1 | 1 | | II |
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2 | 2 | | 119THCONGRESS |
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3 | 3 | | 1 |
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4 | 4 | | STSESSION S. 1332 |
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5 | 5 | | To provide for increases in the Federal minimum wage, and for other |
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6 | 6 | | purposes. |
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7 | 7 | | IN THE SENATE OF THE UNITED STATES |
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8 | 8 | | APRIL8, 2025 |
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9 | 9 | | Mr. S |
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10 | 10 | | ANDERS(for himself, Ms. ALSOBROOKS, Ms. BALDWIN, Mr. |
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11 | 11 | | B |
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12 | 12 | | LUMENTHAL, Ms. BLUNTROCHESTER, Mr. BOOKER, Ms. CANTWELL, |
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13 | 13 | | Ms. D |
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14 | 14 | | UCKWORTH, Mr. DURBIN, Mr. FETTERMAN, Mr. GALLEGO, Mrs. |
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15 | 15 | | G |
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16 | 16 | | ILLIBRAND, Ms. HIRONO, Mr. KAINE, Mr. KELLY, Mr. KIM, Ms. KLO- |
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17 | 17 | | BUCHAR, Mr. MARKEY, Mr. MERKLEY, Mr. MURPHY, Mrs. MURRAY, Mr. |
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18 | 18 | | P |
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19 | 19 | | ADILLA, Mr. PETERS, Mr. REED, Mr. SCHATZ, Mr. SCHIFF, Ms. SMITH, |
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20 | 20 | | Mr. V |
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21 | 21 | | ANHOLLEN, Mr. WARNOCK, Ms. WARREN, Mr. WELCH, Mr. |
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22 | 22 | | W |
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23 | 23 | | HITEHOUSE, and Mr. WYDEN) introduced the following bill; which was |
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24 | 24 | | read twice and referred to the Committee on Health, Education, Labor, |
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25 | 25 | | and Pensions |
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26 | 26 | | A BILL |
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27 | 27 | | To provide for increases in the Federal minimum wage, and |
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28 | 28 | | for other purposes. |
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29 | 29 | | Be it enacted by the Senate and House of Representa-1 |
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30 | 30 | | tives of the United States of America in Congress assembled, 2 |
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31 | 31 | | SECTION 1. SHORT TITLE. 3 |
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32 | 32 | | This Act may be cited as the ‘‘Raise the Wage Act 4 |
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33 | 33 | | of 2025’’. 5 |
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35 | 35 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 2 |
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36 | 36 | | •S 1332 IS |
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37 | 37 | | SEC. 2. MINIMUM WAGE INCREASES. 1 |
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38 | 38 | | (a) I |
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39 | 39 | | NGENERAL.—Section 6(a)(1) of the Fair Labor 2 |
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40 | 40 | | Standards Act of 1938 (29 U.S.C. 206(a)(1)) is amended 3 |
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41 | 41 | | to read as follows: 4 |
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42 | 42 | | ‘‘(1) except as otherwise provided in this sec-5 |
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43 | 43 | | tion, not less than— 6 |
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44 | 44 | | ‘‘(A) $9.50 an hour, beginning on the ef-7 |
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45 | 45 | | fective date under section 7 of the Raise the 8 |
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46 | 46 | | Wage Act of 2025; 9 |
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47 | 47 | | ‘‘(B) $11.00 an hour, beginning 1 year 10 |
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48 | 48 | | after such effective date; 11 |
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49 | 49 | | ‘‘(C) $12.50 an hour, beginning 2 years 12 |
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50 | 50 | | after such effective date; 13 |
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51 | 51 | | ‘‘(D) $14.00 an hour, beginning 3 years 14 |
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52 | 52 | | after such effective date; 15 |
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53 | 53 | | ‘‘(E) $15.50 an hour, beginning 4 years 16 |
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54 | 54 | | after such effective date; 17 |
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55 | 55 | | ‘‘(F) $17.00 an hour, beginning 5 years 18 |
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56 | 56 | | after such effective date; and 19 |
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57 | 57 | | ‘‘(G) beginning on the date that is 6 years 20 |
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58 | 58 | | after such effective date, and annually there-21 |
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59 | 59 | | after, the amount determined by the Secretary 22 |
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60 | 60 | | under subsection (h);’’. 23 |
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61 | 61 | | (b) D |
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62 | 62 | | ETERMINATIONBASED ONINCREASE IN THE 24 |
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63 | 63 | | M |
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64 | 64 | | EDIANHOURLYWAGE OFALLEMPLOYEES.—Section 25 |
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66 | 66 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 3 |
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67 | 67 | | •S 1332 IS |
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68 | 68 | | 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 1 |
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69 | 69 | | 206) is amended by adding at the end the following: 2 |
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70 | 70 | | ‘‘(h)(1) Not later than each date that is 90 days be-3 |
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71 | 71 | | fore a new minimum wage determined under subsection 4 |
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72 | 72 | | (a)(1)(G) is to take effect, the Secretary shall determine 5 |
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73 | 73 | | the minimum wage to be in effect under this subsection 6 |
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74 | 74 | | for each period described in subsection (a)(1)(G). The 7 |
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75 | 75 | | wage determined under this subsection for a year shall 8 |
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76 | 76 | | be— 9 |
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77 | 77 | | ‘‘(A) not less than the amount in effect under 10 |
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78 | 78 | | subsection (a)(1) on the date of such determination; 11 |
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79 | 79 | | ‘‘(B) increased from such amount by the annual 12 |
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80 | 80 | | percentage increase, if any, in the median hourly 13 |
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81 | 81 | | wage of all employees as determined by the Bureau 14 |
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82 | 82 | | of Labor Statistics; and 15 |
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83 | 83 | | ‘‘(C) rounded up to the nearest multiple of 16 |
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84 | 84 | | $0.05, if the amount after applying subparagraphs 17 |
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85 | 85 | | (A) and (B) is not a multiple of $0.05. 18 |
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86 | 86 | | ‘‘(2) In calculating the annual percentage increase in 19 |
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87 | 87 | | the median hourly wage of all employees for purposes of 20 |
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88 | 88 | | paragraph (1)(B), the Secretary, through the Bureau of 21 |
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89 | 89 | | Labor Statistics, shall compile data on the hourly wages 22 |
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90 | 90 | | of all employees to determine such a median hourly wage 23 |
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91 | 91 | | and compare such median hourly wage for the most recent 24 |
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93 | 93 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 4 |
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94 | 94 | | •S 1332 IS |
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95 | 95 | | year for which data are available with the median hourly 1 |
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96 | 96 | | wage determined for the preceding year.’’. 2 |
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97 | 97 | | SEC. 3. TIPPED EMPLOYEES. 3 |
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98 | 98 | | (a) B |
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99 | 99 | | ASEMINIMUMWAGE FORTIPPEDEMPLOYEES 4 |
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100 | 100 | | ANDTIPSRETAINED BY EMPLOYEES.—Section 5 |
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101 | 101 | | 3(m)(2)(A)(i) of the Fair Labor Standards Act of 1938 6 |
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102 | 102 | | (29 U.S.C. 203(m)(2)(A)(i)) is amended to read as fol-7 |
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103 | 103 | | lows: 8 |
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104 | 104 | | ‘‘(i) the cash wage paid such employee, which 9 |
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105 | 105 | | for purposes of such determination shall be not less 10 |
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106 | 106 | | than— 11 |
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107 | 107 | | ‘‘(I) for the 1-year period beginning on the 12 |
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108 | 108 | | effective date under section 7 of the Raise the 13 |
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109 | 109 | | Wage Act of 2025, $6.00 an hour; 14 |
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110 | 110 | | ‘‘(II) $8.00 an hour, beginning 1 year 15 |
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111 | 111 | | after such effective date; 16 |
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112 | 112 | | ‘‘(III) $10.00 an hour, beginning 2 years 17 |
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113 | 113 | | after such effective date; 18 |
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114 | 114 | | ‘‘(IV) $12.00 an hour, beginning 3 years 19 |
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115 | 115 | | after such effective date; 20 |
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116 | 116 | | ‘‘(V) $13.50 an hour, beginning 4 years 21 |
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117 | 117 | | after such effective date; 22 |
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118 | 118 | | ‘‘(VI) $15.00 an hour, beginning 5 years 23 |
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119 | 119 | | after such effective date; 24 |
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121 | 121 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 5 |
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122 | 122 | | •S 1332 IS |
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123 | 123 | | ‘‘(VII) $17.00 an hour, beginning 6 years 1 |
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124 | 124 | | after such effective date; and 2 |
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125 | 125 | | ‘‘(VIII) for each succeeding 1-year period 3 |
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126 | 126 | | after the increase made pursuant to subclause 4 |
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127 | 127 | | (VII), the minimum wage in effect under sec-5 |
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128 | 128 | | tion 6(a)(1); and’’. 6 |
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129 | 129 | | (b) T |
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130 | 130 | | IPSRETAINED BY EMPLOYEES.—Section 7 |
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131 | 131 | | 3(m)(2)(A) of the Fair Labor Standards Act of 1938 (29 8 |
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132 | 132 | | U.S.C. 203(m)(2)(A)) is amended— 9 |
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133 | 133 | | (1) in the second sentence of the matter fol-10 |
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134 | 134 | | lowing clause (ii), by striking ‘‘of this subsection, 11 |
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135 | 135 | | and all tips received by such employee have been re-12 |
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136 | 136 | | tained by the employee’’ and inserting ‘‘of this sub-13 |
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137 | 137 | | section. Any employee shall have the right to retain 14 |
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138 | 138 | | any tips received by such employee’’; and 15 |
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139 | 139 | | (2) by adding at the end the following: ‘‘An em-16 |
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140 | 140 | | ployer shall inform each employee of the right and 17 |
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141 | 141 | | exception provided under the preceding sentence.’’. 18 |
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142 | 142 | | (c) S |
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143 | 143 | | CHEDULEDREPEAL OFSEPARATEMINIMUM 19 |
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144 | 144 | | W |
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145 | 145 | | AGE FORTIPPEDEMPLOYEES.— 20 |
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146 | 146 | | (1) T |
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147 | 147 | | IPPED EMPLOYEES .—Section 3(m)(2)(A) 21 |
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148 | 148 | | of the Fair Labor Standards Act of 1938 (29 U.S.C. 22 |
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149 | 149 | | 203(m)(2)(A)), as amended by subsections (a) and 23 |
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150 | 150 | | (b), is further amended by striking the sentence be-24 |
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151 | 151 | | ginning with ‘‘In determining the wage an employer 25 |
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153 | 153 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 6 |
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154 | 154 | | •S 1332 IS |
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155 | 155 | | is required to pay a tipped employee,’’ and all that 1 |
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156 | 156 | | follows through ‘‘of this subsection.’’ and inserting 2 |
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157 | 157 | | ‘‘The wage required to be paid to a tipped employee 3 |
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158 | 158 | | shall be the wage set forth in section 6(a)(1).’’. 4 |
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159 | 159 | | (2) P |
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160 | 160 | | UBLICATION OF NOTICE .—Subsection (i) 5 |
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161 | 161 | | of section 6 of the Fair Labor Standards Act of 6 |
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162 | 162 | | 1938 (29 U.S.C. 206), as added by section 5 and 7 |
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163 | 163 | | amended by section 6(b)(1), is further amended by 8 |
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164 | 164 | | striking ‘‘or in accordance with subclause (II) or 9 |
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165 | 165 | | (III) of section 3(m)(2)(A)(i),’’. 10 |
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166 | 166 | | (3) E |
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167 | 167 | | FFECTIVE DATE.—The amendments made 11 |
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168 | 168 | | by paragraphs (1) and (2) shall take effect on the 12 |
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169 | 169 | | date that is 1 day after the date on which the hourly 13 |
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170 | 170 | | wage under subclause (VIII) of section 3(m)(2)(A)(i) 14 |
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171 | 171 | | of the Fair Labor Standards Act of 1938 (29 U.S.C. 15 |
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172 | 172 | | 203(m)(2)(A)(i)), as amended by subsection (a), 16 |
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173 | 173 | | takes effect. 17 |
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174 | 174 | | (d) P |
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175 | 175 | | ENALTIES.—Section 16 of the Fair Labor 18 |
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176 | 176 | | Standards Act of 1938 (29 U.S.C. 216) is amended— 19 |
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177 | 177 | | (1) in the third sentence of subsection (b), by 20 |
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178 | 178 | | inserting ‘‘or used’’ after ‘‘kept’’; and 21 |
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179 | 179 | | (2) in the second sentence of subsection (e)(2), 22 |
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180 | 180 | | by inserting ‘‘or used’’ after ‘‘kept’’. 23 |
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183 | 183 | | •S 1332 IS |
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184 | 184 | | SEC. 4. NEWLY HIRED EMPLOYEES WHO ARE LESS THAN 20 1 |
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185 | 185 | | YEARS OLD. 2 |
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186 | 186 | | (a) B |
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187 | 187 | | ASEMINIMUMWAGE FORNEWLYHIREDEM-3 |
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188 | 188 | | PLOYEESWHOARELESSTHAN20 YEARSOLD.—Section 4 |
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189 | 189 | | 6(g)(1) of the Fair Labor Standards Act of 1938 (29 5 |
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190 | 190 | | U.S.C. 206(g)(1)) is amended by striking ‘‘a wage which 6 |
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191 | 191 | | is not less than $4.25 an hour.’’ and inserting the fol-7 |
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192 | 192 | | lowing: ‘‘a wage at a rate that is not less than— 8 |
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193 | 193 | | ‘‘(A) for the 1-year period beginning on the ef-9 |
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194 | 194 | | fective date under section 7 of the Raise the Wage 10 |
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195 | 195 | | Act of 2025, $6.00 an hour; 11 |
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196 | 196 | | ‘‘(B) for each succeeding 1-year period until the 12 |
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197 | 197 | | hourly wage under this paragraph equals the wage 13 |
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198 | 198 | | in effect under section 6(a)(1) for such period, an 14 |
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199 | 199 | | hourly wage equal to the amount determined under 15 |
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200 | 200 | | this paragraph for the preceding year, increased by 16 |
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201 | 201 | | the lesser of— 17 |
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202 | 202 | | ‘‘(i) $1.75; or 18 |
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203 | 203 | | ‘‘(ii) the amount necessary for the wage in 19 |
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204 | 204 | | effect under this paragraph to equal the wage 20 |
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205 | 205 | | in effect under section 6(a)(1) for such period; 21 |
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206 | 206 | | and 22 |
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207 | 207 | | ‘‘(C) for each succeeding 1-year period after the 23 |
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208 | 208 | | increase made pursuant to subparagraph (B)(ii), the 24 |
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209 | 209 | | minimum wage in effect under section 6(a)(1).’’. 25 |
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211 | 211 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 8 |
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212 | 212 | | •S 1332 IS |
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213 | 213 | | (b) SCHEDULEDREPEAL OFSEPARATEMINIMUM 1 |
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214 | 214 | | W |
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215 | 215 | | AGE FORNEWLYHIREDEMPLOYEESWHOARELESS 2 |
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216 | 216 | | T |
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217 | 217 | | HAN20 YEARSOLD.— 3 |
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218 | 218 | | (1) I |
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219 | 219 | | N GENERAL.—Section 6(g) of the Fair 4 |
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220 | 220 | | Labor Standards Act of 1938 (29 U.S.C. 206(g)), as 5 |
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221 | 221 | | amended by subsection (a), shall be repealed. 6 |
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222 | 222 | | (2) P |
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223 | 223 | | UBLICATION OF NOTICE .—Subsection (i) 7 |
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224 | 224 | | of section 6 of the Fair Labor Standards Act of 8 |
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225 | 225 | | 1938 (29 U.S.C. 206), as added by section 5 and 9 |
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226 | 226 | | amended by sections 6(b)(1) and 3(c)(2), is further 10 |
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227 | 227 | | amended by striking ‘‘or subparagraph (B) or (C) of 11 |
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228 | 228 | | subsection (g)(1)’’. 12 |
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229 | 229 | | (3) E |
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230 | 230 | | FFECTIVE DATE.—The repeal and amend-13 |
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231 | 231 | | ment made by paragraphs (1) and (2), respectively, 14 |
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232 | 232 | | shall take effect on the date that is 1 day after the 15 |
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233 | 233 | | date on which the hourly wage under subparagraph 16 |
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234 | 234 | | (C) of section 6(g)(1) of the Fair Labor Standards 17 |
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235 | 235 | | Act of 1938 (29 U.S.C. 206(g)(1)), as amended by 18 |
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236 | 236 | | subsection (a), takes effect. 19 |
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237 | 237 | | SEC. 5. PUBLICATION OF NOTICE. 20 |
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238 | 238 | | Section 6 of the Fair Labor Standards Act of 1938 21 |
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239 | 239 | | (29 U.S.C. 206), as amended by section 2(b), is further 22 |
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240 | 240 | | amended by adding at the end the following: 23 |
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241 | 241 | | ‘‘(i) Not later than 60 days prior to the effective date 24 |
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242 | 242 | | of any increase in the required wage determined under 25 |
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245 | 245 | | •S 1332 IS |
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246 | 246 | | subsection (a)(1) or subparagraph (B) or (C) of subsection 1 |
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247 | 247 | | (g)(1), or in accordance with subclause (II) or (III) of sec-2 |
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248 | 248 | | tion 3(m)(2)(A)(i) or section 14(c)(1)(A), the Secretary 3 |
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249 | 249 | | shall publish in the Federal Register and on the website 4 |
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250 | 250 | | of the Department of Labor a notice announcing each in-5 |
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251 | 251 | | crease in such required wage.’’. 6 |
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252 | 252 | | SEC. 6. PROMOTING ECONOMIC SELF-SUFFICIENCY FOR IN-7 |
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253 | 253 | | DIVIDUALS WITH DISABILITIES. 8 |
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254 | 254 | | (a) W |
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255 | 255 | | AGES.— 9 |
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256 | 256 | | (1) T |
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257 | 257 | | RANSITION TO FAIR WAGES FOR INDIVID -10 |
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258 | 258 | | UALS WITH DISABILITIES .—Subparagraph (A) of 11 |
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259 | 259 | | section 14(c)(1) of the Fair Labor Standards Act of 12 |
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260 | 260 | | 1938 (29 U.S.C. 214(c)(1)) is amended to read as 13 |
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261 | 261 | | follows: 14 |
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262 | 262 | | ‘‘(A) at a rate that equals or exceeds, for each 15 |
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263 | 263 | | year, the greater of— 16 |
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264 | 264 | | ‘‘(i)(I) $5.00 an hour, beginning on the ef-17 |
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265 | 265 | | fective date under section 7 of the Raise the 18 |
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266 | 266 | | Wage Act of 2025; 19 |
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267 | 267 | | ‘‘(II) $7.50 an hour, beginning 1 year 20 |
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268 | 268 | | after such effective date; 21 |
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269 | 269 | | ‘‘(III) $10.00 an hour, beginning 2 years 22 |
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270 | 270 | | after such effective date; 23 |
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271 | 271 | | ‘‘(IV) $12.50 an hour, beginning 3 years 24 |
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272 | 272 | | after such effective date; 25 |
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275 | 275 | | •S 1332 IS |
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276 | 276 | | ‘‘(V) $15.50 an hour, beginning 4 years 1 |
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277 | 277 | | after such effective date; and 2 |
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278 | 278 | | ‘‘(VI) the wage rate in effect under section 3 |
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279 | 279 | | 6(a)(1), beginning 5 years after such effective 4 |
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280 | 280 | | date; or 5 |
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281 | 281 | | ‘‘(ii) if applicable, the wage rate in effect 6 |
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282 | 282 | | on the day before the date of enactment of the 7 |
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283 | 283 | | Raise the Wage Act of 2025 for the employ-8 |
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284 | 284 | | ment, under a special certificate issued under 9 |
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285 | 285 | | this paragraph, of the individual for whom the 10 |
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286 | 286 | | wage rate is being determined under this sub-11 |
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287 | 287 | | paragraph,’’. 12 |
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288 | 288 | | (2) P |
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289 | 289 | | ROHIBITION ON NEW SPECIAL CERTIFI -13 |
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290 | 290 | | CATES; TRANSITION ASSISTANCE.— 14 |
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291 | 291 | | (A) I |
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292 | 292 | | N GENERAL.—Section 14(c) of the 15 |
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293 | 293 | | Fair Labor Standards Act of 1938 (29 U.S.C. 16 |
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294 | 294 | | 214(c)) is amended by adding at the end the 17 |
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295 | 295 | | following: 18 |
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296 | 296 | | ‘‘(6) P |
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297 | 297 | | ROHIBITION ON NEW SPECIAL CERTIFI -19 |
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298 | 298 | | CATES.—Notwithstanding paragraph (1), the Sec-20 |
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299 | 299 | | retary shall not issue a special certificate under this 21 |
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300 | 300 | | subsection to an employer that was not issued a spe-22 |
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301 | 301 | | cial certificate under this subsection before the date 23 |
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302 | 302 | | of enactment of the Raise the Wage Act of 2025. 24 |
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305 | 305 | | •S 1332 IS |
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306 | 306 | | ‘‘(7) TRANSITION ASSISTANCE.—Upon request, 1 |
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307 | 307 | | the Secretary shall provide— 2 |
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308 | 308 | | ‘‘(A) technical assistance and information 3 |
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309 | 309 | | to employers issued a special certificate under 4 |
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310 | 310 | | this subsection for the purposes of— 5 |
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311 | 311 | | ‘‘(i) assisting such employers to com-6 |
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312 | 312 | | ply with this subsection, as amended by 7 |
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313 | 313 | | the Raise the Wage Act of 2025; and 8 |
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314 | 314 | | ‘‘(ii) ensuring continuing employment 9 |
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315 | 315 | | opportunities for individuals with disabil-10 |
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316 | 316 | | ities receiving a special minimum wage 11 |
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317 | 317 | | rate under this subsection; and 12 |
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318 | 318 | | ‘‘(B) information to individuals employed 13 |
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319 | 319 | | at a special minimum wage rate under this sub-14 |
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320 | 320 | | section, which may include referrals to Federal 15 |
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321 | 321 | | or State entities with expertise in competitive 16 |
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322 | 322 | | integrated employment.’’. 17 |
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323 | 323 | | (B) E |
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324 | 324 | | FFECTIVE DATE.—The amendments 18 |
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325 | 325 | | made by this paragraph shall take effect on the 19 |
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326 | 326 | | date of enactment of this Act. 20 |
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327 | 327 | | (3) S |
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328 | 328 | | UNSET.—Section 14(c) of the Fair Labor 21 |
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329 | 329 | | Standards Act of 1938 (29 U.S.C. 214(c)), as 22 |
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330 | 330 | | amended by paragraph (2), is further amended by 23 |
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331 | 331 | | adding at the end the following: 24 |
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334 | 334 | | •S 1332 IS |
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335 | 335 | | ‘‘(8) SUNSET.—Beginning on the day after the 1 |
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336 | 336 | | date on which the wage rate described in paragraph 2 |
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337 | 337 | | (1)(A)(i)(VI) takes effect, the authority to issue spe-3 |
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338 | 338 | | cial certificates under paragraph (1) shall expire, 4 |
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339 | 339 | | and no special certificates issued under paragraph 5 |
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340 | 340 | | (1) shall have any legal effect.’’. 6 |
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341 | 341 | | (b) P |
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342 | 342 | | UBLICATION OFNOTICE.— 7 |
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343 | 343 | | (1) A |
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344 | 344 | | MENDMENT.—Subsection (i) of section 6 8 |
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345 | 345 | | of the Fair Labor Standards Act of 1938 (29 U.S.C. 9 |
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346 | 346 | | 206), as added by section 5, is amended by striking 10 |
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347 | 347 | | ‘‘or section 14(c)(1)(A)’’. 11 |
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348 | 348 | | (2) E |
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349 | 349 | | FFECTIVE DATE.—The amendment made 12 |
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350 | 350 | | by paragraph (1) shall take effect on the day after 13 |
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351 | 351 | | the date on which the wage rate described in para-14 |
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352 | 352 | | graph (1)(A)(i)(VI) of section 14(c) of the Fair 15 |
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353 | 353 | | Labor Standards Act of 1938 (29 U.S.C. 214(c)), as 16 |
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354 | 354 | | amended by subsection (a)(1), takes effect. 17 |
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355 | 355 | | SEC. 7. GENERAL EFFECTIVE DATE. 18 |
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356 | 356 | | Except as otherwise provided in this Act, this Act and 19 |
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357 | 357 | | the amendments made by this Act shall take effect on the 20 |
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358 | 358 | | first day of the third month that begins after the date 21 |
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359 | 359 | | of the enactment of this Act. 22 |
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360 | 360 | | Æ |
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361 | 361 | | VerDate Sep 11 2014 03:15 Apr 17, 2025 Jkt 059200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6301 E:\BILLS\S1332.IS S1332 |
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362 | 362 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB |
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