SB 1124 — Preemption of Local Government Wage Mandates

Florida Senate - 2022 CS for SB 1124 By Senatorthe GrutersCommittee 23-00841-22on 20221124__Community AAffairs; bill to be entitled An act relating to preemption of local government wage mandates;

and Senator Gruters 578-02651-22 20221124c1 A bill to be entitled An act relating to preemption of local government wage mandates;

providingdefining legislativethe findingsterms “employ” and declarations;“wage mandate”;

revisingdeleting andthe definingdefinition terms;of the term “employer contracting to provide goods or services for the political subdivision”;

revising prohibitions relating to political subdivisions enacting, maintaining, or enforcing wage mandates in an amount greater than the state minimumor wagefederal rate;minimum wage;

revisingspecifying constructionthat andany applicability;wage mandate that conflicts with such prohibitions is void;

revising applicability;

providing construction;

(Substantial218.077 rewordingWage ofMandate section.Preemption Act and employment benefits requirements by political subdivisions;

Seerestrictions.— s.(1) This section may be cited as the “Wage Mandate Preemption Act.” (2) As used in this section, the term:

218.077,(a) F.S.,“Employ” forhas presentthe text.)same 218.077meaning Wageas Mandateestablished Preemptionunder Act.— (1) This section may be cited as the “Wagefederal MandateFair PreemptionLabor Act.”Standards (2)Act The Legislature finds and declaresits allimplementing ofregulations. the following:

(a)(b) That“Employee” economicmeans stabilityany andnatural growthperson arewho amongis theentitled mostunder importantstate factorsor affectingfederal thelaw generalto welfarereceive ofa the residents of this state andor arefederal amongminimum thewage. most important matters for which the Legislature is responsible.

(b) That mandated wage rates comprise a major cost component for private enterprises and are among the chief factors affecting the economic stability and growth of this Page 1 of 4 CODING:

Florida Senate - 2022 CS for SB 1124 23-00841-22578-02651-22 20221124__20221124c1 state.(c)(b) “Employer” means any person who is required under state or federal law to pay a state or federal minimum wage to the person’s employees.

(c) That“Employer prevailingcontracting wageto lawsprovide increasegoods or services for the costspolitical ofsubdivision” governmentmeans anda businessperson andcontracting diminishwith the numberpolitical ofsubdivision jobsto generatedprovide goods or services to, for the benefit of, or on behalf of, the political subdivision in exchange for valuable consideration, and includes a person leasing or subleasing real property owned by the economy.political subdivision.

(d) That“Employment localbenefits” variationsmeans inanything mandated wage rates threaten many businesses with a loss of employeesvalue to areas that requirean higheremployee mandatedmay wagereceive rates,from threatenan manyemployer otherin businessesaddition with the loss of patrons to areaswages that allow lower mandated wage rates, and aresalary. detrimental to the business environment of this state, to local labor markets, and to the citizens, businesses, and governments of the political subdivisions of this state.

(e)The Thatterm inincludes, orderbut foris businessesnot tolimited remainto, competitivehealth whilebenefits; attracting and retaining the highest possible caliber of employees, private enterprises in this state must be allowed to function in a uniform environment with respect to mandated wage rates.

(f)disability Thatbenefits; legislated wage disparity between political subdivisions of this state creates an anticompetitive marketplace that fosters job and business relocation.

(g)death Thatbenefits; prevailing wage laws are most harmful to the young, to minorities, and to other new or potential entrants to the workplace.

(h)group Thataccidental prohibitingdeath and repealingdismemberment prevailingbenefits; wage laws will increase the efficiency of public investments, reduce the cost of government, and eliminate government’s preferential treatment.

(3)paid Foror theunpaid purposesdays ofoff thisfor section,holidays, thesick term:leave, vacation, and personal necessity;

(a)retirement “Employ”benefits; has the same meaning as established under the federal Fair Labor Standards Act and its implementing Page 2 of 4 CODING:

and profit-sharing benefits.

(e) “Federal minimum wage” means a minimum wage required under federal law, including the federal Fair Labor Standards Act of 1938, as amended, 29 U.S.C.

ss.

201 et seq.

(f) “Political subdivision” means a county, municipality, department, commission, district, board, or other public body, whether corporate or otherwise, created by or under state law.

(g) “Wage” means that compensation for employment to which any state or federal minimum wage applies.

(h) “Wage mandate” means any requirement enacted by a political subdivision which requires an employer to pay any or all of its employees a wage rate not otherwise required under state or federal law.

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Florida Senate - 2022 CS for SB 1124 23-00841-22578-02651-22 20221124__20221124c1 regulations.(3)(2) Except as otherwise provided in subsection (4) (3), a political subdivision may not enact establish, maintain mandate, or enforce by charter, ordinance, purchase agreement, contract, regulation, rule, or resolution, either directly or indirectly, a wage mandate in an amount greater than the state minimum wage rate calculated pursuant to s.

(b) “Employee” means any individual employed by an employer.

(c) “Employer” means any person who employs employees.

The term includes, but is not limited to, any person acting directly or indirectly in the interest of an employer in relation to an employee and includes a public agency other than the government of the United States, as well as employers that have contracts or subcontracts with a political subdivision or that have received tax abatements, loan guarantees, or other financial assistance from a political subdivision.

(d) “Political subdivision” includes, but is not limited to, any municipality, city, county, village, school district, special purpose district, or local government of this state.

(e) “Wage mandate” means any requirement enacted by a political subdivision which requires an employer to pay any or all of its employees a wage rate not otherwise required under state or federal law.

(4) Except as provided in subsection (5), a political subdivision may not enact, maintain, or enforce by charter, ordinance, purchase agreement, contract, regulation, rule, or resolution, either directly or indirectly, a wage mandate in an amount greater than the state minimum wage rate calculated pursuant to s.

X of the State Constitution.Constitution or the federal minimum wage rate.

(5)Additionally, Subsectiona (4)political doessubdivision not:may not otherwise require an employer to pay a minimum wage, other than a state or federal minimum wage, to apply a state or federal minimum wage to wages exempt from a state or federal minimum wage, or require an employer to provide employment benefits not otherwise required by state or federal law.

(a)(4)(3) ProhibitThis asection politicaldoes subdivisionnot: from enacting, maintaining, or enforcing through a collective bargaining agreement or other means a minimum wage requirement governing Page 3 of 4 CODING: