PRINTER'SH1500B1534A01027 AJB:JSL 06/14/23 #90 A01027 AMENDMENTS TO HOUSE BILL NO.

15341500 THESponsor: GENERAL ASSEMBLY OF PENNSYLVANIA HOUSE BILL Session of No.

1500REPRESENTATIVE 2023HARRIS INTRODUCEDPrinter's BYNo. DAWKINS, KIM, McNEILL, PROBST, VENKAT, HILL-EVANS, GIRAL, N.

NELSON,1534 SOLOMON,Amend HADDOCK,Bill, SANCHEZ,page GUENST,1, NEILSON,line SCOTT,8, BOROWSKI,by STURLA,striking KINSEY,out CERRATO,"and" BOYLE,and WAXMANinserting ANDa WARREN,comma JUNEAmend 12,Bill, 2023page REFERRED1, TOline COMMITTEE9, ONby LABORinserting ANDafter INDUSTRY,"wages" JUNEand for exemptions Amend Bill, page 1, line 12, 2023by ANstriking ACTout Amending"and 4(a)" and inserting , 4(a) and (e) and 5(c) Amend Bill, page 4, by inserting between lines 28 and 29 (e) In lieu of the actminimum wage prescribed in subsection (a) [and section 5(c)] and notwithstanding subsections (b) and (d), an employer may, during the first sixty calendar days when an employe under the age of Januarytwenty 17,years 1968is (P.L.11,initially No.5),employed, entitledpay "Anthe actemploye establishingtraining wages at a fixedrate of not less than the minimum wage andset overtimeforth ratesin forsection employes,6(a) withof certainthe exceptions;Fair Labor Standards Act (29 U.S.C.

providing§ for206(a)). minimum rates for learners and apprentices;

creatingA aperson Minimumemployed Wageat Advisorythe Boardtraining andwage definingunder itsthis powerssubsection shall be informed of the amount of the training wage and duties;the right to receive the full minimum wage, or a higher wage, upon completion of the training period.

conferringNo powersemployer andmay imposingtake dutiesany uponaction to displace existing employes, including partial displacements such as reduction in the Departmenthours, ofwages Laboror andemployment penalties,"benefits furtherof providingexisting employes, for definitionspurposes andof forhiring minimumindividuals wages.at the training wage authorized by this subsection.

TheSection General5. Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

SectionExemptions.--* 1.* * [(c) (1) Notwithstanding the provisions of section 4(a)(7) and (8), an employer unless otherwise exempt from the minimum wage provisions of section 4(a)(6) whose employe complement is composed of the equivalent of ten or less full-time employes to be calculated on a forty-hour workweek shall pay:

Sections(i) 3(d)Five anddollars 4(a)sixty-five ofcents the($5.65) actan ofhour beginning January 17,1, 19682007. (P.L.11, No.5), known as The Minimum Wage Act of 1968, are amended to read:

Section(ii) 3.Six dollars sixty-five cents ($6.65) an hour beginning July 1, 2007.

Definitions.--As2023/90AJB/HB1500A01027 used- in1 this- act:(2) Such employer shall pay the full amount of the minimum wage under section 4(a)(8) beginning July 1, 2008.] 2023/90AJB/HB1500A01027 - 2 -

* * * (d) "Wages" mean compensation due to any employe by reason of his or her employment, payable in legal tender of the United States or checks on banks convertible into cash on demand at full face value, subject to such deductions, charges or allowances as may be permitted by regulations of the secretary under section 9.

"Wage" paid to any employe includes the reasonable cost, as determined by the secretary, to the employer for furnishing such employe with board, lodging, or other facilities, if such board, lodging, or other facilities are customarily furnished by such employer to his or her employes:

Provided, That the cost of board, lodging, or other facilities shall not be included as a part of the wage paid to any employe to the extent it is excluded therefrom under the terms of a bona fide collective- bargaining agreement applicable to the particular employe:

Provided, further, That the secretary is authorized to determine the fair value of such board, lodging, or other facilities for defined classes of employes and in defined areas, based on average cost to the employer or to groups of employers similarly situated, or average value to groups of employes, or other appropriate measures of fair value.

Such evaluations, where applicable and pertinent, shall be used in lieu of actual measure of cost in determining the wage paid to any employe.

In determining the hourly wage an employer is required to pay a tipped employe, the amount paid such employe by his or her employer shall be an amount equal to:

(i) the cash wage paid the employe which for the purposes of the determination shall be not less than [the cash wage required to be paid the employe on the date immediately prior to the effective date of this subparagraph] sixty percent of the cash wage required to be paid the employe under section 4 of this act;

and (ii) an additional amount on account of the tips received by the employe which is equal to the difference between the wage specified in subparagraph (i) and the wage in effect under section 4 of this 20230HB1500PN1534 - 2 - act.

The additional amount on account of tips may not exceed the value of tips actually received by the employe.

The previous sentence shall not apply with respect to any tipped employe unless:

(1) Such employe has been informed by the employer of the provisions of this subsection;

(2) All tips received by such employe have been retained by the employe and shall not be surrendered to the employer to be used as wages to satisfy the requirement to pay the current hourly minimum rate in effect;

where the gratuity is added to the charge made by the establishment, either by the management, or by the customer, the gratuity shall become the property of the employe;

except that this subsection shall not be construed to prohibit the pooling of tips among employes who customarily and regularly receive tips.

* * * Section 4.

Minimum Wages.--Except as may otherwise be provided under this act:

(a) Every employer shall pay to each of his or her employes wages for all hours worked at a rate of not less than:

(1) Two dollars sixty-five cents ($2.65) an hour upon the effective date of this amendment.

(2) Two dollars ninety cents ($2.90) an hour during the year beginning January 1, 1979.

(3) Three dollars ten cents ($3.10) an hour during the year beginning January 1, 1980.

(4) Three dollars thirty-five cents ($3.35) an hour after December 31, 1980.

(5) Three dollars seventy cents ($3.70) an hour beginning February 1, 1989.

20230HB1500PN1534 - 3 - (6) Five dollars fifteen cents ($5.15) an hour beginning September 1, 1997.

(7) Six dollars twenty-five cents ($6.25) an hour beginning January 1, 2007.

(8) Seven dollars fifteen cents ($7.15) an hour beginning July 1, 2007.

(9) Eleven dollars ($11) an hour beginning January 1, 2024.

(10) Thirteen dollars ($13) an hour beginning January 1, 2025.

(11) Fifteen dollars ($15) an hour beginning January 1, 2026.