1 | 1 | | BILL AS INTRODUCED H.347 |
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2 | 2 | | 2025 Page 1 of 6 |
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4 | 4 | | |
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5 | 5 | | VT LEG #379441 v.1 |
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6 | 6 | | H.347 1 |
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7 | 7 | | Introduced by Representatives Logan of Burlington, Cina of Burlington, Cole 2 |
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8 | 8 | | of Hartford, Cordes of Bristol, Headrick of Burlington, Hooper 3 |
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9 | 9 | | of Burlington, McCann of Montpelier, McGill of Bridport, 4 |
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10 | 10 | | Priestley of Bradford, and Tomlinson of Winooski 5 |
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11 | 11 | | Referred to Committee on 6 |
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12 | 12 | | Date: 7 |
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13 | 13 | | Subject: Labor; employment practices; minimum wage and overtime 8 |
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14 | 14 | | Statement of purpose of bill as introduced: This bill proposes to increase the 9 |
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15 | 15 | | minimum wage to $20.00 per hour, to repeal the exemption of agricultural 10 |
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16 | 16 | | workers from the applicability of the minimum wage laws, and to phase in 11 |
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17 | 17 | | overtime pay for agricultural workers. This bill also proposes to eliminate the 12 |
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18 | 18 | | tipped minimum wage. This bill also proposes to set a minimum salary that an 13 |
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19 | 19 | | employee must earn to qualify as an executive, administrative, or professional 14 |
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20 | 20 | | employee for purposes of being exempt from the minimum wage and overtime 15 |
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21 | 21 | | laws. This bill also proposes to remove the authority of the Commissioner of 16 |
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22 | 22 | | Labor to recommend a subminimum wage for individuals with disabilities. 17 |
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23 | 23 | | This bill also proposes to remove the prospective repeal, effective July 1, 2026, 18 |
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24 | 24 | | of the Attorney General’s authority to investigate and enforce complaints of 19 |
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25 | 25 | | employee misclassification. 20 BILL AS INTRODUCED H.347 |
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26 | 26 | | 2025 Page 2 of 6 |
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27 | 27 | | |
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28 | 28 | | |
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29 | 29 | | VT LEG #379441 v.1 |
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30 | 30 | | An act relating to expanding coverage of the minimum wage and overtime 1 |
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31 | 31 | | laws and maintaining the authority of the Attorney General to enforce 2 |
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32 | 32 | | complaints of employee misclassification 3 |
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33 | 33 | | It is hereby enacted by the General Assembly of the State of Vermont: 4 |
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34 | 34 | | Sec. 1. 21 V.S.A. § 383 is amended to read: 5 |
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35 | 35 | | § 383. DEFINITIONS 6 |
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36 | 36 | | As used in this subchapter: 7 |
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37 | 37 | | (1) “Commissioner” means the Commissioner of Labor or designee. 8 |
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38 | 38 | | (2) “Employee” means any individual employed or permitted to work by 9 |
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39 | 39 | | an employer except: 10 |
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40 | 40 | | (A) any individual employed in agriculture, provided the individual is 11 |
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41 | 41 | | the agricultural employer’s parent, spouse, or child; 12 |
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42 | 42 | | (B) any individual employed in domestic service in or about a private 13 |
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43 | 43 | | home; [Repealed.] 14 |
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44 | 44 | | (C) any individual employed by the United States; 15 |
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45 | 45 | | (D) any individual employed in the activities of a public supported 16 |
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46 | 46 | | nonprofit organization, except laundry employees, nurses’ aides, or practical 17 |
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47 | 47 | | nurses; 18 |
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48 | 48 | | (E) any individual employed in a bona fide executive, administrative, 19 |
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49 | 49 | | or professional capacity; 20 |
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50 | 50 | | (F) any individual making home deliveries of newspapers or 21 |
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51 | 51 | | advertising; 22 BILL AS INTRODUCED H.347 |
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52 | 52 | | 2025 Page 3 of 6 |
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54 | 54 | | |
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55 | 55 | | VT LEG #379441 v.1 |
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56 | 56 | | (G) taxi-cab drivers; 1 |
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57 | 57 | | (H) outside salespersons; and 2 |
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58 | 58 | | (I) students working during all or any part of the school year or 3 |
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59 | 59 | | regular vacation periods. 4 |
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60 | 60 | | (3) “Employer” means any person that employs two or more employees. 5 |
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61 | 61 | | (4) “Occupation” means an industry, trade, or business or branch thereof 6 |
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62 | 62 | | or class of work in which workers are gainfully employed. 7 |
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63 | 63 | | (5) An “individual employed in a bona fide executive, administrative, or 8 |
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64 | 64 | | professional capacity” means an individual who is paid a salary at least equal 9 |
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65 | 65 | | to $1,128,00.00 per week as of January 1, 2026. On each subsequent January 10 |
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66 | 66 | | 1, the salary threshold shall be increased by five percent or the percentage 11 |
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67 | 67 | | increase of the Consumer Price Index, CPI-U, U.S. city average, not seasonally 12 |
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68 | 68 | | adjusted, or successor index, as calculated by the U.S. Department of Labor or 13 |
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69 | 69 | | successor agency for the 12 months preceding the previous September 1, 14 |
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70 | 70 | | whichever is smaller, but in no event shall the salary threshold be decreased. 15 |
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71 | 71 | | Sec. 2. 21 V.S.A. § 384 is amended to read: 16 |
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72 | 72 | | § 384. EMPLOYMENT; WAGES 17 |
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73 | 73 | | (a)(1) Beginning on January 1, 2022 2026, an employer shall not employ 18 |
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74 | 74 | | any employee at a rate of less than $12.55 $20.00 per hour, and on each 19 |
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75 | 75 | | subsequent January 1, the minimum wage rate shall be increased by five 20 |
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76 | 76 | | percent or the percentage increase of the Consumer Price Index, CPI-U, U.S. 21 BILL AS INTRODUCED H.347 |
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77 | 77 | | 2025 Page 4 of 6 |
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79 | 79 | | |
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80 | 80 | | VT LEG #379441 v.1 |
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81 | 81 | | city average, not seasonally adjusted, or successor index, as calculated by the 1 |
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82 | 82 | | U.S. Department of Labor or successor agency for the 12 months preceding the 2 |
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83 | 83 | | previous September 1, whichever is smaller, but in no event shall the minimum 3 |
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84 | 84 | | wage be decreased. The minimum wage shall be rounded off to the nearest 4 |
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85 | 85 | | $0.01. 5 |
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86 | 86 | | (2) An employer in the hotel, motel, tourist place, and restaurant 6 |
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87 | 87 | | industry shall not employ a service or tipped employee at a basic wage rate less 7 |
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88 | 88 | | than one-half the minimum wage. Beginning on January 1, 2026, an employer 8 |
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89 | 89 | | shall not employ a service or tipped employee at a basic wage of less than the 9 |
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90 | 90 | | minimum wage established pursuant to subdivision (1) of this subsection. As 10 |
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91 | 91 | | used in this subdivision, “a service or tipped employee” means an employee of 11 |
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92 | 92 | | a hotel, motel, tourist place, or restaurant who customarily and regularly 12 |
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93 | 93 | | receives more than $120.00 per month in tips for direct and personal customer 13 |
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94 | 94 | | service. 14 |
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95 | 95 | | (3) If the minimum wage rate established by the U.S. government is 15 |
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96 | 96 | | greater than the rate established pursuant to subdivision (1) of this subsection 16 |
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97 | 97 | | for any year, the minimum wage rate for that year shall be the rate established 17 |
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98 | 98 | | by the U.S. government. 18 |
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99 | 99 | | (b) Notwithstanding subsection (a) of this section, an employer shall not 19 |
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100 | 100 | | pay an employee less than one and one-half times the regular wage rate for any 20 BILL AS INTRODUCED H.347 |
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102 | 102 | | |
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103 | 103 | | |
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104 | 104 | | VT LEG #379441 v.1 |
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105 | 105 | | work done by the employee in excess of 40 hours during a workweek. 1 |
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106 | 106 | | However, this subsection shall not apply to: 2 |
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107 | 107 | | * * * 3 |
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108 | 108 | | (9)(A) Any individual employed in agriculture, provided the employee 4 |
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109 | 109 | | receives not less than one and one-half times the regular wage rate for any 5 |
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110 | 110 | | work done by the employee: 6 |
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111 | 111 | | (i) in excess of 60 hours per week, effective January 1, 2026; 7 |
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112 | 112 | | (ii) in excess of 56 hours per week, effective January 1, 2028; 8 |
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113 | 113 | | (iii) in excess of 52 hours per week, effective January 1, 2030; 9 |
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114 | 114 | | (iv) in excess of 48 hours per week, effective January 1, 2032; 10 |
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115 | 115 | | (v) in excess of 44 hours per week, effective January 1, 2034; and 11 |
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116 | 116 | | (vi) in excess of 40 hours per week, effective January 1, 2036. 12 |
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117 | 117 | | (B) This subdivision (9) shall not apply if the individual is the 13 |
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118 | 118 | | agricultural employer’s parent, spouse, or child. 14 |
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119 | 119 | | * * * 15 |
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120 | 120 | | Sec. 3. 21 V.S.A. § 385 is amended to read: 16 |
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121 | 121 | | § 385. ADMINISTRATION 17 |
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122 | 122 | | The Commissioner and the Commissioner’s authorized representatives have 18 |
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123 | 123 | | full power and authority for all the following: 19 |
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124 | 124 | | * * * 20 BILL AS INTRODUCED H.347 |
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127 | 127 | | |
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128 | 128 | | VT LEG #379441 v.1 |
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129 | 129 | | (5) To recommend a suitable scale of rates for learners, and apprentices, 1 |
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130 | 130 | | and persons with disabilities, which may be less than the regular minimum 2 |
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131 | 131 | | wage rate for experienced workers without disabilities. 3 |
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132 | 132 | | Sec. 4. 2019 Acts and Resolves No. 85, Sec. 11 is amended to read: 4 |
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133 | 133 | | Sec. 11. REPEALS 5 |
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134 | 134 | | (a) 3 V.S.A. § 222d is repealed. 6 |
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135 | 135 | | (b) 21 V.S.A. §§ 346, 387, 712, and 1379 are repealed. 7 |
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136 | 136 | | Sec. 5. EFFECTIVE DATE 8 |
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137 | 137 | | This act shall take effect on passage. 9 |
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