 40 hours a week all year at that rate pays $15,080 before taxes. Tipped employees may receive a cash wage of $2.13 if they are told in advance, keep all their tips and end up with at least $7.25 an hour. Non-exempt workers earn time and a half after 40 hours a week. The state does not require paid sick days, vacation or holidays, and adults aged 16 and over have no right to a meal or rest break. What sets North Carolina apart is the Wage and Hour Act's treatment of promised wage benefits: once an employer offers vacation, commissions or bonuses, earned amounts cannot be forfeited unless a written forfeiture clause was given to employees. Final wages are due on or before the next regular payday, for anyone leaving for any reason.
Gross pay for this week in North Carolina
$290
Time and a half after 40 hours in a week
| Minimum wage in North Carolina now | $7.25 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 for adults (minors only) |
| Final paycheck if fired | on or before the next regular payday |
| Unused vacation at the end | Paid out if the employer policy or contract says so |
| Paid family leave | No state program |
40 hours a week at $7.25. State rule applied. Minimum wage, overtime and leave rules have exceptions by employer size and industry. How this is calculated.
What your employer promised is what you can claim
The North Carolina Department of Labor puts it bluntly: an employer is not required by law to give vacation pay, sick leave, jury duty pay or holiday pay. The catch is on the other side. When a business chooses to offer those benefits, the Wage and Hour Act treats them as promised wages, and the employer has to pay them as its policy describes. Earned vacation is the case that comes up most. It must be paid when you leave unless the employer has a written forfeiture clause in its vacation policy and told employees about it in advance.
Consider a technician paid $19 an hour who leaves with 7 unused vacation days of 8 hours. That balance is worth $1,064. If the handbook says nothing about losing unused days, the amount is part of the last paycheck. If a written forfeiture clause was in place and communicated, the employer can keep it. Commissions and bonuses follow the same logic.
Is your unused PTO paid out?
North Carolina: payout
Depends on the written policy
| Value of the balance | $880 |
| When it is due | on or before the next regular payday |
A federal-level wage with a tipped condition
The state rate matches the federal $7.25, so a raise would have to come from Congress or the General Assembly. Restaurants can count tips toward the wage, paying a cash wage of $2.13, but only if employees are notified in advance and keep all their tips; a server whose tips leave the hour below $7.25 must be topped up. Agricultural and domestic workers are covered by the federal minimum wage rather than the state act.
Overtime at 40 hours, 45 in seasonal amusement
Overtime begins after 40 hours in a workweek at one and a half times the regular rate. A warehouse associate earning $16 who works five 9-hour days is owed 5 overtime hours, $120 on top of $640 in straight time, $760 for the week. Seasonal amusement and recreation businesses reach overtime only after 45 hours. Exempt status depends on duties and on the federal salary test, as no state salary level exists.
Breaks, school visits and the last paycheck
Workers 16 and older have no legal right to a meal or rest break in North Carolina; only youths under 16 must get 30 minutes after 5 hours. When an employer does offer a short break, of less than 30 minutes, it generally has to be paid. Parents, guardians and anyone standing in for a parent of a school-age child are entitled to 4 hours of leave a year to take part in the child's school, unpaid unless the employer decides otherwise. For leave beyond that, the federal FMLA gives eligible workers up to 12 unpaid weeks.
Whether you quit or are let go, everything due must be paid on or before the next regular payday, earned vacation included when no forfeiture clause applies. The Wage and Hour Bureau investigates unpaid wages, and the final paycheck guide lists deadlines in every state.
North Carolina employment rules at a glance, 2026
Minimum wage schedule
| From | Who it covers | Rate | Note |
|---|---|---|---|
| July 24, 2009 | Statewide | $7.25 | Unchanged throughout 2026; equals the federal minimum |
Workers covered by both laws get the higher rate. Agricultural and domestic employees are subject to the federal minimum wage. Read the North Carolina rule.
Overtime
Time and a half after 40 hours in a week. The salary test for exempt employees is the federal $684 a week. Seasonal amusement/recreation businesses: overtime after 45 hours (per dol.gov table). source
Sick leave and family leave
North Carolina 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 requirement; sick leave is a promised wage benefit only if the employer offers it. source
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: on or before the next regular payday. Quitting: on or before the next regular payday. Vacation: Earned vacation must be paid at separation unless the employer has a written forfeiture clause notified to employees.. 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. Under 16: at least a 30-minute break after 5 hours of work source
Unions and dismissal
North Carolina is a right-to-work state: a union contract cannot require you to pay dues or fees to keep your job. Employment is at will: either side may end it at any time, except for an illegal reason such as discrimination or retaliation, or against a contract. source