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South Dakota Labor Laws 2025

South Dakota has labor protections including an $11.20 minimum wage with automatic annual CPI adjustments, Right to Work protections, and follows federal standards for overtime and break requirements.

Important: South Dakota's minimum wage adjusts automatically each year based on the Consumer Price Index. The tipped minimum is always 50% of the standard minimum wage.

Minimum Wage

South Dakota has a state minimum wage that adjusts annually for cost of living.

Key Requirements

  • State minimum wage: $11.20 per hour (as of January 1, 2024)
  • Adjusted annually based on Consumer Price Index
  • Tipped employees: $5.60/hour minimum cash wage (50% of minimum wage)
  • Applies to all employers with annual gross income of $500,000 or more
  • One of the few states with automatic annual adjustments

Additional Resources

Overtime

South Dakota follows federal overtime requirements under the FLSA with no additional state requirements.

Key Requirements

  • Overtime pay: 1.5x regular rate for hours worked over 40 in a workweek
  • No daily overtime requirement (calculated weekly)
  • Standard FLSA exemptions apply (executive, administrative, professional)
  • No state-specific overtime laws beyond federal requirements
  • Workweek is seven consecutive 24-hour periods

Additional Resources

Meal and Rest Breaks

South Dakota does not require employers to provide meal or rest breaks for adult employees.

Key Requirements

  • No state law requiring meal breaks for adult employees
  • No state law requiring rest breaks for adult employees
  • No specific break requirements for minors
  • If breaks are voluntarily provided, federal rules apply
  • Short breaks (5-20 minutes) must be paid if provided
  • Nursing mothers have right to express milk (federal requirement)

Additional Resources

Payment of Wages

South Dakota has specific requirements for wage payment frequency and timing.

Key Requirements

  • Employees must be paid at least once per month
  • Payment must be made on regular paydays designated by employer
  • Final wages: Must be paid by next regular payday or when the employee returns company property
  • Certain wage deductions require written authorization
  • Direct deposit allowed with employee written authorization

Additional Resources

Child Labor

South Dakota has restrictions on youth employment.

Key Requirements

  • Work permits may be required for minors under 16
  • Ages 14-15: Limited to 3 hours per school day, 18 hours per week during school
  • Ages 14-15: 8 hours per day, 40 hours per week when school not in session
  • Ages 16-17: No hour restrictions but hazardous occupation restrictions apply
  • Federal child labor laws also apply

Additional Resources

Right to Work

South Dakota is a "Right to Work" state.

Key Requirements

  • Employees cannot be required to join a union as a condition of employment
  • Employers cannot require union dues or fees as a condition of employment
  • Protected by South Dakota Codified Laws 60-8-3
  • Does not prohibit unions or collective bargaining
  • Workers have freedom to choose whether to join or support a union

Additional Resources

Automatic Annual Minimum Wage Adjustments

South Dakota is one of the few states with automatic annual adjustments:

  • Minimum wage adjusts annually based on the Consumer Price Index (CPI)
  • Changes take effect on January 1st each year
  • 2024 rate: $11.20/hour (increased from $11.00 in 2023)
  • Tipped minimum always remains at 50% of standard minimum wage

Employer Coverage Threshold

South Dakota's minimum wage law applies to certain employers:

Applies to employers with annual gross income of $500,000 or more.

Smaller employers not covered by state law may still be covered by federal FLSA if engaged in interstate commerce.

South Dakota Right to Work

South Dakota is a Right to Work state:

  • Protected by South Dakota Codified Laws 60-8-3
  • Workers cannot be compelled to join a union or pay union dues
  • Union security agreements are prohibited

Federal Laws Apply

Since South Dakota has minimal state-specific labor laws beyond minimum wage, employers must focus on federal compliance:

FLSA

Fair Labor Standards Act governs overtime, recordkeeping, and youth employment.

FMLA

Family and Medical Leave Act provides job-protected leave for eligible employees.

ADA

Americans with Disabilities Act prohibits discrimination and requires reasonable accommodations.

Title VII

Prohibits employment discrimination based on race, color, religion, sex, or national origin.

Navigate South Dakota's Labor Requirements

Rightwork automatically applies annual minimum wage adjustments based on CPI, manages tipped wage calculations, and ensures compliance with all federal labor laws.

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