A measure to increase the federal minimum wage to $7.25/hour passed the House last week, over objections of House Democrats, only to fail in the Senate a few days later.
The measure—H.R. 5970—has been mired in controversy. Although Democrats support raising the minimum wage, they have opposed various estate tax breaks to which the increase was attached. What’s more, Democrats voiced concern over a bill provision that they say would force states to allow employers with tipped employees to count employees’ tips toward minimum wage. While California and several other states prohibit such “tip credits,” Democrats charged that this measure would have blocked these states from enforcing their protective wage and hour laws.
Although the fate of the measure is uncertain, it could come up for Senate debate again when Congress returns from its August recess. We’ll keep you posted.
The HR Management & Compliance Report: How To Comply with California Wage & Hour Law, explains everything you need to know to stay in compliance with the state’s complex and ever-changing rules, laws, and regulations in this area. Coverage on bonuses, meal and rest breaks, overtime, alternative workweeks, final paychecks, and more.
Additional Resources:
Library of Congress Search Page for H.R. 5970 (minimum wage provisions)
California Wage and Hour Advisor