Us Congress 2025-2026 Regular Session

Us Congress Senate Bill SB1332 Compare Versions

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11 II
22 119THCONGRESS
33 1
44 STSESSION S. 1332
55 To provide for increases in the Federal minimum wage, and for other
66 purposes.
77 IN THE SENATE OF THE UNITED STATES
88 APRIL8, 2025
99 Mr. S
1010 ANDERS(for himself, Ms. ALSOBROOKS, Ms. BALDWIN, Mr.
1111 B
1212 LUMENTHAL, Ms. BLUNTROCHESTER, Mr. BOOKER, Ms. CANTWELL,
1313 Ms. D
1414 UCKWORTH, Mr. DURBIN, Mr. FETTERMAN, Mr. GALLEGO, Mrs.
1515 G
1616 ILLIBRAND, Ms. HIRONO, Mr. KAINE, Mr. KELLY, Mr. KIM, Ms. KLO-
1717 BUCHAR, Mr. MARKEY, Mr. MERKLEY, Mr. MURPHY, Mrs. MURRAY, Mr.
1818 P
1919 ADILLA, Mr. PETERS, Mr. REED, Mr. SCHATZ, Mr. SCHIFF, Ms. SMITH,
2020 Mr. V
2121 ANHOLLEN, Mr. WARNOCK, Ms. WARREN, Mr. WELCH, Mr.
2222 W
2323 HITEHOUSE, and Mr. WYDEN) introduced the following bill; which was
2424 read twice and referred to the Committee on Health, Education, Labor,
2525 and Pensions
2626 A BILL
2727 To provide for increases in the Federal minimum wage, and
2828 for other purposes.
2929 Be it enacted by the Senate and House of Representa-1
3030 tives of the United States of America in Congress assembled, 2
3131 SECTION 1. SHORT TITLE. 3
3232 This Act may be cited as the ‘‘Raise the Wage Act 4
3333 of 2025’’. 5
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3737 SEC. 2. MINIMUM WAGE INCREASES. 1
3838 (a) I
3939 NGENERAL.—Section 6(a)(1) of the Fair Labor 2
4040 Standards Act of 1938 (29 U.S.C. 206(a)(1)) is amended 3
4141 to read as follows: 4
4242 ‘‘(1) except as otherwise provided in this sec-5
4343 tion, not less than— 6
4444 ‘‘(A) $9.50 an hour, beginning on the ef-7
4545 fective date under section 7 of the Raise the 8
4646 Wage Act of 2025; 9
4747 ‘‘(B) $11.00 an hour, beginning 1 year 10
4848 after such effective date; 11
4949 ‘‘(C) $12.50 an hour, beginning 2 years 12
5050 after such effective date; 13
5151 ‘‘(D) $14.00 an hour, beginning 3 years 14
5252 after such effective date; 15
5353 ‘‘(E) $15.50 an hour, beginning 4 years 16
5454 after such effective date; 17
5555 ‘‘(F) $17.00 an hour, beginning 5 years 18
5656 after such effective date; and 19
5757 ‘‘(G) beginning on the date that is 6 years 20
5858 after such effective date, and annually there-21
5959 after, the amount determined by the Secretary 22
6060 under subsection (h);’’. 23
6161 (b) D
6262 ETERMINATIONBASED ONINCREASE IN THE 24
6363 M
6464 EDIANHOURLYWAGE OFALLEMPLOYEES.—Section 25
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6868 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 1
6969 206) is amended by adding at the end the following: 2
7070 ‘‘(h)(1) Not later than each date that is 90 days be-3
7171 fore a new minimum wage determined under subsection 4
7272 (a)(1)(G) is to take effect, the Secretary shall determine 5
7373 the minimum wage to be in effect under this subsection 6
7474 for each period described in subsection (a)(1)(G). The 7
7575 wage determined under this subsection for a year shall 8
7676 be— 9
7777 ‘‘(A) not less than the amount in effect under 10
7878 subsection (a)(1) on the date of such determination; 11
7979 ‘‘(B) increased from such amount by the annual 12
8080 percentage increase, if any, in the median hourly 13
8181 wage of all employees as determined by the Bureau 14
8282 of Labor Statistics; and 15
8383 ‘‘(C) rounded up to the nearest multiple of 16
8484 $0.05, if the amount after applying subparagraphs 17
8585 (A) and (B) is not a multiple of $0.05. 18
8686 ‘‘(2) In calculating the annual percentage increase in 19
8787 the median hourly wage of all employees for purposes of 20
8888 paragraph (1)(B), the Secretary, through the Bureau of 21
8989 Labor Statistics, shall compile data on the hourly wages 22
9090 of all employees to determine such a median hourly wage 23
9191 and compare such median hourly wage for the most recent 24
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9595 year for which data are available with the median hourly 1
9696 wage determined for the preceding year.’’. 2
9797 SEC. 3. TIPPED EMPLOYEES. 3
9898 (a) B
9999 ASEMINIMUMWAGE FORTIPPEDEMPLOYEES 4
100100 ANDTIPSRETAINED BY EMPLOYEES.—Section 5
101101 3(m)(2)(A)(i) of the Fair Labor Standards Act of 1938 6
102102 (29 U.S.C. 203(m)(2)(A)(i)) is amended to read as fol-7
103103 lows: 8
104104 ‘‘(i) the cash wage paid such employee, which 9
105105 for purposes of such determination shall be not less 10
106106 than— 11
107107 ‘‘(I) for the 1-year period beginning on the 12
108108 effective date under section 7 of the Raise the 13
109109 Wage Act of 2025, $6.00 an hour; 14
110110 ‘‘(II) $8.00 an hour, beginning 1 year 15
111111 after such effective date; 16
112112 ‘‘(III) $10.00 an hour, beginning 2 years 17
113113 after such effective date; 18
114114 ‘‘(IV) $12.00 an hour, beginning 3 years 19
115115 after such effective date; 20
116116 ‘‘(V) $13.50 an hour, beginning 4 years 21
117117 after such effective date; 22
118118 ‘‘(VI) $15.00 an hour, beginning 5 years 23
119119 after such effective date; 24
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123123 ‘‘(VII) $17.00 an hour, beginning 6 years 1
124124 after such effective date; and 2
125125 ‘‘(VIII) for each succeeding 1-year period 3
126126 after the increase made pursuant to subclause 4
127127 (VII), the minimum wage in effect under sec-5
128128 tion 6(a)(1); and’’. 6
129129 (b) T
130130 IPSRETAINED BY EMPLOYEES.—Section 7
131131 3(m)(2)(A) of the Fair Labor Standards Act of 1938 (29 8
132132 U.S.C. 203(m)(2)(A)) is amended— 9
133133 (1) in the second sentence of the matter fol-10
134134 lowing clause (ii), by striking ‘‘of this subsection, 11
135135 and all tips received by such employee have been re-12
136136 tained by the employee’’ and inserting ‘‘of this sub-13
137137 section. Any employee shall have the right to retain 14
138138 any tips received by such employee’’; and 15
139139 (2) by adding at the end the following: ‘‘An em-16
140140 ployer shall inform each employee of the right and 17
141141 exception provided under the preceding sentence.’’. 18
142142 (c) S
143143 CHEDULEDREPEAL OFSEPARATEMINIMUM 19
144144 W
145145 AGE FORTIPPEDEMPLOYEES.— 20
146146 (1) T
147147 IPPED EMPLOYEES .—Section 3(m)(2)(A) 21
148148 of the Fair Labor Standards Act of 1938 (29 U.S.C. 22
149149 203(m)(2)(A)), as amended by subsections (a) and 23
150150 (b), is further amended by striking the sentence be-24
151151 ginning with ‘‘In determining the wage an employer 25
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155155 is required to pay a tipped employee,’’ and all that 1
156156 follows through ‘‘of this subsection.’’ and inserting 2
157157 ‘‘The wage required to be paid to a tipped employee 3
158158 shall be the wage set forth in section 6(a)(1).’’. 4
159159 (2) P
160160 UBLICATION OF NOTICE .—Subsection (i) 5
161161 of section 6 of the Fair Labor Standards Act of 6
162162 1938 (29 U.S.C. 206), as added by section 5 and 7
163163 amended by section 6(b)(1), is further amended by 8
164164 striking ‘‘or in accordance with subclause (II) or 9
165165 (III) of section 3(m)(2)(A)(i),’’. 10
166166 (3) E
167167 FFECTIVE DATE.—The amendments made 11
168168 by paragraphs (1) and (2) shall take effect on the 12
169169 date that is 1 day after the date on which the hourly 13
170170 wage under subclause (VIII) of section 3(m)(2)(A)(i) 14
171171 of the Fair Labor Standards Act of 1938 (29 U.S.C. 15
172172 203(m)(2)(A)(i)), as amended by subsection (a), 16
173173 takes effect. 17
174174 (d) P
175175 ENALTIES.—Section 16 of the Fair Labor 18
176176 Standards Act of 1938 (29 U.S.C. 216) is amended— 19
177177 (1) in the third sentence of subsection (b), by 20
178178 inserting ‘‘or used’’ after ‘‘kept’’; and 21
179179 (2) in the second sentence of subsection (e)(2), 22
180180 by inserting ‘‘or used’’ after ‘‘kept’’. 23
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184184 SEC. 4. NEWLY HIRED EMPLOYEES WHO ARE LESS THAN 20 1
185185 YEARS OLD. 2
186186 (a) B
187187 ASEMINIMUMWAGE FORNEWLYHIREDEM-3
188188 PLOYEESWHOARELESSTHAN20 YEARSOLD.—Section 4
189189 6(g)(1) of the Fair Labor Standards Act of 1938 (29 5
190190 U.S.C. 206(g)(1)) is amended by striking ‘‘a wage which 6
191191 is not less than $4.25 an hour.’’ and inserting the fol-7
192192 lowing: ‘‘a wage at a rate that is not less than— 8
193193 ‘‘(A) for the 1-year period beginning on the ef-9
194194 fective date under section 7 of the Raise the Wage 10
195195 Act of 2025, $6.00 an hour; 11
196196 ‘‘(B) for each succeeding 1-year period until the 12
197197 hourly wage under this paragraph equals the wage 13
198198 in effect under section 6(a)(1) for such period, an 14
199199 hourly wage equal to the amount determined under 15
200200 this paragraph for the preceding year, increased by 16
201201 the lesser of— 17
202202 ‘‘(i) $1.75; or 18
203203 ‘‘(ii) the amount necessary for the wage in 19
204204 effect under this paragraph to equal the wage 20
205205 in effect under section 6(a)(1) for such period; 21
206206 and 22
207207 ‘‘(C) for each succeeding 1-year period after the 23
208208 increase made pursuant to subparagraph (B)(ii), the 24
209209 minimum wage in effect under section 6(a)(1).’’. 25
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213213 (b) SCHEDULEDREPEAL OFSEPARATEMINIMUM 1
214214 W
215215 AGE FORNEWLYHIREDEMPLOYEESWHOARELESS 2
216216 T
217217 HAN20 YEARSOLD.— 3
218218 (1) I
219219 N GENERAL.—Section 6(g) of the Fair 4
220220 Labor Standards Act of 1938 (29 U.S.C. 206(g)), as 5
221221 amended by subsection (a), shall be repealed. 6
222222 (2) P
223223 UBLICATION OF NOTICE .—Subsection (i) 7
224224 of section 6 of the Fair Labor Standards Act of 8
225225 1938 (29 U.S.C. 206), as added by section 5 and 9
226226 amended by sections 6(b)(1) and 3(c)(2), is further 10
227227 amended by striking ‘‘or subparagraph (B) or (C) of 11
228228 subsection (g)(1)’’. 12
229229 (3) E
230230 FFECTIVE DATE.—The repeal and amend-13
231231 ment made by paragraphs (1) and (2), respectively, 14
232232 shall take effect on the date that is 1 day after the 15
233233 date on which the hourly wage under subparagraph 16
234234 (C) of section 6(g)(1) of the Fair Labor Standards 17
235235 Act of 1938 (29 U.S.C. 206(g)(1)), as amended by 18
236236 subsection (a), takes effect. 19
237237 SEC. 5. PUBLICATION OF NOTICE. 20
238238 Section 6 of the Fair Labor Standards Act of 1938 21
239239 (29 U.S.C. 206), as amended by section 2(b), is further 22
240240 amended by adding at the end the following: 23
241241 ‘‘(i) Not later than 60 days prior to the effective date 24
242242 of any increase in the required wage determined under 25
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246246 subsection (a)(1) or subparagraph (B) or (C) of subsection 1
247247 (g)(1), or in accordance with subclause (II) or (III) of sec-2
248248 tion 3(m)(2)(A)(i) or section 14(c)(1)(A), the Secretary 3
249249 shall publish in the Federal Register and on the website 4
250250 of the Department of Labor a notice announcing each in-5
251251 crease in such required wage.’’. 6
252252 SEC. 6. PROMOTING ECONOMIC SELF-SUFFICIENCY FOR IN-7
253253 DIVIDUALS WITH DISABILITIES. 8
254254 (a) W
255255 AGES.— 9
256256 (1) T
257257 RANSITION TO FAIR WAGES FOR INDIVID -10
258258 UALS WITH DISABILITIES .—Subparagraph (A) of 11
259259 section 14(c)(1) of the Fair Labor Standards Act of 12
260260 1938 (29 U.S.C. 214(c)(1)) is amended to read as 13
261261 follows: 14
262262 ‘‘(A) at a rate that equals or exceeds, for each 15
263263 year, the greater of— 16
264264 ‘‘(i)(I) $5.00 an hour, beginning on the ef-17
265265 fective date under section 7 of the Raise the 18
266266 Wage Act of 2025; 19
267267 ‘‘(II) $7.50 an hour, beginning 1 year 20
268268 after such effective date; 21
269269 ‘‘(III) $10.00 an hour, beginning 2 years 22
270270 after such effective date; 23
271271 ‘‘(IV) $12.50 an hour, beginning 3 years 24
272272 after such effective date; 25
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276276 ‘‘(V) $15.50 an hour, beginning 4 years 1
277277 after such effective date; and 2
278278 ‘‘(VI) the wage rate in effect under section 3
279279 6(a)(1), beginning 5 years after such effective 4
280280 date; or 5
281281 ‘‘(ii) if applicable, the wage rate in effect 6
282282 on the day before the date of enactment of the 7
283283 Raise the Wage Act of 2025 for the employ-8
284284 ment, under a special certificate issued under 9
285285 this paragraph, of the individual for whom the 10
286286 wage rate is being determined under this sub-11
287287 paragraph,’’. 12
288288 (2) P
289289 ROHIBITION ON NEW SPECIAL CERTIFI -13
290290 CATES; TRANSITION ASSISTANCE.— 14
291291 (A) I
292292 N GENERAL.—Section 14(c) of the 15
293293 Fair Labor Standards Act of 1938 (29 U.S.C. 16
294294 214(c)) is amended by adding at the end the 17
295295 following: 18
296296 ‘‘(6) P
297297 ROHIBITION ON NEW SPECIAL CERTIFI -19
298298 CATES.—Notwithstanding paragraph (1), the Sec-20
299299 retary shall not issue a special certificate under this 21
300300 subsection to an employer that was not issued a spe-22
301301 cial certificate under this subsection before the date 23
302302 of enactment of the Raise the Wage Act of 2025. 24
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305305 •S 1332 IS
306306 ‘‘(7) TRANSITION ASSISTANCE.—Upon request, 1
307307 the Secretary shall provide— 2
308308 ‘‘(A) technical assistance and information 3
309309 to employers issued a special certificate under 4
310310 this subsection for the purposes of— 5
311311 ‘‘(i) assisting such employers to com-6
312312 ply with this subsection, as amended by 7
313313 the Raise the Wage Act of 2025; and 8
314314 ‘‘(ii) ensuring continuing employment 9
315315 opportunities for individuals with disabil-10
316316 ities receiving a special minimum wage 11
317317 rate under this subsection; and 12
318318 ‘‘(B) information to individuals employed 13
319319 at a special minimum wage rate under this sub-14
320320 section, which may include referrals to Federal 15
321321 or State entities with expertise in competitive 16
322322 integrated employment.’’. 17
323323 (B) E
324324 FFECTIVE DATE.—The amendments 18
325325 made by this paragraph shall take effect on the 19
326326 date of enactment of this Act. 20
327327 (3) S
328328 UNSET.—Section 14(c) of the Fair Labor 21
329329 Standards Act of 1938 (29 U.S.C. 214(c)), as 22
330330 amended by paragraph (2), is further amended by 23
331331 adding at the end the following: 24
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335335 ‘‘(8) SUNSET.—Beginning on the day after the 1
336336 date on which the wage rate described in paragraph 2
337337 (1)(A)(i)(VI) takes effect, the authority to issue spe-3
338338 cial certificates under paragraph (1) shall expire, 4
339339 and no special certificates issued under paragraph 5
340340 (1) shall have any legal effect.’’. 6
341341 (b) P
342342 UBLICATION OFNOTICE.— 7
343343 (1) A
344344 MENDMENT.—Subsection (i) of section 6 8
345345 of the Fair Labor Standards Act of 1938 (29 U.S.C. 9
346346 206), as added by section 5, is amended by striking 10
347347 ‘‘or section 14(c)(1)(A)’’. 11
348348 (2) E
349349 FFECTIVE DATE.—The amendment made 12
350350 by paragraph (1) shall take effect on the day after 13
351351 the date on which the wage rate described in para-14
352352 graph (1)(A)(i)(VI) of section 14(c) of the Fair 15
353353 Labor Standards Act of 1938 (29 U.S.C. 214(c)), as 16
354354 amended by subsection (a)(1), takes effect. 17
355355 SEC. 7. GENERAL EFFECTIVE DATE. 18
356356 Except as otherwise provided in this Act, this Act and 19
357357 the amendments made by this Act shall take effect on the 20
358358 first day of the third month that begins after the date 21
359359 of the enactment of this Act. 22
360360 Æ
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