University of Virginia Library

Heavy Need For Workers

On the subject of pay rates for custodial and service
workers, Mr. Jenkins pointed out there is a heavy need for
this category at any institutional type organization, such
as a university or hospital. "Those who are performing at
the base levels in these categories are unskilled, poorly
educated employees," he said.

He added that "our basic competition for the
unskilled service is from hotels, motels and restaurants
and these businesses are not covered by the $1.60 per hour
Federal minimum wage. This means that in the
community the general rate for the unskilled service
worker is between $1.40 and $1.60. The rates paid by the
University for unskilled institutional type labor is
generally what is paid for this kind of help in the
community."

The University and University Hospital are covered by
Federal minimum wage laws. The Fair Labor Standards
Act, as amended in 1966, provides a separate "track" for
"newly-covered employment."

Mr. Jenkins explained that on February 1, 1967, the
minimum wage was set at $1.00 per hour with the
provision that this minimum wage would be increased by
15 cents per year until 1971 when newly-covered
employment would reach the same minimum ($1.60 per
hour) which is applicable to previously- covered
employment.