Bill Text: HI SB476 | 2019 | Regular Session | Introduced
Bill Title: Relating To Minimum Wage.
Spectrum: Partisan Bill (Democrat 4-0)
Status: (Introduced - Dead) 2019-01-24 - Referred to LCA, WAM. [SB476 Detail]
Download: Hawaii-2019-SB476-Introduced.html
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THE SENATE |
S.B. NO. |
476 |
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THIRTIETH LEGISLATURE, 2019 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO MINIMUM WAGE.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The
legislature finds that Hawaii’s minimum wage should be increased to meet
workers’ basic needs. According to the department
of business, economic development, and tourism, a single adult required an
income of $32,957 to achieve self-sufficiency in Hawaii in 2016, while a single
parent with one child required $56,157. Yet
at the current statewide minimum wage rate of $10.10 per hour, a full-time
employee earns only $21,008 annually. Moreover,
the National Low Income Housing Coalition’s Out of Reach 2018 report estimates
that a minimum wage worker would have to work 109 hours per week to afford a
one-bedroom rental home at local fair market rent.
The legislature
further finds that increasing the State’s minimum wage will help Hawaii’s
economy by giving low wage workers greater purchasing power in Hawaii’s marketplace.
Additionally, according to the
department of labor and industrial relations, in 2018 and the following four
consecutive years of minimum wage increases, the State’s unemployment level
reached an all-time low of two per cent, demonstrating that increasing the
minimum wage does not adversely impact statewide employment.
The purpose of this
Act is to support Hawaii's workforce by increasing the minimum wage rate in the
State.
SECTION 2. Section 387-2, Hawaii Revised Statutes, is amended to read as follows:
"§387-2 Minimum wages. (a) Except as provided in section 387‑9 and this section, every employer shall pay to each employee employed by the employer, wages at the rate of not less than:
(1) $6.25 per hour beginning January 1, 2003;
(2) $6.75 per hour beginning January 1, 2006;
(3) $7.25 per hour beginning January 1, 2007;
(4) $7.75 per hour beginning January 1, 2015;
(5) $8.50 per hour beginning January 1, 2016;
(6) $9.25 per hour beginning
January 1, 2017; [and]
(7) $10.10
per hour beginning January 1, 2018[.];
(8) $11.50
per hour beginning January 1, 2020;
(9) $13.00 per hour beginning January 1, 2021;
(10) $14.50 per hour beginning January 1, 2022;
(11) $16.00 per hour beginning January 1, 2023; and
(12) $17.00 per hour beginning January 1, 2024.
(b) [The
hourly wage of a tipped employee may be deemed to be increased on account of
tips if the employee is paid not less than:
(1) 25 cents;
(2) 50 cents per
hour beginning January 1, 2015; and
(3) 75 cents per
hour beginning January 1, 2016,
below the applicable minimum wage by the employee's employer and
the combined amount the employee receives from the employee's employer and in
tips is at least 50 cents more than the applicable minimum wage; provided that
beginning January 1, 2015, the combined amount the employee receives from the
employee's employer and in tips is at least $7.00 more than the applicable
minimum wage.] Beginning September 30, 2024, and on
September 30 of each year thereafter, the department shall calculate an
adjusted minimum wage rate. The adjusted
minimum wage rate shall be calculated to the nearest five cents using the
Honolulu region consumer price index for all urban consumers for the twelve
months prior to September 1 of each year as calculated by the United States
Department of Labor; provided that if in any year the adjustment based on the
Honolulu region consumer price index for all urban consumers would result in a
lower minimum wage rate, the adjusted minimum wage rate shall remain the same
as the minimum wage rate in effect for the year in which it is calculated. Each adjusted minimum wage rate calculated
under this subsection shall take effect on January 1 following the calendar
year in which the adjusted minimum wage rate is calculated; provided that if an
increase in the adjusted minimum wage rate exceeds ten per cent of the minimum
wage rate in effect for the year in which it is calculated, the adjusted
minimum wage rate shall be increased by ten per cent of the minimum wage rate
in effect for the year in which it is calculated."
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2019.
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INTRODUCED BY: |
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Report Title:
Minimum Wage; Employment; Adjusted Minimum Wage Rate
Description:
Increases the minimum wage annually starting January 1, 2020. Beginning September 30, 2024, and thereafter, requires the Department of Labor and Industrial Relations to calculate an adjusted minimum wage rate to the nearest five cents using the Honolulu Region Consumer Price Index for All Urban Consumers, subject to certain conditions. Repeals the tip credit.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
