[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 582 Placed on Calendar Senate (PCS)]
<DOC>
Calendar No. 156
116th CONGRESS
1st Session
H. R. 582
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 18, 2019
Received; read the first time
July 22, 2019
Read the second time and placed on the calendar
_______________________________________________________________________
AN ACT
To provide for increases in the Federal minimum wage, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Raise the Wage Act''.
SEC. 2. MINIMUM WAGE INCREASES.
(a) In General.--Section 6(a)(1) of the Fair Labor Standards Act of
1938 (29 U.S.C. 206(a)(1)) is amended to read as follows:
``(1) except as otherwise provided in this section, not
less than--
``(A) $8.40 an hour, beginning on the effective
date under section 7 of the Raise the Wage Act;
``(B) $9.50 an hour, beginning 1 year after such
effective date;
``(C) $10.60 an hour, beginning 2 years after such
effective date;
``(D) $11.70 an hour, beginning 3 years after such
effective date;
``(E) $12.80 an hour, beginning 4 years after such
effective date;
``(F) $13.90 an hour, beginning 5 years after such
effective date;
``(G) $15.00 an hour, beginning 6 years after such
effective date; and
``(H) beginning on the date that is 7 years after
such effective date, and annually thereafter, the
amount determined by the Secretary under subsection
(h);''.
(b) Determination Based on Increase in the Median Hourly Wage of
All Employees.--Section 6 of the Fair Labor Standards Act of 1938 (29
U.S.C. 206) is amended by adding at the end the following:
``(h)(1) Not later than each date that is 90 days before a new
minimum wage determined under subsection (a)(1)(H) is to take effect,
the Secretary shall determine the minimum wage to be in effect under
this subsection for each period described in subsection (a)(1)(H). The
wage determined under this subsection for a year shall be--
``(A) not less than the amount in effect under subsection
(a)(1) on the date of such determination;
``(B) increased from such amount by the annual percentage
increase, if any, in the median hourly wage of all employees as
determined by the Bureau of Labor Statistics; and
``(C) rounded up to the nearest multiple of $0.05.
``(2) In calculating the annual percentage increase in the median
hourly wage of all employees for purposes of paragraph (1)(B), the
Secretary, through the Bureau of Labor Statistics, shall compile data
on the hourly wages of all employees to determine such a median hourly
wage and compare such median hourly wage for the most recent year for
which data are available with the median hourly wage determined for the
preceding year.''.
SEC. 3. TIPPED EMPLOYEES.
(a) Base Minimum Wage for Tipped Employees and Tips Retained by
Employees.--Section 3(m)(2)(A)(i) of the Fair Labor Standards Act of
1938 (29 U.S.C. 203(m)(2)(A)(i)) is amended to read as follows:
``(i) the cash wage paid such employee, which for purposes
of such determination shall be not less than--
``(I) for the 1-year period beginning on the
effective date under section 7 of the Raise the Wage
Act, $3.60 an hour;
``(II) for each succeeding 1-year period until the
hourly wage under this clause equals the wage in effect
under section 6(a)(1) for such period, an hourly wage
equal to the amount determined under this clause for
the preceding year, increased by the lesser of--
``(aa) $1.50; or
``(bb) the amount necessary for the wage in
effect under this clause to equal the wage in
effect under section 6(a)(1) for such period,
rounded up to the nearest multiple of $0.05;
and
``(III) for each succeeding 1-year period after the
increase made pursuant to subclause (II), the minimum
wage in effect under section 6(a)(1); and''.
(b) Tips Retained by Employees.--Section 3(m)(2)(A) of the Fair
Labor Standards Act of 1938 (29 U.S.C. 203(m)(2)(A)) is amended--
(1) in the second sentence of the matter following clause
(ii), by striking ``of this subsection, and all tips received
by such employee have been retained by the employee'' and
inserting ``of this subsection. Any employee shall have the
right to retain any tips received by such employee''; and
(2) by adding at the end the following: ``An employer shall
inform each employee of the right and exception provided under
the preceding sentence.''.
(c) Scheduled Repeal of Separate Minimum Wage for Tipped
Employees.--
(1) Tipped employees.--Section 3(m)(2)(A) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 203(m)(2)(A)), as amended by
subsections (a) and (b), is further amended by striking the
sentence beginning with ``In determining the wage an employer
is required to pay a tipped employee,'' and all that follows
through ``of this subsection.'' and inserting ``The wage
required to be paid to a tipped employee shall be the wage set
forth in section 6(a)(1).''.
(2) Publication of notice.--Subsection (i) of section 6 of
the Fair Labor Standards Act of 1938 (29 U.S.C. 206), as
amended by section 5, is further amended by striking ``or in
accordance with subclause (II) or (III) of section
3(m)(2)(A)(i)''.
(3) Effective date.--The amendments made by paragraphs (1)
and (2) shall take effect on the date that is 1 day after the
date on which the hourly wage under subclause (III) of section
3(m)(2)(A)(i) of the Fair Labor Standards Act of 1938 (29
U.S.C. 203(m)(2)(A)(i)), as amended by subsection (a), takes
effect.
SEC. 4. NEWLY HIRED EMPLOYEES WHO ARE LESS THAN 20 YEARS OLD.
(a) Base Minimum Wage for Newly Hired Employees Who Are Less Than
20 Years Old.--Section 6(g)(1) of the Fair Labor Standards Act of 1938
(29 U.S.C. 206(g)(1)) is amended by striking ``a wage which is not less
than $4.25 an hour.'' and inserting the following: ``a wage at a rate
that is not less than--
``(A) for the 1-year period beginning on the effective date
under section 7 of the Raise the Wage Act, $5.50 an hour;
``(B) for each succeeding 1-year period until the hourly
wage under this paragraph equals the wage in effect under
section 6(a)(1) for such period, an hourly wage equal to the
amount determined under this paragraph for the preceding year,
increased by the lesser of--
``(i) $1.25; or
``(ii) the amount necessary for the wage in effect
under this paragraph to equal the wage in effect under
section 6(a)(1) for such period, rounded up to the
nearest multiple of $0.05; and
``(C) for each succeeding 1-year period after the increase
made pursuant to subparagraph (B)(ii), the minimum wage in
effect under section 6(a)(1).''.
(b) Scheduled Repeal of Separate Minimum Wage for Newly Hired
Employees Who Are Less Than 20 Years Old.--
(1) In general.--Section 6(g) of the Fair Labor Standards
Act of 1938 (29 U.S.C. 206(g)), as amended by subsection (a),
shall be repealed.
(2) Publication of notice.--Subsection (i) of section 6 of
the Fair Labor Standards Act of 1938 (29 U.S.C. 206), as
amended by section 3(c)(2), is further amended by striking ``or
subparagraph (B) or (C) of subsection (g)(1),''.
(3) Effective date.--The repeal and amendment made by
paragraphs (1) and (2), respectively, shall take effect on the
date that is 1 day after the date on which the hourly wage
under subparagraph (C) of section 6(g)(1) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 206(g)(1)), as amended by
subsection (a), takes effect.
SEC. 5. PUBLICATION OF NOTICE.
Section 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 206),
as amended by the preceding sections, is further amended by adding at
the end the following:
``(i) Not later than 60 days prior to the effective date of any
increase in the required wage determined under subsection (a)(1) or
subparagraph (B) or (C) of subsection (g)(1), or in accordance with
subclause (II) or (III) of section 3(m)(2)(A)(i) or section
14(c)(1)(A), the Secretary shall publish in the Federal Register and on
the website of the Department of Labor a notice announcing each
increase in such required wage.''.
SEC. 6. PROMOTING ECONOMIC SELF-SUFFICIENCY FOR INDIVIDUALS WITH
DISABILITIES.
(a) Wages.--
(1) Transition to fair wages for individuals with
disabilities.--Subparagraph (A) of section 14(c)(1) of the Fair
Labor Standards Act of 1938 (29 U.S.C. 214(c)(1)) is amended to
read as follows:
``(A) at a rate that equals, or exceeds, for each year, the
greater of--
``(i)(I) $4.25 an hour, beginning 1 year after the
date the wage rate specified in section 6(a)(1)(A)
takes effect;
``(II) $6.40 an hour, beginning 2 years after such
date;
``(III) $8.55 an hour, beginning 3 years after such
date;
``(IV) $10.70 an hour, beginning 4 years after such
date;
``(V) $12.85 an hour, beginning 5 years after such
date; and
``(VI) the wage rate in effect under section
6(a)(1), on the date that is 6 years after the date the
wage specified in section 6(a)(1)(A) takes effect; or
``(ii) if applicable, the wage rate in effect on
the day before the date of enactment of the Raise the
Wage Act for the employment, under a special
certificate issued under this paragraph, of the
individual for whom the wage rate is being determined
under this subparagraph,''.
(2) Prohibition on new special certificates; sunset.--
Section 14(c) of the Fair Labor Standards Act of 1938 (29
U.S.C. 214(c)) (as amended by paragraph (1)) is further amended
by adding at the end the following:
``(6) Prohibition on new special certificates.--
Notwithstanding paragraph (1), the Secretary shall not issue a
special certificate under this subsection to an employer that
was not issued a special certificate under this subsection
before the date of enactment of the Raise the Wage Act.
``(7) Sunset.--Beginning on the day after the date on which
the wage rate described in paragraph (1)(A)(i)(VI) takes
effect, the authority to issue special certificates under
paragraph (1) shall expire, and no special certificates issued
under paragraph (1) shall have any legal effect.
``(8) Transition assistance.--Upon request, the Secretary
shall provide--
``(A) technical assistance and information to
employers issued a special certificate under this
subsection for the purposes of--
``(i) transitioning the practices of such
employers to comply with this subsection, as
amended by the Raise the Wage Act; and
``(ii) ensuring continuing employment
opportunities for individuals with disabilities
receiving a special minimum wage rate under
this subsection; and
``(B) information to individuals employed at a
special minimum wage rate under this subsection, which
may include referrals to Federal or State entities with
expertise in competitive integrated employment.''.
(3) Effective date.--The amendments made by this subsection
shall take effect on the date of enactment of this Act.
(b) Publication of Notice.--
(1) Amendment.--Subsection (i) of section 6 of the Fair
Labor Standards Act of 1938 (29 U.S.C. 206), as amended by
section 4(b)(2), is further amended by striking ``or section
14(c)(1)(A),''.
(2) Effective date.--The amendment made by paragraph (1)
shall take effect on the day after the date on which the wage
rate described in paragraph (1)(A)(i)(VI) of section 14(c) of
the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)), as
amended by subsection (a)(1), takes effect.
SEC. 7. GENERAL EFFECTIVE DATE.
Except as otherwise provided in this Act or the amendments made by
this Act, this Act and the amendments made by this Act shall take
effect--
(1) subject to paragraph (2), on the first day of the third
month that begins after the date of enactment of this Act; and
(2) with respect to the Commonwealth of the Northern
Mariana Islands, on the date that is 18 months after the
effective date described in paragraph (1).
SEC. 8. GAO REPORT ON THE COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS.
Not later than 1 year after the date of enactment of this Act, the
Comptroller General shall submit to the Education and Labor Committee
of the House of Representatives and the Committee on Health, Education,
Labor, and Pensions of the Senate a report that, with respect to the
Commonwealth of the Northern Mariana Islands--
(1) assesses the status and structure of the economy
(including employment, earnings and wages, and key industries);
and
(2) for each year in which a wage increase will take effect
under subsection (a)(1) or (g)(1) of section 6, section
3(m)(2)(A)(i), or section 14(c)(1)(A) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 201 et seq.), as amended by
this Act, estimates the proportion of employees who will be
directly affected by each such wage increase taking effect for
such year, disaggregated by industry and occupation.
SEC. 9. GAO REPORT ON WAGE INCREASE IMPACT.
(a) In General.--Not later than 90 days before the date of the
third wage increase to first take effect after the date of enactment of
this Act, the Comptroller General, in consultation with the persons
described in subsection (b), shall prepare and submit to Congress a
report, that--
(1) identifies and analyzes the effects, in the aggregate,
of the first wage increases and second wage increases after
such date of enactment on business enterprises (including small
business enterprises) including the effects, with respect to
such enterprises, on--
(A) the wages and compensation of employees;
(B) the number of employees, disaggregated by full-
time and part-time employees;
(C) the prices, sales, and revenues;
(D) employee turnover and retention;
(E) hiring and training costs; and
(F) productivity and absenteeism;
(2) to the extent practicable, identifies such effects in
isolation from other factors that may affect business
enterprises (including small business enterprises), including--
(A) broader economic conditions;
(B) changes in Federal, State, and local law,
policy, and regulation;
(C) industry consolidation;
(D) natural disasters; and
(E) significant demographic changes;
(3) to the extent practicable, identifies and analyzes such
effects for the Nation as a whole, and, separately, for--
(A) each census division, as designated by the
Bureau of the Census;
(B) each metropolitan statistical area and
nonmetropolitan portion (as such terms are defined by
the Office of Management and Budget with respect to
2013); and
(C) each urbanized area, urbanized cluster, and
rural area, as designated by the Bureau of the Census;
and
(4) describes the methodology used to generate the
information in the report.
(b) Expert Consultation.--The persons described in this subsection
are--
(1) labor economists with expertise in minimum wage and low
wage labor markets;
(2) workers (including agricultural workers), and the labor
organizations and worker groups representing such workers;
(3) representatives of businesses, including small
businesses, agricultural employers, and businesses in the
accommodation and food services sector;
(4) State and local governments; and
(5) the Board of Governors of the Federal Reserve System.
(c) Congressional Assessment and Recommendations.--Not later than
60 days after the date on which Congress receives the report under
subsection (a), Congress shall--
(1) assess the findings of such report; and
(2) make recommendations with respect to actions of
Congress to address the findings of such report, including
actions to delay the next scheduled wage increases.
(d) Wage Increase Defined.--The term ``wage increase'' means an
increase in wages that takes effect under subsection (a)(1) or (g)(1)
of section 6, section 3(m)(2)(A)(i), or section 14(c)(1)(A) of the Fair
Labor Standards Act of 1938 (29 U.S.C. 201 et seq.), as amended by this
Act.
Passed the House of Representatives July 18, 2019.
Attest:
CHERYL L. JOHNSON,
Clerk.
Calendar No. 156
116th CONGRESS
1st Session
H. R. 582
_______________________________________________________________________
AN ACT
To provide for increases in the Federal minimum wage, and for other
purposes.
_______________________________________________________________________
July 22, 2019
Read the second time and placed on the calendar