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Public Policy Blog |
Christine Stuart of CTNewsJunkie.com reports that the Paid Family & Medical Leave bill approved by the Senate last week remains in limbo in the House. The problem is that Gov. Ned Lamont has not provided specifics for changes to the bill, which he said he would veto in its current form.
You can read the story here. You can read the bill, as passed by the Senate, here. Meanwhile, the Public Option Bill (HB 7267), which would create a Connecticut version of the Affordable Care Act (Obamacare), appears to be dead ... for now. You can read CTNewsJunkie.com's story about that here.
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The state House and Senate have both now approved legislation (HB 5004) to increase the state's current $10.10 minimum wage to $15/hour by June 1, 2023. Gov. Ned Lamont has said he will sign the bill.
Below are the provisions of the bill. The following is based on an analysis prepared for legislators: HB 5004 An Act Concerning Minimum Fair Wage This bill increases the state’s minimum hourly wage from its current $10.10 per hour to: (1) $11.00 on October 1, 2019; (2) $12.00 on September 1, 2020; (3) $13.00 on August 1, 2021; (4) $14.00 on July 1, 2022, and (5) $15.00 on June 1, 2023. Beginning January 1, 2024, it indexes future annual minimum wage changes to the federal Employment Cost Index (ECI). Tip Credit The bill freezes the employer’s share at its current $6.38 for hotel and restaurant staff and $8.23 for bartenders. It does so, starting on July 1, 2019, by requiring the labor commissioner to recognize a tip credit that equals the difference between the applicable minimum wage and the “employer’s share,” which the bills sets as $6.38 for hotel and restaurant staff and $8.23 for bartenders (the same amounts as required under the current $10.10 minimum wage). Table 1: Hotel and Restaurant Employees’ Tip Credit under the Bill (the Tip Credit is the difference between the minimum wage and the employer's share) Effective Date Minimum Wage Tip Credit Employer’s Share Current Law $10.10 $3.72 $6.38 10/1/19 $11.00 $4.62 $6.38 9/1/20 $12.00 $5.62 $6.38 8/1/21 $13.00 $6.62 $6.38 7/1/22 $14.00 $7.62 $6.38 6/1/23 $15.00 $8.62 $6.38 Table 2: Bartenders’ Tip Credit under the Bill Effective Date Minimum Wage Tip Credit Employer’s Share Current Law $10.10 $1.87 $8.23 10/1/19 $11.00 $2.77 $8.23 9/1/20 $12.00 $3.77 $8.23 8/1/21 $13.00 $4.77 $8.23 7/1/22 $14.00 $5.77 $8.23 6/1/23 $15.00 $6.77 $8.23 Training Wage The bill also changes the “training wage” that employers may pay to learners, beginners, and people under age 18. Current law generally allows employers to pay these employees as low as 85% of the regular minimum wage for their first 200 hours of employment. The bill eliminates the training wage exceptions for learners and beginners — and limits the training wage to only people under age 18, except emancipated minors. Thus, it requires learners and beginners who are at least age 18 to be paid the full minimum wage. It also requires the training wage to be the greater of $10.10 or 85% of the minimum wage and allows employers to pay the training wage to people under age 18 for the first 90 days, rather than 200 hours, of their employment. |
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November 2020
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