Pennsylvania Restaurant Labor Laws (2026): Wages, Tips & Overtime
Minimum wage, tipped pay, overtime, breaks, and minor-employment rules for Pennsylvania restaurant managers in 2026.
Last reviewed: June 2026Pennsylvania still follows the federal minimum wage of $7.25, but its 2022 tipped-worker regulations and a state-specific overtime rule make restaurant payroll less simple than the low wage floor suggests.
This guide covers Pennsylvania’s 2026 wage figures, the tip credit, the overtime quirk that trips up salaried-employee calculations, break rules, and the Child Labor Act limits for workers under 18. Verify details with the Pennsylvania Department of Labor & Industry before relying on them.
Pennsylvania restaurant labor laws at a glance (June 2026)
| Standard minimum wage | $7.25/hr |
|---|---|
| Tipped minimum (cash) wage | $2.83/hr cash wage |
| Tip credit | Permitted — up to $4.42/hr |
| Overtime | 1.5× after 40 hours/week (fluctuating workweek method prohibited) |
| Meal break (adults) | None required for adults; 30-min break for minors after 5 hours |
| Minimum age to work | 14 (work permit required for minors under 18) |
Minimum wage for Pennsylvania restaurant workers
Pennsylvania’s minimum wage in 2026 remains $7.25 per hour, matching the federal floor. The state has not enacted an increase, so this rate has held since 2009.
Philadelphia sets a higher minimum wage, but only for employers that hold city contracts or receive city subsidies — it does not apply to private restaurants generally. Most Pennsylvania restaurants pay the $7.25 standard.
Tipped wages and the tip credit in Pennsylvania
Pennsylvania permits a tip credit under regulations that took effect in August 2022. The minimum cash wage for tipped employees is $2.83 per hour, and the employer may claim a tip credit of up to $4.42 to reach the $7.25 minimum. If tips plus cash wage do not reach the minimum, the employer makes up the difference.
The 2022 rules raised the "tipped employee" threshold: a worker now qualifies only if they receive more than $135 per month in tips (up from $30). Pennsylvania also applies an 80% rule — a tipped employee must spend at least 80% of their time on tip-producing work, or the full minimum wage applies to the non-tipped time. Employers may not deduct credit-card processing fees from employee tips.
Overtime rules in Pennsylvania
Pennsylvania requires time-and-a-half for hours worked beyond 40 in a workweek under the Pennsylvania Minimum Wage Act. There is no daily overtime.
A key state-specific rule: following the 2022 regulations and the Chevalier v. GNC decision, the fluctuating-workweek method is prohibited for non-exempt salaried employees in Pennsylvania. Overtime must be calculated using a divisor of 40 hours, not all hours worked — a meaningful divergence from federal practice that affects how you pay salaried restaurant staff.
Meal and rest breaks in Pennsylvania
Pennsylvania does not require meal or rest breaks for employees 18 and older. Short breaks that are offered (under 20 minutes) must be paid under federal rules.
Minors under 18 must receive a 30-minute uninterrupted break after five consecutive hours of work, and may not work more than five consecutive hours without that break.
Hiring minors at Pennsylvania restaurants
Pennsylvania’s Child Labor Act governs minors in restaurants. A work permit is required for minors under 18, and those under 16 also need a signed parental acknowledgment.
- Ages 16–17 (school week): up to 8 hours/day and 28 hours during a school week, no more than 6 days/week; up to 44 hours/week when school is not in session.
- Night work for enrolled minors is prohibited from midnight (1am before a non-school day) to 6am.
- Ages 14–15: more restricted, mirroring federal limits — 3 hours on a school day, 18 hours/school week, generally 7am–7pm (9pm in summer).
- No minor may work more than 6 consecutive days or more than 5 consecutive hours without a 30-minute break.
- Minors under 18 may not operate hazardous power-driven equipment such as meat slicers and commercial mixers.
Other rules Pennsylvania restaurant managers should know
Fluctuating workweek banned
Unlike federal law, Pennsylvania prohibits the fluctuating-workweek method for non-exempt salaried employees. Overtime must be based on a 40-hour divisor. Restaurants that pay shift managers or assistant managers a salary should confirm their overtime math complies.
Service charges and tips
Mandatory service charges (such as banquet or automatic gratuities) are distinct from tips and are treated as employer revenue. If paid to employees they become wages included in the regular rate, and they cannot satisfy the tip credit. Auto-gratuities must be clearly disclosed to customers as not a tip.
Stay compliant without the spreadsheet
Sideworks helps Pennsylvania restaurant managers schedule staff within budget, track labor cost in real time, and keep opening and closing tasks on record — so wage, break, and overtime rules are easier to honor.