Ark. Code Ann. §6-17-2203(a) requires full-time classified school employees to be paid a minimum hourly rate of $6.25. Act 1773 of 2003 amended this section with the addition of §6-17-2203(c). Beginning July 1, 2003 and each year thereafter, school districts are required to increase this minimum hourly rate by a percentage equal to the percentage increase of the consumer price index (CPI).
This legislation only applies to full-time classified school employees. The district should calculate the current minimum hourly rate plus the annual required CPI percentage increase. This becomes the minimum hourly rate to be paid to all full-time classified school employees. An example of this calculation follows.
Act 1773 does not provide a specific source for the CPI data. The Department recognizes the Bureau of Labor Statistics’ website as a valid source of CPI data: http://www.bls.gov/home.htm. According to information available at http://www.bls.gov/news.release/archives/cpi_08152003.pdf, the CPI for Urban Wage Earners and Clerical Workers increased by 2% from July 2002 to July 2003.
The following is an example of the calculation of a new minimum hourly rate required by Act 1773:
$6.25 hourly wage
* 2% annual increase in the CPI for Urban Wage Earners and Clerical Workers
.13 increase in the hourly wage
$6.38 new minimum hourly wage for full-time classified school employees
If you would like more information on the CPI, please go to the following website: http://www.bls.gov/cpi/cpifaq.htm#Question%204.