SLS 20RS-114 ORIGINAL 2020 Regular Session SENATE BILL NO. 136 BY SENATOR CARTER EMPLOYMENT. Provides for an increase in state minimum wage. (gov sig) 1 AN ACT 2 To enact Chapter 6-B of Title 23 of the Louisiana Revised Statutes of 1950, to be comprised 3 of R.S. 23:671 through 677, relative to minimum wage; to provide for state minimum 4 wage; to provide for annual increases to the minimum wage; to provide for 5 enforcement; to provide for exceptions; to provide relative to a civil action; to 6 provide for venue; to provide for damages; to provide for reporting of certain 7 information; to provide for terms, conditions, and procedure; and to provide for 8 related matters. 9 Be it enacted by the Legislature of Louisiana: 10 Section 1. Chapter 6-B of Title 23 of the Louisiana Revised Statutes of 1950, 11 comprised of R.S. 23:671 through 677, is hereby enacted to read as follows: 12 CHAPTER 6-B. MINIMUM WAGE 13 §671. Minimum wage; establishment 14 A.(1) Notwithstanding any provision of law to the contrary, beginning 15 January 1, 2021, the state minimum wage shall be set at ten dollars per hour. 16 Every employer in the state shall pay to each employee wages at a rate of not 17 less than ten dollars per hour for hours worked in a pay period, regardless of Page 1 of 5 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 136 SLS 20RS-114 ORIGINAL 1 how the time at work is measured. 2 (2) Beginning January 1, 2022, and each January first thereafter, the 3 minimum wage shall be increased by the percentage increase of the Consumer 4 Price Index for all Urban Consumers (CPI-U), or its successor index, as 5 calculated by the United States Department of Labor, or its successor agency, 6 for the twelve months preceding the previous September first. The minimum 7 wage shall be rounded off to the nearest five cents. The minimum wage shall not 8 be decreased in the event of a decrease in the CPI-U. 9 (3)(a) The executive director of the Louisiana Workforce Commission 10 shall calculate the new minimum wage annually in accordance with the 11 provisions of this Section. 12 (b) On or before October first of each year, the executive director shall 13 publish on the commission's website the new minimum wage rate in effect 14 January first of the next year. 15 B. If, at any time, the federal minimum hourly wage rate set by Section 16 6 of the federal Fair Labor Standards Act of 1938, or a successor federal law, 17 is raised to a level higher than the state minimum wage rate, then the state 18 minimum wage rate shall be increased to the level of the federal minimum wage 19 rate. 20 §672. Enforcement 21 The executive director of the Louisiana Workforce Commission shall 22 enforce the provisions of this Chapter, and if necessary, adopt rules in the 23 accordance with the Administrative Procedure Act, R.S. 49:950 et seq., to 24 implement the provisions of this Chapter. 25 §673. Civil action; venue 26 A. An employee shall have the right to file an action to enforce a wage 27 claim against the employer and proceed pursuant to the Code of Civil 28 Procedure Article 2592. 29 B. Notwithstanding any provision of law to the contrary, the civil action Page 2 of 5 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 136 SLS 20RS-114 ORIGINAL 1 may be instituted in a parish, city, or district court of proper venue as follows: 2 (1) If the employer is a person, natural or juridical, venue shall be 3 proper in the parish where the plaintiff is domiciled, or the parish where the 4 work or service subject to minimum wage was performed, or a parish of proper 5 venue pursuant to the general rules of venue pursuant to Code of Civil 6 Procedure Article 42. 7 (2) If the employer is the state, venue shall be proper in the Nineteenth 8 Judicial District Court in East Baton Rouge Parish. 9 (3) If the employer is a public entity other than the state, venue shall be 10 proper in the parish of such entity's domicile. 11 §674. Damages 12 An employer who violates the provisions of this Chapter shall pay the 13 affected employee the difference between wages actually paid to the employee 14 and the minimum wage rate in effect at the time the employee was paid for each 15 hour worked, plus reasonable attorney fees and court costs. 16 §675. Limitation of action 17 A civil action filed to recover wages for a violation of this Chapter shall 18 be commenced within three years from the date that an employee becomes 19 aware that the employer is in violation of the provisions of this Chapter. 20 §676. Notification and reporting; clerk of court; commission 21 A. Beginning February 1, 2021, the clerk for each court shall maintain 22 a docket for the record of cases filed pursuant to the provisions of this Chapter. 23 Such dockets shall be submitted monthly to the Louisiana Workforce 24 Commission. 25 B.(1) Beginning January 1, 2022, the Louisiana Workforce Commission 26 shall compile an annual report with the following information from the 27 preceding calendar year: 28 (a) The name of each employer who violated the provisions of this 29 Chapter. Page 3 of 5 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 136 SLS 20RS-114 ORIGINAL 1 (b) The number of employees affected by such violation. 2 (c) The dollar amount of each violation. 3 (2) On or before March 1, 2022, and on or before March first of each 4 year thereafter, the commission shall submit such report to the senate and 5 house committees on Labor and Industrial Relations and the office of the 6 governor. 7 §677. Exceptions 8 A. The provisions of this Chapter shall not apply to a student learner, as 9 defined in 29 CFR §520.300, who is employed by any of the following: 10 (1) The state. 11 (2) State colleges and universities. 12 (3) A private employer. 13 B. The minimum wage for student learners shall not be less than seventy- 14 five percent of the minimum wage rate in effect in the state. 15 Section 2. This Act shall become effective upon signature by the governor or, if not 16 signed by the governor, upon expiration of the time for bills to become law without signature 17 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 18 vetoed by the governor and subsequently approved by the legislature, this Act shall become 19 effective on the day following such approval. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Michelle Ridge. DIGEST SB 136 Original 2020 Regular Session Carter Proposed law provides for a state minimum wage of $10 per hour and provides for annual increases to the minimum wage based on the percentage increase of the Consumer Price Index for all Urban Consumers. Proposed law provides that the executive director of the La. Workforce Commission (commission) shall calculate the increase to the minimum wage annually and by October first of each year, publish on the commission's website the new minimum wage effective January first of the next year. Proposed law provides that if, at any time, the federal minimum hourly wage rate is raised to a level higher than the state minimum wage rate, then the state minimum wage rate shall be increased to the federal level. Page 4 of 5 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 136 SLS 20RS-114 ORIGINAL Proposed law provides that the executive director of the commission shall enforce the minimum wage law, and if necessary, adopt rules in accordance with the Administrative Procedure Act to implement proposed law. Proposed law provides that an employee shall have the right to file an action to enforce a wage claim against the employer through a summary proceeding as provided by the La. Code of Civil Procedure. Proposed law provides relative to venue and damages. Proposed law provides for prescriptive period of three years from the date that an employee becomes aware that the employer violated the minimum wage law. Proposed law provides that the clerk of each court shall maintain a docket for the record of cases filed pursuant to proposed law and requires such dockets be submitted to the commission monthly. Proposed law requires that beginning January 1, 2022, the commission shall compile an annual report containing certain information from the preceding calendar year and shall submit such report to the legislature and governor on or before March 1, 2022. Such report shall be submitted annually on or before March first of each year. Proposed law does not apply to a student learner, defined by federal law, who is employed by any of the following: (1)The state. (2)State colleges and universities. (3)A private employer Proposed law provides that the minimum wage for student learners shall not be less than 75% of the minimum wage rate in effect in the state. Effective upon signature of the governor or lapse of time for gubernatorial action. (Adds R.S. 23:671-677) Page 5 of 5 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.