I
119THCONGRESS
1
STSESSION H. R. 2743
To provide for increases in the Federal minimum wage, and for other
purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL8, 2025
Mr. S
COTTof Virginia (for himself, Mr. CASAR, Mrs. HAYES, Mrs. MCBATH,
Ms. M
OOREof Wisconsin, Mr. BEYER, Mr. MRVAN, Ms. ROSS, Mr.
T
AKANO, Ms. TOKUDA, Ms. MCCOLLUM, Mr. PANETTA, Mr. BOYLEof
Pennsylvania, Mr. C
LEAVER, Mr. SCHNEIDER, Ms. UNDERWOOD, Ms.
P
INGREE, Ms. KELLYof Illinois, Mr. KEATING, Mr. TONKO, Mrs.
T
RAHAN, Mr. FOSTER, Ms. TLAIB, Mr. JOHNSONof Georgia, Mr.
L
YNCH, Mr. CASTROof Texas, Mr. IVEY, Ms. DEGETTE, Ms. SCHA-
KOWSKY, Ms. SHERRILL, Mr. MOULTON, Mr. NORCROSS, Ms. NORTON,
Mr. C
ARBAJAL, Mr. KHANNA, Ms. WILLIAMSof Georgia, Mr.
G
ARAMENDI, Mr. FIELDS, Ms. OCASIO-CORTEZ, Ms. BUDZINSKI, Mr.
Q
UIGLEY, Mrs. RAMIREZ, Mr. THOMPSONof California, Mr. CASTEN, Mr.
M
ENENDEZ, Mr. HORSFORD, Mr. MCGARVEY, Ms. BONAMICI, Ms. OMAR,
Ms. T
ITUS, Mr. VARGAS, Mr. SUOZZI, Ms. DEANof Pennsylvania, Ms.
S
IMON, Mr. POCAN, Ms. MENG, Mr. THOMPSONof Mississippi, Ms.
J
OHNSONof Texas, Mr. DELUZIO, Ms. JACOBS, Ms. BROWNLEY, Ms.
L
EEof Pennsylvania, Mr. LIEU, Ms. DELAURO, Ms. ESCOBAR, Mrs.
B
EATTY, Ms. WATERS, Mr. GOMEZ, Ms. CHU, Ms. MCBRIDE, Mr. CON-
NOLLY, Mr. KENNEDYof New York, Ms. CASTORof Florida, Mr. MAG-
AZINER, Mr. MULLIN, Mr. SWALWELL, Mr. SHERMAN, Ms. WILSONof
Florida, Mr. A
MO, Mr. GOLDMANof New York, Ms. LEGERFERNANDEZ,
Ms. A
NSARI, Ms. MCCLELLAN, Mr. NEGUSE, Ms. STANSBURY, Ms.
B
ARRAGA´N, Mr. RYAN, Ms. SCANLON, Ms. SEWELL, Ms. DELBENE, Mrs.
F
OUSHEE, Ms. SA´NCHEZ, Ms. WASSERMANSCHULTZ, Mr. HOYER, Mr.
M
FUME, Mr. GARCI´Aof Illinois, Mr. GARCIAof California, Ms. STEVENS,
Mr. R
ASKIN, Ms. PETTERSEN, Mr. MORELLE, Mr. MANNION, Mrs. DIN-
GELL, Mr. CROW, Mr. DESAULNIER, Mr. SOTO, Mr. KRISHNAMOORTHI,
Ms. B
ROWN, Mr. DAVISof Illinois, Ms. JAYAPAL, Ms. BALINT, Ms.
C
LARKEof New York, Ms. PRESSLEY, Mr. THANEDAR, Ms. ELFRETH,
Mr. T
ORRESof New York, Mr. PALLONE, Mr. DOGGETT, Ms. CRAIG, Mr.
F
ROST, Ms. STRICKLAND, Ms. ADAMS, Mr. CLYBURN, Mr.
S
UBRAMANYAM, Ms. HOYLEof Oregon, Ms. KAPTUR, Ms. DEXTER, Mr.
H
UFFMAN, Mr. GOTTHEIMER, Mr. LARSENof Washington, Ms. FRIED-
MAN, Mr. MCGOVERN, Ms. KAMLAGER-DOVE, Mr. GREENof Texas, Mr.
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JACKSONof Illinois, Mr. COURTNEY, Mr. CONAWAY, Ms. MATSUI, Mrs.
M
CIVER, Ms. SALINAS, Mr. CARSON, Mrs. CHERFILUS-MCCORMICK, Mr.
B
ELL, Mr. OLSZEWSKI, Mr. FIGURES, and Ms. PELOSI) introduced the
following bill; which was referred to the Committee on Education and
Workforce
A BILL
To provide for increases in the Federal minimum wage, and
for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Raise the Wage Act 4
of 2025’’. 5
SEC. 2. MINIMUM WAGE INCREASES. 6
(a) I
NGENERAL.—Section 6(a)(1) of the Fair Labor 7
Standards Act of 1938 (29 U.S.C. 206(a)(1)) is amended 8
to read as follows: 9
‘‘(1) except as otherwise provided in this sec-10
tion, not less than— 11
‘‘(A) $9.50 an hour, beginning on the ef-12
fective date under section 7 of the Raise the 13
Wage Act of 2025; 14
‘‘(B) $11.00 an hour, beginning 1 year 15
after such effective date; 16
‘‘(C) $12.50 an hour, beginning 2 years 17
after such effective date; 18
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‘‘(D) $14.00 an hour, beginning 3 years 1
after such effective date; 2
‘‘(E) $15.50 an hour, beginning 4 years 3
after such effective date; 4
‘‘(F) $17.00 an hour, beginning 5 years 5
after such effective date; and 6
‘‘(G) beginning on the date that is 6 years 7
after such effective date, and annually there-8
after, the amount determined by the Secretary 9
under subsection (h);’’. 10
(b) D
ETERMINATIONBASED ONINCREASE IN THE 11
M
EDIANHOURLYWAGE OFALLEMPLOYEES.—Section 12
6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 13
206) is amended by adding at the end the following: 14
‘‘(h)(1) Not later than each date that is 90 days be-15
fore a new minimum wage determined under subsection 16
(a)(1)(G) is to take effect, the Secretary shall determine 17
the minimum wage to be in effect under this subsection 18
for each period described in subsection (a)(1)(G). The 19
wage determined under this subsection for a year shall 20
be— 21
‘‘(A) not less than the amount in effect under 22
subsection (a)(1) on the date of such determination; 23
‘‘(B) increased from such amount by the annual 24
percentage increase, if any, in the median hourly 25
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wage of all employees as determined by the Bureau 1
of Labor Statistics; and 2
‘‘(C) rounded up to the nearest multiple of 3
$0.05, if the amount after applying subparagraphs 4
(A) and (B) is not a multiple of $0.05. 5
‘‘(2) In calculating the annual percentage increase in 6
the median hourly wage of all employees for purposes of 7
paragraph (1)(B), the Secretary, through the Bureau of 8
Labor Statistics, shall compile data on the hourly wages 9
of all employees to determine such a median hourly wage 10
and compare such median hourly wage for the most recent 11
year for which data are available with the median hourly 12
wage determined for the preceding year.’’. 13
SEC. 3. TIPPED EMPLOYEES. 14
(a) B
ASEMINIMUMWAGE FORTIPPEDEMPLOYEES 15
ANDTIPSRETAINED BY EMPLOYEES.—Section 16
3(m)(2)(A)(i) of the Fair Labor Standards Act of 1938 17
(29 U.S.C. 203(m)(2)(A)(i)) is amended to read as fol-18
lows: 19
‘‘(i) the cash wage paid such employee, which 20
for purposes of such determination shall be not less 21
than— 22
‘‘(I) for the 1-year period beginning on the 23
effective date under section 7 of the Raise the 24
Wage Act of 2025, $6.00 an hour; 25
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‘‘(II) $8.00 an hour, beginning 1 year 1
after such effective date; 2
‘‘(III) $10.00 an hour, beginning 2 years 3
after such effective date; 4
‘‘(IV) $12.00 an hour, beginning 3 years 5
after such effective date; 6
‘‘(V) $13.50 an hour, beginning 4 years 7
after such effective date; 8
‘‘(VI) $15.00 an hour, beginning 5 years 9
after such effective date; 10
‘‘(VII) $17.00 an hour, beginning 6 years 11
after such effective date; and 12
‘‘(VIII) for each succeeding 1-year period 13
after the increase made pursuant to subclause 14
(VII), the minimum wage in effect under sec-15
tion 6(a)(1); and’’. 16
(b) T
IPSRETAINED BY EMPLOYEES.—Section 17
3(m)(2)(A) of the Fair Labor Standards Act of 1938 (29 18
U.S.C. 203(m)(2)(A)) is amended— 19
(1) in the second sentence of the matter fol-20
lowing clause (ii), by striking ‘‘of this subsection, 21
and all tips received by such employee have been re-22
tained by the employee’’ and inserting ‘‘of this sub-23
section. Any employee shall have the right to retain 24
any tips received by such employee’’; and 25
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(2) by adding at the end the following: ‘‘An em-1
ployer shall inform each employee of the right and 2
exception provided under the preceding sentence.’’. 3
(c) S
CHEDULEDREPEAL OFSEPARATEMINIMUM 4
W
AGE FORTIPPEDEMPLOYEES.— 5
(1) T
IPPED EMPLOYEES .—Section 3(m)(2)(A) 6
of the Fair Labor Standards Act of 1938 (29 U.S.C. 7
203(m)(2)(A)), as amended by subsections (a) and 8
(b), is further amended by striking the sentence be-9
ginning with ‘‘In determining the wage an employer 10
is required to pay a tipped employee,’’ and all that 11
follows through ‘‘of this subsection.’’ and inserting 12
‘‘The wage required to be paid to a tipped employee 13
shall be the wage set forth in section 6(a)(1).’’. 14
(2) P
UBLICATION OF NOTICE .—Subsection (i) 15
of section 6 of the Fair Labor Standards Act of 16
1938 (29 U.S.C. 206), as added by section 5 and 17
amended by section 6(b)(1), is further amended by 18
striking ‘‘or in accordance with subclause (II) or 19
(III) of section 3(m)(2)(A)(i),’’. 20
(3) E
FFECTIVE DATE.—The amendments made 21
by paragraphs (1) and (2) shall take effect on the 22
date that is 1 day after the date on which the hourly 23
wage under subclause (VIII) of section 3(m)(2)(A)(i) 24
of the Fair Labor Standards Act of 1938 (29 U.S.C. 25
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203(m)(2)(A)(i)), as amended by subsection (a), 1
takes effect. 2
(d) P
ENALTIES.—Section 16 of the Fair Labor 3
Standards Act of 1938 (29 U.S.C. 216) is amended— 4
(1) in the third sentence of subsection (b), by 5
inserting ‘‘or used’’ after ‘‘kept’’; and 6
(2) in the second sentence of subsection (e)(2), 7
by inserting ‘‘or used’’ after ‘‘kept’’. 8
SEC. 4. NEWLY HIRED EMPLOYEES WHO ARE LESS THAN 20 9
YEARS OLD. 10
(a) B
ASEMINIMUMWAGE FORNEWLYHIREDEM-11
PLOYEESWHOARELESSTHAN20 YEARSOLD.—Section 12
6(g)(1) of the Fair Labor Standards Act of 1938 (29 13
U.S.C. 206(g)(1)) is amended by striking ‘‘a wage which 14
is not less than $4.25 an hour.’’ and inserting the fol-15
lowing: ‘‘a wage at a rate that is not less than— 16
‘‘(A) for the 1-year period beginning on the ef-17
fective date under section 7 of the Raise the Wage 18
Act of 2025, $6.00 an hour; 19
‘‘(B) for each succeeding 1-year period until the 20
hourly wage under this paragraph equals the wage 21
in effect under section 6(a)(1) for such period, an 22
hourly wage equal to the amount determined under 23
this paragraph for the preceding year, increased by 24
the lesser of— 25
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‘‘(i) $1.75; or 1
‘‘(ii) the amount necessary for the wage in 2
effect under this paragraph to equal the wage 3
in effect under section 6(a)(1) for such period; 4
and 5
‘‘(C) for each succeeding 1-year period after the 6
increase made pursuant to subparagraph (B)(ii), the 7
minimum wage in effect under section 6(a)(1).’’. 8
(b) S
CHEDULEDREPEAL OFSEPARATEMINIMUM 9
W
AGE FORNEWLYHIREDEMPLOYEESWHOARELESS 10
T
HAN20 YEARSOLD.— 11
(1) I
N GENERAL.—Section 6(g) of the Fair 12
Labor Standards Act of 1938 (29 U.S.C. 206(g)), as 13
amended by subsection (a), shall be repealed. 14
(2) P
UBLICATION OF NOTICE .—Subsection (i) 15
of section 6 of the Fair Labor Standards Act of 16
1938 (29 U.S.C. 206), as added by section 5 and 17
amended by sections 6(b)(1) and 3(c)(2), is further 18
amended by striking ‘‘or subparagraph (B) or (C) of 19
subsection (g)(1)’’. 20
(3) E
FFECTIVE DATE.—The repeal and amend-21
ment made by paragraphs (1) and (2), respectively, 22
shall take effect on the date that is 1 day after the 23
date on which the hourly wage under subparagraph 24
(C) of section 6(g)(1) of the Fair Labor Standards 25
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Act of 1938 (29 U.S.C. 206(g)(1)), as amended by 1
subsection (a), takes effect. 2
SEC. 5. PUBLICATION OF NOTICE. 3
Section 6 of the Fair Labor Standards Act of 1938 4
(29 U.S.C. 206), as amended by section 2(b), is further 5
amended by adding at the end the following: 6
‘‘(i) Not later than 60 days prior to the effective date 7
of any increase in the required wage determined under 8
subsection (a)(1) or subparagraph (B) or (C) of subsection 9
(g)(1), or in accordance with subclause (II) or (III) of sec-10
tion 3(m)(2)(A)(i) or section 14(c)(1)(A), the Secretary 11
shall publish in the Federal Register and on the website 12
of the Department of Labor a notice announcing each in-13
crease in such required wage.’’. 14
SEC. 6. PROMOTING ECONOMIC SELF-SUFFICIENCY FOR IN-15
DIVIDUALS WITH DISABILITIES. 16
(a) W
AGES.— 17
(1) T
RANSITION TO FAIR WAGES FOR INDIVID -18
UALS WITH DISABILITIES .—Subparagraph (A) of 19
section 14(c)(1) of the Fair Labor Standards Act of 20
1938 (29 U.S.C. 214(c)(1)) is amended to read as 21
follows: 22
‘‘(A) at a rate that equals or exceeds, for each 23
year, the greater of— 24
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‘‘(i)(I) $5.00 an hour, beginning on the ef-1
fective date under section 7 of the Raise the 2
Wage Act of 2025; 3
‘‘(II) $7.50 an hour, beginning 1 year 4
after such effective date; 5
‘‘(III) $10.00 an hour, beginning 2 years 6
after such effective date; 7
‘‘(IV) $12.50 an hour, beginning 3 years 8
after such effective date; 9
‘‘(V) $15.50 an hour, beginning 4 years 10
after such effective date; and 11
‘‘(VI) the wage rate in effect under section 12
6(a)(1), beginning 5 years after such effective 13
date; or 14
‘‘(ii) if applicable, the wage rate in effect 15
on the day before the date of enactment of the 16
Raise the Wage Act of 2025 for the employ-17
ment, under a special certificate issued under 18
this paragraph, of the individual for whom the 19
wage rate is being determined under this sub-20
paragraph,’’. 21
(2) P
ROHIBITION ON NEW SPECIAL CERTIFI -22
CATES; TRANSITION ASSISTANCE.— 23
(A) I
N GENERAL.—Section 14(c) of the 24
Fair Labor Standards Act of 1938 (29 U.S.C. 25
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214(c)) is amended by adding at the end the 1
following: 2
‘‘(6) P
ROHIBITION ON NEW SPECIAL CERTIFI -3
CATES.—Notwithstanding paragraph (1), the Sec-4
retary shall not issue a special certificate under this 5
subsection to an employer that was not issued a spe-6
cial certificate under this subsection before the date 7
of enactment of the Raise the Wage Act of 2025. 8
‘‘(7) T
RANSITION ASSISTANCE.—Upon request, 9
the Secretary shall provide— 10
‘‘(A) technical assistance and information 11
to employers issued a special certificate under 12
this subsection for the purposes of— 13
‘‘(i) assisting such employers to com-14
ply with this subsection, as amended by 15
the Raise the Wage Act of 2025; and 16
‘‘(ii) ensuring continuing employment 17
opportunities for individuals with disabil-18
ities receiving a special minimum wage 19
rate under this subsection; and 20
‘‘(B) information to individuals employed 21
at a special minimum wage rate under this sub-22
section, which may include referrals to Federal 23
or State entities with expertise in competitive 24
integrated employment.’’. 25
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(B) EFFECTIVE DATE.—The amendments 1
made by this paragraph shall take effect on the 2
date of enactment of this Act. 3
(3) S
UNSET.—Section 14(c) of the Fair Labor 4
Standards Act of 1938 (29 U.S.C. 214(c)), as 5
amended by paragraph (2), is further amended by 6
adding at the end the following: 7
‘‘(8) S
UNSET.—Beginning on the day after the 8
date on which the wage rate described in paragraph 9
(1)(A)(i)(VI) takes effect, the authority to issue spe-10
cial certificates under paragraph (1) shall expire, 11
and no special certificates issued under paragraph 12
(1) shall have any legal effect.’’. 13
(b) P
UBLICATION OFNOTICE.— 14
(1) A
MENDMENT.—Subsection (i) of section 6 15
of the Fair Labor Standards Act of 1938 (29 U.S.C. 16
206), as added by section 5, is amended by striking 17
‘‘or section 14(c)(1)(A)’’. 18
(2) E
FFECTIVE DATE.—The amendment made 19
by paragraph (1) shall take effect on the day after 20
the date on which the wage rate described in para-21
graph (1)(A)(i)(VI) of section 14(c) of the Fair 22
Labor Standards Act of 1938 (29 U.S.C. 214(c)), as 23
amended by subsection (a)(1), takes effect. 24
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SEC. 7. GENERAL EFFECTIVE DATE. 1
Except as otherwise provided in this Act, this Act and 2
the amendments made by this Act shall take effect on the 3
first day of the third month that begins after the date 4
of the enactment of this Act. 5
Æ
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