Overview of Hiring Laws in South Carolina

South Carolina employment laws align closely with federal standards while maintaining an employer-friendly regulatory environment with select worker protections. The state’s South Carolina Department of Labor, Licensing and Regulation (SCLLR), South Carolina Human Affairs Commission (SCHAC), South Carolina Department of Employment and Workforce (SCDEW), and the Equal Employment Opportunity Commission (EEOC) oversee most employment standards, including wage and hour rules, anti-discrimination protections, new hire reporting, and workplace safety.

One of the most notable aspects of South Carolina employment law is the pending minimum wage legislation that would establish the state’s first independent minimum wage since 2009. Currently, the state follows the federal minimum wage of $7.25 per hour, but starting January 1, 2026, new legislation would phase in a state minimum wage beginning at $8.75 per hour, with scheduled increases through 2028 and CPI adjustments thereafter.

Category	Federal Law (FLSA)	South Carolina Law
Meal Periods	No requirement for employers to provide meal breaks.	No state requirement. Employers are not mandated to provide meal or rest breaks for adult employees.
Rest Breaks	Short breaks under 20 minutes must be paid.	Follows federal standard. Short breaks under 20 minutes must be paid.
Minimum Wage	$7.25 per hour (federal minimum).	$7.25 per hour in 2025 (federal minimum); pending legislation would implement state minimum wage of $8.75 effective January 1, 2026.
Tipped Minimum Wage	$2.13 per hour.	$2.13 per hour; employers may take a tip credit, but total earnings must reach $7.25.
Youth Training Wage	$4.25 per hour for workers under 20 during first 90 days.	$4.25 per hour follows federal standard.
Employer Coverage for Anti-Discrimination	Varies: typically 15+ employees.	15+ employees for South Carolina Human Affairs Law protections.
Enforcement	Overseen by the U.S. EEOC and Department of Labor.	Enforced by the SCHAC, SCLLR, and federal agencies.

These rules reflect South Carolina’s conservative approach to employment regulation combined with pending legislative changes to increase minimum wage protections.

South Carolina Hiring Laws

Anti-Discrimination and Equal Opportunity Laws

The South Carolina Human Affairs Law (SCHAL), codified in South Carolina Code Title 41, Chapter 1, prohibits discrimination in employment based on race, color, religion, sex (including pregnancy, childbirth, lactation, or related medical conditions), national origin, age (40 and older), and disability. The law also protects against discrimination based on genetic information and prohibits retaliation for reporting violations.

The SCHAL applies to employers with 15 or more employees—identical to the federal Title VII threshold. Notably, South Carolina has no state-level anti-discrimination protections for employers with fewer than 15 employees, meaning employees in smaller South Carolina businesses rely solely on federal protections (which typically require 15+ employees for most claims).

Additional state protections: South Carolina’s Lactation Support Act, enacted in 2020, requires all employers (regardless of size) to provide employees reasonable and private opportunities to express breast milk during the workday. The law also prohibits discrimination based on an employee’s status as a nursing mother or request for break time for lactation purposes.

Why limited state coverage?

South Carolina has determined that federal employment laws provide adequate protection and has elected not to expand state-level anti-discrimination coverage below the federal threshold.

Employers are required to provide reasonable accommodations for individuals with disabilities unless it causes significant difficulty or expense. Employers must also maintain written policies addressing non-discrimination and equal employment opportunity.

Pay Equity and Minimum Wage

South Carolina’s current minimum wage is $7.25 per hour, matching the federal minimum wage. The state has maintained this rate since the federal minimum was set at $7.25 in 2009, meaning South Carolina has not had an independent state minimum wage increase in over 15 years.

Pending minimum wage legislation: Beginning January 1, 2026, South Carolina’s state minimum wage would be established as $8.75 per hour, increasing to $9.75 on January 1, 2027, and $10.10 on January 1, 2028. Beginning January 1, 2029, and annually thereafter, the state minimum wage would increase based on the Consumer Price Index for Urban Wage Earners and Clerical Workers, not seasonally adjusted, for the South Region. Multiple bills proposing this increase have been introduced in the 2025-2026 session (HB 3226, SB 1190, HB 3805, and SB 273).
For the most current minimum wage information, visit the South Carolina Department of Labor, Licensing and Regulation.
Tipped employees: The minimum cash wage for tipped employees is $2.13 per hour. Employers may take a tip credit of up to $5.12, but total earnings (wages plus tips) must reach at least $7.25 per hour. Employers must ensure tipped workers always earn at least the minimum wage.
Youth/Training wage: Employers may pay $4.25 per hour to workers under 20 during their first 90 consecutive calendar days of employment, following federal standards.

South Carolina follows federal equal pay requirements. Employers should retain records demonstrating the basis for any wage differences between employees of different sexes performing substantially equal work.

Background Checks and Criminal History Rules

South Carolina does not have a statewide ban-the-box law for private employers. Employers may inquire about an applicant’s criminal history at any point during the hiring process. However, expunged or sealed records require special handling—if an applicant’s criminal record has been expunged or sealed, the applicant may truthfully state that the conviction did not occur.

When using third-party background screening services, the Fair Credit Reporting Act (FCRA) applies. Employers must obtain written consent before running a background check and provide adverse action notices if denying employment.

I-9 and Employment Eligibility Requirements

Like all U.S. states, South Carolina employers are required to verify the identity and employment eligibility of new hires using Form I-9. Employers must complete Form I-9 within three business days of a new hire’s start date and retain forms for three years after hire or one year after termination, whichever is later.

E-Verify requirement: South Carolina requires all employers to enroll and participate in E-Verify under the South Carolina Illegal Immigration and Reform Act. This federal employment verification system confirms that employees are authorized to work in the United States.

State-Specific Hiring Rules

South Carolina enforces additional hiring-related requirements that employers should be aware of:

Law/Regulation	Key Requirement
At-Will Employment	South Carolina follows an “at-will” employment policy, which means that either party can terminate the employment relationship without notice or cause, unless stated otherwise in an employment contract or collective bargaining agreement.
Right-to-Work Status	South Carolina is a “right-to-work” state, giving employees autonomy to decide on labor union membership. Employees cannot be required to join or pay union dues as a condition of employment.
New Hire Reporting	All employers must report all newly hired employees within 20 days after the employee’s first day of work to the South Carolina State Directory of New Hires.
E-Verify Compliance	All employers must enroll and participate in E-Verify to verify employment eligibility of new hires.
Payment of Wages	Employers must provide written notice to employees at hire stating their rate of pay, pay period, and paydays. Wages must be paid within 48 hours of separation or by the next regularly scheduled payday (not to exceed 30 days).
Lactation Support	All employers must provide employees reasonable and private opportunities to express milk during the workday. This law applies to employers of all sizes, including sole proprietorships.
Child Labor Laws	South Carolina maintains specific restrictions on youth employment, including prohibited hazardous occupations and hour restrictions based on age and school enrollment status.

Penalties for Non-Compliance in South Carolina

South Carolina takes non-compliance seriously. Employers who fail to follow state and federal hiring laws can face significant financial and legal consequences.

Wage and Hour Violations- Employers who violate minimum wage, overtime, and wage payment laws are subject to civil penalties enforced by the U.S. Department of Labor and state authorities. Violations can result in back wages, liquidated damages (double the unpaid wages), and attorney fees.
Discrimination Violations- If the South Carolina Human Affairs Commission (SCHAC) or EEOC finds that an employer violated anti-discrimination laws, it may order remedies including reinstatement with back pay, compensatory damages, front pay, and attorney fees. Importantly, South Carolina law does not cap compensatory damages for discrimination claims.
Employee Lawsuits- Employees can file complaints with the South Carolina Human Affairs Commission or the EEOC, or pursue civil lawsuits for discrimination or retaliation. Complaints must be filed within 365 days (12 months) of the alleged discriminatory act.
FCRA Violations- Improper background check procedures can result in fines of $1,000+ per applicant, with significantly higher exposure in class-action lawsuits.
Form I-9 Violations- USCIS fines can range from $281 to $2,789 per form for paperwork errors, and $678 to $27,894 per

Got questions?

What is the minimum wage in Minnesota?

Effective January 1, 2025, Minnesota’s minimum wage is $11.13 per hour for all employers in the state, including large employers, small employers, and youth. Effective January 1, 2026, the minimum wage will be adjusted for inflation to $11.41 per hour. For the latest information, visit the Minnesota Department of Labor and Industry Minimum Wage Page.

Can employers ask about criminal history in Minnesota?

Yes. Minnesota does not have a statewide ban-the-box law for private employers, so employers may ask about criminal history at any point during the hiring process. However, if using third-party background check services, employers must comply with FCRA requirements, including obtaining written consent and providing adverse action notices.

What is the rule for meal breaks in Minnesota?

Minnesota does not require employers to provide meal or rest breaks for employees. However, if breaks are provided, breaks under 20 minutes must be paid.

When should new hires be reported in Minnesota?

All new hires must be reported within 20 days of hire date. Reports can be submitted online to the Minnesota New Hire Reporting Center or by mail/fax.

What happens if an employer violates hiring laws?

Non-compliance can lead to civil penalties, employee lawsuits, back-pay orders with liquidated damages (potentially double the amount owed), and fines. Repeat or serious violations may result in investigations by the Minnesota Department of Labor and Industry or the Minnesota Department of Human Rights, and potentially class-action litigation by multiple affected employees.

Is Minnesota an at-will employment state?

Yes. Minnesota follows an “at-will” employment policy, which means that either party can terminate the employment relationship without notice or cause, unless stated otherwise in an employment contract or collective bargaining agreement. However, termination cannot be for discriminatory reasons or in retaliation for protected activities.