LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 6239 NOTE PREPARED: Jan 25, 2024 BILL NUMBER: HB 1093 BILL AMENDED: Jan 25, 2024 SUBJECT: Employment of Minors. FIRST AUTHOR: Rep. Culp BILL STATUS: 2 nd Reading - 1 st House FIRST SPONSOR: FUNDS AFFECTED: GENERAL IMPACT: State XDEDICATED FEDERAL Summary of Legislation: (Amended) The bill provides certain exemptions from the employment of minors law. It repeals a provision concerning conditions for the employment of a minor as a performer. The bill provides exemptions from certain hour and time restrictions for the employment of a minor who is at least 14 years of age and less than 16 years of age. The bill also removes language providing that a minor who is at least 14 years of age and less than 16 years of age may only work until 7 p.m. on a day that precedes a school day from June 1 through Labor Day. It also repeals provisions concerning hour and time restrictions for the employment of a minor who is at least 16 years of age and less than 18 years of age. The bill specifies that the prohibition on a minor from working in a hazardous occupation does not apply to a minor who is at least 16 years of age and less than 18 years of age who is employed in agriculture. It repeals a provision concerning restrictions on an employer who employs a minor to work after 10 p.m. and before 6 a.m. It makes corresponding changes. Effective Date: (Amended) January 1, 2025. Explanation of State Expenditures: The bill reduces the number of hour violations, age violations, and hazardous occupation violations that are enforced by the Department of Labor’s Bureau of Youth Employment and may reduce workload and/or expenses related to child labor law inspections. The agency also educates employers about child labor laws, and may have increased workload to inform employers about the changes to Indiana child labor laws. Expenses for enforcing child labor laws are paid from the Labor Education and Youth Employment Fund. Additional Information - A child labor bulletin published by the U.S. Department of Labor regarding child labor requirements in agricultural occupations mentions that a minor aged 14 and older may be allowed to HB 1093 1 work during school hours if they have been excused from attending school based on religious reasons and meet the requirements of the state’s educational attendance laws. Explanation of State Revenues: The bill would likely reduce revenue to the Labor Education and Youth Employment Fund from penalties collected from employers who violate Indiana’s child labor laws. In FY 2023, the fund received $427,825 in revenue from penalty collections. The fund is used to pay the salary of inspectors to enforce child labor laws, to develop and maintain a database of employers who hire young people, and to educate employers about child labor laws. Explanation of Local Expenditures: Explanation of Local Revenues: State Agencies Affected: Department of Labor. Local Agencies Affected: Information Sources: Department of Labor; Legislative Services Agency. Indiana Handbook of Taxes, Revenues, and Appropriations, FY 2023; U.S. Department of Labor Wage and Hour Division. Child Labor Bulletin 102. Child Labor Requirements in Agricultural Occupations Under the Fair Labor Standards Act. https://www.dol.gov/sites/dolgov/files/WHD/legacy/files/childlabor102.pdf Fiscal Analyst: Camille Tesch, 317-232-5293. HB 1093 2