The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Governmental Oversight and Accountability
BILL: CS/CS/SB 676
INTRODUCER: Governmental Oversight and Accountability Committee; Commerce and Tourism
Committee and Senator Martin
SUBJECT: Minimum Wage Requirements
DATE: March 26, 2025
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Dike McKay CM Fav/CS
2. Harmsen McVaney GO Fav/CS
3. RC
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/CS/SB 676 amends the Florida Minimum Wage Act to allow employees to opt out of
receiving the minimum wage for work-study, internship, preapprenticeship, apprenticeship
program, or other similar work-based learning opportunities by signing a waiver acknowledging
that the employee is knowingly and voluntarily choosing to receive a lesser amount. Parents or
guardians must sign the waiver for employees under 18 years of age.
The bill is not expected to affect state and local government revenues and expenditures.
The bill takes effect July 1, 2025.
II. Present Situation:
Federal Minimum Wage
The Fair Labor Standards Act (FLSA) prescribes federal standards for minimum wage, overtime,
recordkeeping, and child labor.
1
As of 2009, the minimum wage that all covered, nonexempt
employees must earn is $7.25.
2
No state may enforce a minimum wage that is below the federal
1
29 U.S.C. s. 206; U.S. DEPT. OF LABOR, Fact Sheet #14: Coverage Under the Fair Labor Standards Act (FLSA),
https://www.dol.gov/agencies/whd/fact-sheets/14-flsa-coverage (last visited Mar. 24, 2025).
2
29 U.S.C. s. 206.
REVISED: BILL: CS/CS/SB 676 Page 2
minimum.
3
As of 2021, around 85% of all wage and salary workers in the U.S. were covered by
the FLSA.
4
The FLSA applies to employees in two categories:
• Enterprise coverage—employees who work for enterprises, businesses or organizations doing
at least $500,000 of business per year, and hospitals, businesses providing medical or nursing
care for residents, schools and preschools, and government agencies; or
• Individual coverage—Employees whose work involves the production of goods for
commerce or engagement in interstate commerce and domestic workers.
5
The FLSA includes several exemptions from the federal minimum hourly wage, that are not
legally required to be paid at the minimum hourly wage rate, including:
• Executive, administrative and professional employees (including teachers and academic
administrative personnel in elementary and secondary schools), outside sales employees, and
employees in certain computer-related occupations.
• Employees in certain seasonal amusement or recreational establishments, employees in
certain small newspapers, seamen employed on foreign vessels, employees engaged in
fishing operations, and employees engaged in newspaper delivery.
• Farm workers employed by anyone who used no more than 500 “man-days” of farm labor in
any calendar quarter of the preceding calendar year.
• Casual babysitters and persons employed as companions for the elderly or infirm.
• Border patrol agents.
• Baseball players who are compensated pursuant to a contract that provides for a weekly
salary for services performed during the league’s championship season at a rate that is not
less than a weekly salary equal to the minimum wage.
6
• Tipped employees, as long as their tips, combined with the employer’s cash wage, equal at
least the federal minimum wage ($7.25). The minimum cash wage for tipped employees is
$2.13 per hour, with the employer able to claim a tip credit of up to $5.12 per hour.
7
• Learners, apprentices, and messengers employed primarily in delivering letters and
messages, under special certificates issued by the Department of Labor.
8
Under the FLSA, employers may pay subminimum wages for certain classes of workers,
including:
• Youth employees under 20 years old for their first 90 days of employment.
• Student employees who receive a special certificate from the Department of Labor to work
part-time in a vocational training program.
3
See U.S. Const. art. VI (the Supremacy Clause of the U.S. Constitution); U.S DEPT. OF LABOR, Minimum Wage, available at
https://www.dol.gov/general/topic/wages/minimumwage (last visited Mar. 24, 2025).
4
Sarah A. Donovan, CONG. RSCH. SERV., The Federal Minimum Wage: In Brief,
https://crsreports.congress.gov/product/pdf/R/R43089 (last visited Mar. 24, 2025).
5
U.S. DEPT. OF LABOR, supra note 1.
6
29 U.S.C. s. 213.
7
29 U.S.C. s. 203(m)(2)(A).
8
29 U.S.C. s. 214. BILL: CS/CS/SB 676 Page 3
• Full-time students who receive a special certificate from the Department of Labor, who are
employed in retail/service establishments, agricultural occupation, or an institution of higher
education.
• Individuals with disabilities who receive a special certificate from the Department of Labor,
whose earning capacity is impaired by a disability.
9
The FLSA also exempts certain people who volunteer to perform services for a state or local
government agency or who volunteer for humanitarian purposes for non-profit food banks. There
is also a recognized exception for individuals who volunteer their time freely and without
anticipation of compensation for religious, charitable, civic, or humanitarian purposes to non-
profit organizations. Unpaid internships for public sector and non-profit charitable organizations,
where the intern volunteers without expectation of compensation, are generally permissible.
10
The FLSA preempts state law that would weaken its worker protections, including minimum
wage rates.
11
However, state laws that impose greater worker protections supersede those
provided for in the FLSA.
12
Florida law does not indicate or allow for wage exceptions for
learners, apprentices, or messengers. Thus, the FLSA provisions apply for those workers.
Florida Minimum Wage
Constitutional Amendment
In 2004, Floridians voted to amend the Florida Constitution by adding a minimum wage
provision that established the state minimum wage,
13
which provides that “all working Floridians
are entitled to be paid a minimum wage […]”
14
and that “[e]mployers shall pay employees wages
no less than the minimum wage for all hours worked in Florida.”
15
In 2020, citizens again voted to amend the Florida Constitution to gradually increase the state
minimum wage each year, starting at $10.00 per hour and rising until it reaches $15.00 per hour
on September 30, 2026.
16
Currently, the Florida minimum wage is $13.00 per hour.
17
Pursuant to
the amendment, on September 30, 2027, and each following year on that date, Florida’s
Department of Commerce must adjust the minimum wage for inflation.
18
The Florida Constitution states that “implementing legislation is not required in order to enforce
this amendment”, but that the legislature may by statute adopt any measures appropriate for the
9
U.S. Dep’t of Labor, Subminimum Wage, https://www.dol.gov/general/topic/wages/subminimumwage (last visited Mar. 25,
2025).
10
U.S. Dep’t of Labor, Wage and Hour Division, Fact Sheet 71: Internship Programs Under the Fair Labor Standards Act,
https://www.dol.gov/agencies/whd/fact-sheets/71-flsa-internships (last visited Mar. 25, 2025).
11
29 U.S.C. s. 218.
12
Congressional Research Services, CRS Report R42713, The Fair Labor Standards Act (FLSA): An Overview, Updated
March 8, 2023, https://crsreports.congress.gov/product/pdf/R/R42713, (last visited March 25, 2025).
13
See FLA. CONST. art. X, § 24.
14
FLA. CONST. art. X, § 24(a).
15
FLA. CONST. art. X, § 24(c).
16
Id.
17
U.S. DEPT. OF LABOR, State Minimum Wage Laws, https://www.dol.gov/agencies/whd/minimum-wage/state (last visited
Mar. 24, 2025).
18
FLA. CONST. art. X, § 24. BILL: CS/CS/SB 676 Page 4
implementation of this amendment. It continues by enumerating the state legislature’s
implementing authority to: establish additional remedies or fines for violations of this
amendment raise the applicable minimum wage rate, reduce the tip credit, or extend coverage of
the minimum wage to employers or employees not covered by this amendment. (emphasis added)
In the “definitions” section of article X, section 24 of the Florida Constitution, the terms
“employer,” “employee,” and “wage” are deemed to “have the same meaning as those
established under the FLSA and its implementing regulations.”
19
This constitutional provision
further states in section (f) that the case law, administrative interpretations, and other guiding
standards under the FLSA shall guide the construction and implementation of Florida’s
constitutional minimum wage.
20
As a result, the FLSA and its exceptions and exemptions are
incorporated into the Florida minimum wage amendment.
21
The FLSA defines:
22
• Employer as “any person acting directly or indirectly in the interest of an employer in
relation to an employee and includes a public agency, but does not include any labor
organization (other than when acting as an employer) or anyone acting in the capacity of an
officer or agency of such labor organization.”
• Employee as “any individual employed by an employer.”
The FLSA requires for-profit employers to pay employees for their work. However, interns and
students may not fit the definition of an employee under the FLSA—in which case the FLSA
does not require compensation for their work. Courts have used the “primary beneficiary test” to
determine whether an intern or student is, in fact, an employee under the FLSA.
23
This
determination is made on a case-by-case basis.
This test allows courts to examine the “economic reality” of the intern-employer relationship to
determine which party is the “primary beneficiary” of the relationship. Courts
24
have identified
the following seven factors as part of the test:
• The extent to which the intern and the employer clearly understand that there is no
expectation of compensation. Any promise of compensation, express or implied, suggests
that the intern is an employee— and vice versa.
• The extent to which the internship provides training that would be similar to that which
would be given in an educational environment, including the clinical and other hands-on
training provided by educational institutions.
19
Emphasis added.
20
FLA. CONST. art. X, § 24(f).
21
Op. Att’y Gen. Fla. 2005-64 (2005); see also In re Advisory Opinion to the Atty. Gen. re Fla. Minimum Wage Amend., 880
So. 2d 636 (Fla. 2004).
22
29 U.S.C. s. 203.
23
E.g., Benjamin v. B & H Educ., Inc., --- F.3d ---, 2017 WL 6460087, at *4-5 (9th Cir. Dec. 19, 2017); Glatt v. Fox
Searchlight Pictures, Inc., 811 F.3d 528, 536-37 (2d Cir. 2016); Schumann v. Collier Anesthesia, P.A., 803 F.3d 1199, 1211-
12 (11th Cir. 2015); see also Walling v. Portland Terminal Co., 330 U.S. 148, 152-53 (1947); Solis v. Laurelbrook
Sanitarium & Sch., Inc., 642 F.3d 518, 529 (6th Cir. 2011).
24
Schumann v. Collier Anesthesia, PA, 803 F.3d 1199 (11th Cir. 2015) (Adopting a modified version of the "primary
beneficiary" test, which examines the "economic reality" of the relationship between the intern and employer to determine
who benefits most.) BILL: CS/CS/SB 676 Page 5
• The extent to which the internship is tied to the intern’s formal education program by
integrated coursework or the receipt of academic credit.
• The extent to which the internship accommodates the intern’s academic commitments by
corresponding to the academic calendar.
• The extent to which the internship’s duration is limited to the period in which the internship
provides the intern with beneficial learning.
• The extent to which the intern’s work complements, rather than displaces, the work of paid
employees while providing significant educational benefits to the intern.
• The extent to which the intern and the employer understand that the internship is conducted
without entitlement to a paid job at the conclusion of the internship.
Courts have described the “primary beneficiary test” as a flexible test, and no single factor is
determinative. Accordingly, whether an intern or student is an employee under the FLSA
necessarily depends on the unique circumstances of each case.
If analysis of these circumstances reveals that an intern or student is actually an employee, then
he or she is entitled to both minimum wage and overtime pay under the FLSA. On the other
hand, if the analysis confirms that the intern or student is not an employee, then he or she is not
entitled to either minimum wage or overtime pay under the FLSA.
Therefore, labels of employment positions such as “intern,” “student worker,” and “apprentice”
do not alone transform the job into a non-employee position under the FLSA. In virtue of
Florida’s construction of its constitutional minimum wage provision, the FLSA’s meaning of
employee is incorporated into Florida law.
Florida Statute
The Florida Minimum Wage Act (Act), s. 448.110, F.S., implements the requirements of the
constitutional amendment in statute.
25
The Act only applies to individuals entitled to receive
federal minimum wage under the FLSA.
26
It also specifies that ss. 213 and 214 of the FLSA,
which set forth exceptions and exemptions to the minimum wage, are incorporated into Florida
minimum wage law.
27
Additionally, as directed by the Florida Constitution’s minimum wage amendment, the Act
provides a cause of action for individuals against employers who do not follow minimum wage
requirements, retaliate against an employee for exercising their rights, or otherwise violate the
Act.
28
Any individual and the Attorney General are also authorized to bring civil actions against
employers who violate it, which may result in injunctive relief or fines paid to the state.
29
25
Ch. 2005-353, Laws of Fla., codified in s. 448.110, F.S.
26
Section 448.110(3), F.S.
27
Id. However, section 213 of the FLSA was amended in 2014 and 2018, concerning border patrol agents and minor league
baseball players, respectively. Because a cross-reference to a specific statute incorporates the language of the referenced
statute as it existed at the time the reference was enacted, unaffected by any subsequent amendments thereto, these specific
FLSA amendments are not a part of Florida’s minimum wage law. See Overstreet v. Blum, 227 So.2d 197 (Fla. 1969).
28
Section 448.110(5)-(6), F.S., which implements FLA. CONST. art. X, § 24(d), prohibiting such retaliation.
29
Section 448.110(7), F.S., which implements FLA. CONST. art. X, § 24(e), providing for enforcement of the constitutional
minimum wage provision. BILL: CS/CS/SB 676 Page 6
Non-FLSA Requirements for Work-Based Learning Opportunities
The federal government’s work-study program provides part-time employment to certain
students who attend higher education institutions.
30
A student is eligible to take part in this
program if they are a full-time student accepted at or enrolled in an eligible institution and
otherwise meet the eligibility requirements of 34 C.F.R. 668.32; have a demonstrated financial
need; and are enrolled at an institution of higher education.
31
The student may work for
qualifying employers or the education institution itself.
32
Further, the student participating in a
work-study program must be paid at least the minimum wage rate under the FLSA.
33
Additionally, the federal government sets forth labor standards and governs registration of
apprenticeship programs under the National Apprenticeship Act.
34
Each employer registered
with a state apprenticeship program must pay at least the minimum wage under the FLSA, or a
higher wage if required by applicable state law.
35
Each state has a registered apprentice program
which must be approved by the Office of Apprenticeship at the U.S. Department of Labor.
36
Florida’s apprenticeship program provides work-based learning opportunities for people who are
at least 16 years old to gain trade skills while still in school.
37
The Florida Department of
Education has developed standards for apprenticeable trades to establish programs with public
schools and the Florida College System.
38
These trades include plumbing, heating and air
conditioning technicians, teaching, cybersecurity, and more.
39
III. Effect of Proposed Changes:
Section 1 amends s. 448.110, F.S., to provide that an employer is not subject to the minimum
wage requirements of this section for certain employees who choose to opt out of the minimum
wage. The covered employees are those who are employed in a structured work-study,
internship, preapprenticeship program, apprenticeship program, or other similar work-based
learning opportunity. Such employees may opt out of receiving the minimum wage by signing a
waiver, which must state that the employee is knowingly and voluntarily choosing to work for an
amount lower than the minimum wage. If the employee is under 18 years old, a parent or
guardian of the employee must sign the waiver on behalf of the employee.
The bill also releases the state from adherence to the FLSA and any of its regulations or
interpretations where an employee voluntarily waives his or her right to receive the state
minimum wage in the context of the state’s incorporation of the FLSA’s minimum wage
exceptions provided for in its ss. 213 (exemptions) and 214 (exceptions as provided for in
employment under special certificates).
30
20 U.S.C. § 1087-51; 34 C.F.R. § 675.1.
31
34 C.F.R. § 675.9.
32
34 C.F.R. §§ 675.20-675.21.
33
34 C.F.R. § 675.24.
34
See 29 U.S.C. ss.50 et seq; 29 C.F.R. 29.
35
29 C.F.R. § 29.5.
36
29 C.F.R. 29.3.
37
See ss. 446.011-446.092, F.S.
38
Section 446.011, F.S.
39
Florida Dept. of Education, Florida’s Annual Apprenticeship and Preapprenticeship Report 2023-2024,
https://www.fldoe.org/academics/career-adult-edu/research-evaluation/annual-app-reports.stml (last visited Mar. 25, 2025). BILL: CS/CS/SB 676 Page 7
The bill contains a severability clause providing that if any provision is held invalid, that
provision is severable and does not affect the validity of other provisions.
While the bill modifies the statutory structure of the state minimum wage, the State Constitution
is unamended and is the controlling authority on the requirements of the state minimum wage.
See Section IV, Constitutional Issues, for a discussion of the constitutional issues implicated.
Section 2 provides an effective date of July 1, 2025.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
Not applicable. The bill does not require counties or municipalities to take an action
requiring the expenditure of funds, reduce the authority that counties or municipalities
have to raise revenue in the aggregate, or reduce the percentage of state tax shared with
counties or municipalities.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
Under article X, section 24 of the Florida Constitution, “employers shall pay Employee
Wages no less than the Minimum Wage for all hours worked in Florida.” When
interpreting the meaning of a statute or constitutional provision, courts will abide by the
plain language of the text if it is unambiguous.
40
The language of the constitutional
mandate dictates that employers must pay the established, hourly minimum wage to
employees. If an employee signs a waiver stating that they opt out of minimum wage
requirements, the employer continues to be bound by its duty to pay the minimum wage
for all hours worked in Florida, pursuant to the State Constitution. The Constitution
contemplates any person’s ability to “file a complaint or inform any person about any
party’s alleged noncompliance with this amendment.” The State Constitution further
allows both an aggrieved employee and the state attorney general or other official
40
McCloud v. State, 260 So. 3d 911, 914-15 (Fla. 2018); Garcia v. Andonie, 101 So. 3d 339 (Fla. 2012) (“Constitutional
analysis must begin with examination of explicit language of provisions in question and, where the language is unambiguous
and addresses the matter at issue, the provision should be enforced as written.”). BILL: CS/CS/SB 676 Page 8
designated by the state legislature to bring an enforcement civil action. This implies a
vested interest of the whole public in ensuring the payment of a minimum wage to an
employee.
“The Constitution of Florida provides within itself the only methods for its amendment or
revision. Thus, the Constitution cannot be modified, amended or repealed by legislative
enactments, executive usurpation, or judicial interpretation, except by amendment.”
41
There is no exception or exemption from the minimum wage specified in the state
constitution, other than those incorporated from the FLSA.
42
A Florida appellate
decision
43
on an appeal from a denial of unemployment compensation benefits, the court
found that since “the Florida Statutes expressly adopt the FLSA, as interpreted and
implemented by federal law, ‘[n]o one can doubt but that to allow waiver of statutory
[minimum] wages by agreement would nullify the purposes of the [FLSA].’”
44
Some constitutional rights can be waived, such as the right to remain silent in police
interrogation or the right to a homestead exemption.
45
While it is true that “most personal
constitutional rights may be waived… an individual cannot waive a right designed to
protect both the individual and the public.”
46
Further, an individual may only forego a
constitutional right if “it was the product of free and deliberate choice rather than
intimidation, coercion, or deception.”
47
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
The bill allows employers (both private and public) to pay less than the minimum wage
to an employee who opts out of receiving it, in the context of a structured work-study,
internship, preapprenticeship, or apprenticeship program, or other similar work-based
learning opportunity. This may result in increased savings for the employer. However,
other employers who do not offer such work-based learning opportunities may be
disadvantaged based on the differential personnel costs.
41
Throw v. Republic Enterprise Systems, Inc., case no.: 8:06-cv-724-T-30TBM, 2006 U.S. Dist. LEXIS 46215, 2006 WL
1823783 (M.D. Fla. June 30, 2006), quoting Sparkman v. State ex rel. Scott, 58 So.2d 432, 432 (Fla. 1952).
42
See Art. X, § 24(f), FLA. CONST. (“It is intended that case law, administrative interpretations, and other guiding standards
developed under the federal FLSA shall guide the construction of this amendment and any implementing statutes or
regulations.”).
43
Martinez v. Ford Midway Mall, Inc., 59 So. 3d 168 (Fla. 3d DCA 2011).
44
Id. at 173, citing Brooklyn Savings Bank v. O’Neill, 324 U.S. 697, 707 (1945).
45
See Chames v. DeMayo, 972 So. 2d 850 (Fla. 2007); Hartwell v. Blasingame, 564 So. 2d 543 (Fla. 2d DCA 1990),
approved, 584 So. 2d 6 (Fla. 1991).
46
Chames, 972 So. 2d at 860.
47
Sliney v. State, 699 So. 2d 662, 668 (Fla. 1997). BILL: CS/CS/SB 676 Page 9
C. Government Sector Impact:
The bill is not expected to affect state and local government revenues and expenditures.
VI. Technical Deficiencies:
None.
VII. Related Issues:
“Internship” does not appear to have a standardized definition in Florida law, so it may be
unclear what types of internships will be eligible for the minimum wage opt-out.
The Legislature’s authority to adopt law regarding the minimum wage is limited by article X,
section 24(f) of the Florida Constitution, which enumerates specific acts the legislature may take
in implementing the amendment (establish additional remedies or fines for violations, raise the
applicable minimum wage, reduce the tip credit, or extend the minimum wage to employers or
employees who are not covered by the amendment). The provision of a waiver of the minimum
wage requirements does not appear to fall into any of the specific acts provided for.
VIII. Statutes Affected:
This bill substantially amends s. 448.110, F.S.
IX. Additional Information:
A. Committee Substitute – Statement of Substantial Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
CS/CS by Governmental Oversight and Accountability on March 25, 2025:
The CS releases the state from adherence to the FLSA and any of its regulations or
interpretations where an employee voluntarily waives his or her right to receive the state
minimum wage in the context of the state’s incorporation of the FLSA’s minimum wage
exceptions provided for in its ss. 213 (exemptions) and 214 (exceptions as provided for in
employment under special certificates).
CS by Commerce and Tourism on March 10, 2025:
The committee substitute creates a provision that employees may waive their right to
minimum wage by signing a waiver with specified language; provides that parents of
minors must sign the waiver for employees under 18 years old; and adds a severability
clause to the bill.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.