Connecticut 2023 Regular Session

Connecticut Senate Bill SB01177 Latest Draft

Bill / Comm Sub Version Filed 04/05/2023

                             
 
LCO    \\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01177-R01-
SB.docx  
1 of 4 
  
General Assembly  Substitute Bill No. 1177  
January Session, 2023 
 
 
 
 
 
AN ACT CONCERNING ONE FAIR WAGE.  
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. Section 31-60 of the general statutes is repealed and the 1 
following is substituted in lieu thereof (Effective October 1, 2023): 2 
(a) [Except as provided in subdivision (5) of subsection (i) of section 3 
31-58, any] Any employer who pays or agrees to pay to an employee 4 
less than the minimum fair wage or overtime wage shall be deemed in 5 
violation of the provisions of this part. 6 
(b) The Labor Commissioner shall adopt such regulations, in 7 
accordance with the provisions of chapter 54, as may be appropriate to 8 
carry out the purposes of this part. Such regulations may include, but 9 
are not limited to, regulations defining and governing an executive, 10 
administrative or professional employee and outside salesperson; 11 
[learners and apprentices, their number, proportion and length of 12 
service;] and piece rates in relation to time rates; and shall recognize, 13 
as part of the minimum fair wage, [gratuities in an amount (1) equal to 14 
twenty-nine and three-tenths per cent, and effective January 1, 2009, 15 
equal to thirty-one per cent of the minimum fair wage per hour, and 16 
effective January 1, 2014, equal to thirty-four and six-tenths per cent of 17 
the minimum fair wage per hour, and effective January 1, 2015, and 18 
ending on June 30, 2019, equal to thirty-six and eight-tenths per cent of 19  Substitute Bill No. 1177 
 
 
LCO    {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01177-
R01-SB.docx }   
2 of 4 
 
the minimum fair wage per hour for persons, other than bartenders, 20 
who are employed in the hotel and restaurant industry, including a 21 
hotel restaurant, who customarily and regularly receive gratuities, (2) 22 
equal to eight and two-tenths per cent, and effective January 1, 2009, 23 
equal to eleven per cent of the minimum fair wage per hour, and 24 
effective January 1, 2014, equal to fifteen and six-tenths per cent of the 25 
minimum fair wage per hour, and effective January 1, 2015, and 26 
ending on June 30, 2019, equal to eighteen and one-half per cent of the 27 
minimum fair wage per hour for persons employed as bartenders who 28 
customarily and regularly receive gratuities, and (3) not to exceed 29 
thirty-five cents per hour in any other industry, and shall also 30 
recognize] deductions and allowances for the value of board, in the 31 
amount of eighty-five cents for a full meal and forty-five cents for a 32 
light meal, lodging, apparel or other items or services supplied by the 33 
employer; and other special conditions or circumstances which may be 34 
usual in a particular employer -employee relationship. The 35 
commissioner may provide, in such regulations, modifications of the 36 
minimum fair wage herein established [for learners and apprentices; 37 
persons under the age of eighteen years; and] for such special cases or 38 
classes of cases as the commissioner finds appropriate to prevent 39 
curtailment of employment opportunities, avoid undue hardship and 40 
safeguard the minimum fair wage herein established. Regulations in 41 
effect on July 1, 1973, providing for a board deduction and allowance 42 
in an amount differing from that provided in this section shall be 43 
construed to be amended consistent with this section. 44 
(c) Regulations adopted by the commissioner pursuant to 45 
subsection (b) of this section which define executive, administrative 46 
and professional employees shall be updated not later than October 1, 47 
2000, and every four years thereafter, to specify that such persons shall 48 
be compensated on a salary basis at a rate determined by the Labor 49 
Commissioner. 50 
[(d) (1) Effective July 1, 2019, the Labor Commissioner shall 51 
recognize, as part of the minimum fair wage, gratuities in an amount 52  Substitute Bill No. 1177 
 
 
LCO    {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01177-
R01-SB.docx }   
3 of 4 
 
equal to the difference between the minimum fair wage and the 53 
employer's share per hour for persons, other than bartenders, who are 54 
employed in the hotel and restaurant industry, including a hotel 55 
restaurant, who customarily and regularly receive gratuities. The 56 
Labor Commissioner shall also recognize, as part of the subminimum 57 
wage established in subdivision (5) of subsection (i) of section 31-58, 58 
gratuities in an amount equal to the difference between such 59 
subminimum wage and the employer's share per hour for persons, 60 
other than bartenders, who are employed in the hotel and restaurant 61 
industry, including a hotel restaurant, who customarily and regularly 62 
receive gratuities. 63 
(2) Effective July 1, 2019, the Labor Commissioner shall recognize, as 64 
part of the minimum fair wage, gratuities in an amount equal to the 65 
difference between the minimum fair wage and the employer's share 66 
per hour for persons employed as bartenders who customarily and 67 
regularly receive gratuities. 68 
(3) As used in this subsection "employer's share" means (A) six 69 
dollars and thirty-eight cents per hour for persons, other than 70 
bartenders, who are employed in the hotel and restaurant industry, 71 
including a hotel restaurant, who customarily and regularly receive 72 
gratuities, and (B) eight dollars and twenty-three cents per hour for 73 
persons employed as bartenders who customarily and regularly 74 
receive gratuities. 75 
(4) Notwithstanding any other law or regulation, any claim brought 76 
under this subsection, section 31-68 as it relates to gratuities as part of 77 
the minimum wage or section 31-62-E3 of the regulations of 78 
Connecticut state agencies filed after September 24, 2022, shall be 79 
adjudicated, solely, under section 31-60-2 of the regulations of 80 
Connecticut state agencies effective on September 24, 2020, and any 81 
amendments thereto. 82 
(e) On and after October 1, 2020, no employer may take any action 83 
to displace an employee, including, but not limited to, a partial 84  Substitute Bill No. 1177 
 
 
LCO    {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01177-
R01-SB.docx }   
4 of 5 
 
displacement of an employee, such as reducing the employee's hours, 85 
wages or employment benefits, for purposes of hiring persons under 86 
the age of eighteen years at a rate below the minimum fair wage. If the 87 
Labor Commissioner determines that an employer has violated this 88 
subsection, the commissioner shall suspend the employer's right to pay 89 
the reduced rate for employees for a period of time specified in 90 
regulations adopted pursuant to subsection (b) of this section.] 91 
Sec. 2. Subdivisions (5) and (6) of subsection (i) of section 31-58 of 92 
the general statutes are repealed and the following is substituted in 93 
lieu thereof (Effective October 1, 2023): 94 
[(5) The rates for all persons under the age of eighteen years, except 95 
emancipated minors, shall be not less than eighty-five per cent of the 96 
minimum fair wage for the first ninety days of such employment, or 97 
ten dollars and ten cents per hour, whichever is greater, and shall be 98 
equal to the minimum fair wage thereafter, except in institutional 99 
training programs specifically exempted by the commissioner.] 100 
[(6)] (5) After two consecutive quarters of negative growth in the 101 
state's real gross domestic product, as reported by the Bureau of 102 
Economic Analysis of the United States Department of Commerce, the 103 
Labor Commissioner shall report his or her recommendations, in 104 
writing, to the Governor regarding whether any scheduled increases in 105 
the minimum fair wage pursuant to this section should be suspended. 106 
Upon receiving the report, the Governor may submit his or her 107 
recommendations regarding the suspension of such minimum fair 108 
wage increases to the General Assembly. 109 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 October 1, 2023 31-60 
Sec. 2 October 1, 2023 31-58(i)(5) and (6) 
 
LAB Joint Favorable Subst.   Substitute Bill No. 1177 
 
 
LCO    {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01177-
R01-SB.docx }   
5 of 5