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AN ACT relating to wage transparency. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 337.010 is amended to read as follows: 3
(1) As used in this chapter, unless the context requires otherwise: 4
(a) "Commissioner" means the commissioner of the Department of Workplace 5
Standards under the direction and supervision of the secretary of the Labor 6
Cabinet; 7
(b) "Department" means the Department of Workplace Standards in the Labor 8
Cabinet; 9
[(c) 1. "Wages" includes any compensation due to an employee by reason of his 10
or her employment, including salaries, commissions, vested vacation 11
pay, overtime pay, severance or dismissal pay, earned bonuses, and any 12
other similar advantages agreed upon by the employer and the employee 13
or provided to employees as an established policy. The wages shall be 14
payable in legal tender of the United States, checks on banks, direct 15
deposits, or payroll card accounts convertible into cash on demand at 16
full face value, subject to the allowances made in this chapter. However, 17
an employee may not be charged an activation fee and the payroll card 18
account shall provide the employee with the ability, without charge, to 19
make at least one (1) withdrawal per pay period for any amount up to 20
and including the full account balance. 21
2. For the purposes of calculating hourly wage rates for scheduled overtime 22
for professional firefighters, as defined in KRS 95A.210(8), "wages" 23
shall not include the distribution to qualified professional firefighters by 24
local governments of supplements received from the Firefighters 25
Foundation Program Fund. For the purposes of calculating hourly wage 26
rates for unscheduled overtime for professional firefighters, as defined in 27 UNOFFICIAL COPY 22 RS BR 1390
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KRS 95A.210(9), "wages" shall include the distribution to qualified 1
professional firefighters by local governments of supplements received 2
from the Firefighters Foundation Program Fund;] 3
(c)[(d)] "Employer" is any person, either individual, corporation, partnership, 4
agency, or firm who employs an employee and includes any person, either 5
individual, corporation, partnership, agency, or firm acting directly or 6
indirectly in the interest of an employer in relation to an employee;[ and] 7
(d)[(e)] "Employee" is any person employed by or suffered or permitted to work 8
for an employer, except that: 9
1. Notwithstanding any voluntary agreement entered into between the 10
United States Department of Labor and a franchisee, neither a franchisee 11
nor a franchisee's employee shall be deemed to be an employee of the 12
franchisor for any purpose under this chapter; and 13
2. Notwithstanding any voluntary agreement entered into between the 14
United States Department of Labor and a franchisor, neither a franchisor 15
nor a franchisor's employee shall be deemed to be an employee of the 16
franchisee for any purpose under this chapter. 17
For purposes of this paragraph, "franchisee" and "franchisor" have the same 18
meanings as in 16 C.F.R. sec. 436.1;[.] 19
(e) "Job posting" means an advertisement for employment, whether printed or 20
electronic, made by an employer for the purpose of attracting applications 21
for employment from potential employees and that describes the position the 22
employer seeks to fill; 23
(f) 1. "Wages" includes any compensation due to an employee by reason of 24
his or her employment, including salaries, commissions, vested 25
vacation pay, overtime pay, severance or dismissal pay, earned 26
bonuses, and any other similar advantages agreed upon by the 27 UNOFFICIAL COPY 22 RS BR 1390
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employer and the employee or provided to employees as an established 1
policy. The wages shall be payable in legal tender of the United States, 2
checks on banks, direct deposits, or payroll card accounts convertible 3
into cash on demand at full face value, subject to the allowances made 4
in this chapter. However, an employee may not be charged an 5
activation fee and the payroll card account shall provide the employee 6
with the ability, without charge, to make at least one (1) withdrawal 7
per pay period for any amount up to and including the full account 8
balance. 9
2. For the purposes of calculating hourly wage rates for scheduled 10
overtime for professional firefighters, as defined in KRS 95A.210(8), 11
"wages" shall not include the distribution to qualified professional 12
firefighters by local governments of supplements received from the 13
Firefighters Foundation Program Fund. For the purposes of 14
calculating hourly wage rates for unscheduled overtime for 15
professional firefighters, as defined in KRS 95A.210(9), "wages" shall 16
include the distribution to qualified professional firefighters by local 17
governments of supplements received from the Firefighters 18
Foundation Program Fund; and 19
(g) "Wage range" means the range of wages an employer anticipates relying 20
on when setting wages for a position, and may include reference to any 21
applicable pay scale, previously determined range of wages for the position, 22
actual range of wages for those employees currently holding comparable 23
positions, or the employer's budgeted amount for that position. 24
(2) As used in KRS 337.275 to 337.325, 337.345, and 337.385 to 337.405, unless the 25
context requires otherwise: 26
(a) "Agriculture" means farming in all its branches, including cultivation and 27 UNOFFICIAL COPY 22 RS BR 1390
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tillage of the soil; dairying; production, cultivation, growing, and harvesting 1
of any agricultural or horticultural commodity; raising of livestock, bees, 2
furbearing animals, or poultry; and any practice, including any forestry or 3
lumbering operations, performed on a farm in conjunction with farming 4
operations, including preparation and delivery of produce to storage, to 5
market, or to carriers for transportation to market; 6
(b)[(a)] "Employee" is any person employed by or suffered or permitted to work 7
for an employer, but shall not include: 8
1. Any individual employed in agriculture; 9
2. Any individual employed in a bona fide executive, administrative, 10
supervisory, or professional capacity, or in the capacity of outside 11
salesman, or as an outside collector as the terms are defined by 12
administrative regulations of the commissioner; 13
3. Any individual employed by the United States; 14
4. Any individual employed in domestic service in or about a private home. 15
The provisions of this section shall include individuals employed in 16
domestic service in or about the home of an employer where there is 17
more than one (1) domestic servant regularly employed; 18
5. Any individual classified and given a certificate by the commissioner 19
showing a status of learner, apprentice, worker with a disability, 20
sheltered workshop employee, and student under administrative 21
procedures and administrative regulations prescribed and promulgated 22
by the commissioner. This certificate shall authorize employment at the 23
wages, less than the established fixed minimum fair wage rates, and for 24
the period of time fixed by the commissioner and stated in the certificate 25
issued to the person; 26
6. Employees of retail stores, service industries, hotels, motels, and 27 UNOFFICIAL COPY 22 RS BR 1390
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restaurant operations whose average annual gross volume of sales made 1
for business done is less than ninety-five thousand dollars ($95,000) for 2
the five (5) preceding years exclusive of excise taxes at the retail level or 3
if the employee is the parent, spouse, child, or other member of his or 4
her employer's immediate family; 5
7. Any individual employed as a baby-sitter in an employer's home, or an 6
individual employed as a companion by a sick, convalescing, or elderly 7
person or by the person's immediate family, to care for that sick, 8
convalescing, or elderly person and whose principal duties do not 9
include housekeeping; 10
8. Any individual engaged in the delivery of newspapers to the consumer; 11
9. Any individual subject to the provisions of KRS Chapters 7, 16, 27A, 12
30A, and 18A provided that the secretary of the Personnel Cabinet shall 13
have the authority to prescribe by administrative regulation those 14
emergency employees, or others, who shall receive overtime pay rates 15
necessary for the efficient operation of government and the protection of 16
affected employees; 17
10. Any employee employed by an establishment which is an organized 18
nonprofit camp, religious, or nonprofit educational conference center, if 19
it does not operate for more than two hundred ten (210) days in any 20
calendar year; 21
11. Any employee whose function is to provide twenty-four (24) hour 22
residential care on the employer's premises in a parental role to children 23
who are primarily dependent, neglected, and abused and who are in the 24
care of private, nonprofit childcaring facilities licensed by the Cabinet 25
for Health and Family Services under KRS 199.640 to 199.670; 26
12. Any individual whose function is to provide twenty-four (24) hour 27 UNOFFICIAL COPY 22 RS BR 1390
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residential care in his or her own home as a family caregiver, family 1
home provider, or adult foster care provider and who is approved to 2
provide family caregiver services to an adult with a disability through a 3
contractual relationship with a community board for mental health or 4
individuals with an intellectual disability established under KRS 5
210.370 to 210.460 or through a contractual relationship with a certified 6
waiver provider as defined in 907 KAR 7:005 sec. 1(5), or is certified or 7
licensed by the Cabinet for Health and Family Services to provide adult 8
foster care; 9
13. A direct seller as defined in Section 3508(b)(2) of the Internal Revenue 10
Code of 1986; or 11
14. Any individual whose function is to provide behavior support services, 12
behavior programming services, case management services, community 13
living support services, positive behavior support services, or respite 14
services through a contractual relationship with a certified waiver 15
provider, as defined in 907 KAR 7:005 sec. 1(5), pursuant to a 1915(c) 16
home and community based services waiver program, as defined in 907 17
KAR 7:005 sec. 1(2); 18
[(b) "Agriculture" means farming in all its branches, including cultivation and 19
tillage of the soil; dairying; production, cultivation, growing, and harvesting of 20
any agricultural or horticultural commodity; raising of livestock, bees, 21
furbearing animals, or poultry; and any practice, including any forestry or 22
lumbering operations, performed on a farm in conjunction with farming 23
operations, including preparation and delivery of produce to storage, to 24
market, or to carriers for transportation to market;] 25
(c) "Gratuity" means voluntary monetary contribution received by an employee 26
from a guest, patron, or customer for services rendered; 27 UNOFFICIAL COPY 22 RS BR 1390
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(d) "Tipped employee" means any employee engaged in an occupation in which 1
he or she customarily and regularly receives more than thirty dollars ($30) per 2
month in tips; and 3
(e) "U.S.C." means the United States Code. 4
SECTION 2. A NEW SECTION OF KRS CHAPTER 337 IS CREATED TO 5
READ AS FOLLOWS: 6
In every job posting, the employer responsible for the job posting shall disclose the 7
wages or wage range, as well as a general description of all benefits or other 8
compensation, associated with the position described in the job posting. 9
Section 3. KRS 95A.250 is amended to read as follows: 10
(1) (a) An eligible local government shall be entitled to receive an annual supplement 11
of three thousand dollars ($3,000) and, beginning July 1, 2018, an annual 12
supplement of four thousand dollars ($4,000) for each qualified professional 13
firefighter it employs, plus an amount equal to the required employer's 14
contribution on the supplement to the defined benefit pension plan, or to a 15
plan qualified under Section 401(a) or Section 457 of the Internal Revenue 16
Code of 1954 as amended. 17
(b) The employer's contribution to any of these plans on the supplement shall not 18
exceed the required employer's contribution to the County Employees 19
Retirement System pursuant to KRS Chapter 78 for the hazardous duty 20
category. The pension contribution on the supplement shall be paid whether 21
the professional firefighter entered the system under hazardous duty coverage 22
or nonhazardous coverage. 23
(c) The local unit of government shall pay the amount received for retirement 24
coverage to the appropriate retirement system to cover the required employer 25
contribution on the supplement. 26
(d) Should the foundation program funds be insufficient to pay employer 27 UNOFFICIAL COPY 22 RS BR 1390
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contributions to the system, then the total amount available for pension 1
payments shall be prorated to each eligible government so that each receives 2
the same percentage of required pension costs attributable to the supplement. 3
(e) 1. In addition to the payments received under paragraphs (a) and (b) of this 4
subsection, but only if sufficient funds are available to fully reimburse 5
each eligible local government for the employer contributions to the 6
pension system, each local government shall receive an administrative 7
expense reimbursement in an amount equal to seven and sixty-five one-8
hundredths percent (7.65%) of the total annual supplement received 9
greater than three thousand one hundred dollars ($3,100) for each 10
qualified professional firefighter it employs, subject to the cap 11
established by subparagraph 3. of this paragraph. 12
2. The local government may use the moneys received under this paragraph 13
in any manner it deems necessary to partially cover the costs of 14
administering the payments received under paragraph (a) of this 15
subsection. 16
3. The total amount distributed under this paragraph shall not exceed the 17
total sum of two hundred fifty thousand dollars ($250,000) for each 18
fiscal year. If there are insufficient funds to provide for full 19
reimbursement as provided in subparagraph 1. of this paragraph, then 20
the amount shall be distributed pro rata to each eligible local 21
government so that each receives the same percentage attributable to its 22
total receipt of the cash salary supplement. 23
(2) (a) Each qualified professional firefighter, whose local government receives a 24
supplement pursuant to subsection (1)(a) of this section due to employment of 25
the firefighter, shall receive distribution of the supplement from that local 26
government in twelve (12) equal monthly installments with his or her pay for 27 UNOFFICIAL COPY 22 RS BR 1390
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the last pay period of each month. The monthly distribution shall be calculated 1
by dividing the supplement amount established in subsection (1)(a) of this 2
section by twelve (12). 3
(b) The supplement disbursed to a qualified professional firefighter pursuant to 4
this section shall not be considered "wages" as defined by KRS 5
337.010(1)(f)1[337.010(1)(c)1]. and shall not be included in the hourly wage 6
rate for calculation of overtime pursuant to KRS 337.285 for scheduled 7
overtime. The supplement shall be included in the hourly wage rates for 8
calculation of overtime for unscheduled overtime pursuant to KRS 337.285. 9
(c) To determine the addition to the hourly wage rate for calculation of overtime 10
on unscheduled overtime, the annual supplement shall be divided by two 11
thousand eighty (2,080). The overtime rate for unscheduled overtime shall be 12
calculated by adding the quotient, which is the amount of the annual 13
supplement divided by two thousand eighty (2,080), to the hourly wage rate 14
and multiplying the total by one and one-half (1.5). The enhanced overtime 15
rate shall be paid only for unscheduled overtime. Scheduled overtime shall be 16
paid at one and one-half (1.5) times the regular hourly wage rate, excluding 17
the supplement. 18
(3) (a) The Kentucky Community and Technical College System shall be entitled to 19
receive annually a supplement equal to the amount determined in subsection 20
(1) of this section for each Kentucky fire and rescue training coordinator 21
employed by the Kentucky Community and Technical College System who 22
meets the qualifications for individual firefighters required in KRS 95A.230, 23
plus an amount equal to the required employer's contribution on the 24
supplement to the defined benefit pension plan. 25
(b) The Department of Military Affairs shall be entitled to receive annually a 26
supplement equal to the amount determined in subsection (1) of this section 27 UNOFFICIAL COPY 22 RS BR 1390
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for each civilian firefighter employed by the Department of Military Affairs 1
who meets the qualifications for individual firefighters required in KRS 2
95A.230, plus an amount equal to the required employer's contribution on the 3
supplement to the defined benefit pension plan. 4
(c) Each fire and rescue training coordinator employed by the Kentucky 5
Community and Technical College System and each civilian firefighter 6
employed by the Department of Military Affairs, whose employer receives a 7
supplement pursuant to this subsection, shall receive distribution from that 8
employer of the supplement which his or her qualifications brought to the 9
employer. The supplement distributed shall be in addition to his or her regular 10
salary. 11
Section 4. KRS 337.020 is amended to read as follows: 12
Every employer doing business in this state shall, as often as semimonthly, pay to each of 13
its employees all wages or salary earned to a day not more than eighteen (18) days prior to 14
the date of that payment. Any employee who is absent at the time fixed for payment, or 15
who, for any other reason, is not paid at that time, shall be paid thereafter at any time 16
upon six (6) days' demand. No employer subject to this section shall, by any means, 17
secure exemption from it. Every such employee shall have a right of action against any 18
such employer for the full amount of his wages due on each regular pay day. The 19
provisions of this section do not apply to those individuals defined in KRS 20
337.010(2)(b)2[337.010(2)(a)2]. 21