THIRTIETH LEGISLATURE, 2019
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO MINIMUM WAGE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that Hawaii has some of the highest costs of living in the country. This disproportionately impacts lower wage earners in the State and imposes significant hardship.
The purpose of this part is to increase the minimum wage to combat rising wage disparity and also incentivize greater provision of healthcare to lower wage employees by their employers.
SECTION 2. Section 387-2, Hawaii Revised Statutes, is amended to read as follows:
"§387-2 Minimum wages. (a) Except as provided in section 387‑9 and this section, every employer shall pay to each employee employed by the employer, wages at the rate of not less than:
(1) $6.25 per hour beginning January 1, 2003;
(2) $6.75 per hour beginning January 1, 2006;
(3) $7.25 per hour beginning January 1, 2007;
(4) $7.75 per hour beginning January 1, 2015;
(5) $8.50 per hour beginning January 1, 2016;
(6) $9.25 per hour beginning
January 1, 2017; [
per hour beginning January 1, 2018[
(8) $11.00 per hour beginning January 1, 2020;
(9) $12.00 per hour beginning January 1, 2021;
(10) $13.00 per hour beginning January 1, 2022;
(11) $14.00 per hour beginning January 1, 2023; and
(12) $15.00 per hour beginning January 1, 2024.
(b) The hourly wage of a tipped employee may be deemed to be increased on account of tips if the employee is paid not less than:
(1) 25 cents;
(2) 50 cents per hour beginning January 1, 2015; and
(3) 75 cents per hour beginning January 1, 2016,
below the applicable minimum wage by the employee's employer and the combined amount the employee receives from the employee's employer and in tips is at least 50 cents more than the applicable minimum wage; provided that beginning January 1, 2015, the combined amount the employee receives from the employee's employer and in tips is at least $7.00 more than the applicable minimum wage.
(c) Notwithstanding the requirements of subsection (a), an employer that is required to provide health care coverage to any employee by a prepaid group health care plan pursuant to section 393-11 shall pay each employee who actually receives coverage under the employer's plan a wage at a rate not less than:
(1) $10.50 per hour beginning January 1, 2020;
(2) $11.00 per hour beginning January 1, 2021;
(3) $11.50 per hour beginning January 1, 2022;
(4) $12.00 per hour beginning January 1, 2023; and
(5) $12.50 per hour beginning January 1, 2024."
SECTION 3. The purpose of this part is to include persons with disabilities under generally applicable minimum wage requirements by repealing provisions that allow individuals whose earning capacity is impaired by old age or physical or mental deficiency or injury to be paid at subminimum rates.
SECTION 4. Section 103D-1001, Hawaii Revised Statutes, is amended by amending the definition of "qualified community rehabilitation program" to read as follows:
""Qualified community rehabilitation program" means a nonprofit community rehabilitation program for persons with disabilities that:
(1) Is organized and incorporated under the laws of the United States or this State, and located in this State;
(2) Is operated in the interest of and [
persons with disabilities;
(3) Does not inure any part of its net income to any shareholder or other individual;
(4) Complies with all applicable occupational health and safety standards required by the federal, state, and county governments; and
(5) Holds a current certificate from the United
States Department of Labor pursuant to the Fair Labor Standards Act, Title 29
United States Code section 214(c), and is certified by the state department of
labor and industrial relations under [
section 387-9 and] applicable
administrative rules relating to the employment of persons with
SECTION 5. Section 387-9, Hawaii Revised Statutes, is amended to read as follows:
Special minimum wages for learners; apprentices; full-time students;
paroled wards of Hawaii youth correctional facility[
; handicapped workers]. (a)
Notwithstanding the provisions of section 387-2, the director may by
rule provide for the employment[ : (1) Of] of learners, of apprentices,
of part-time employees who are full-time students attending public or private
schools other than colleges, universities, business schools, or technical
schools, and of wards paroled from the Hawaii youth correctional facility,
under special certificates issued by the director, at such wages lower than the
applicable minimum wage and subject to such limitations as to time, number,
proportion, and length of service as the director shall prescribe[ ; and (2) Of individuals whose earning capacity is
impaired by old age or physical or mental deficiency or injury, under special
certificates issued by the director, at such wages lower than the applicable
minimum wage and for such period as shall be fixed in the certificates].
(b) The director may by rule prescribe standards and requirements to ensure that this section will not create a substantial probability of reducing the full-time employment opportunities of persons other than those to whom the special minimum wage rate authorized by this section is applicable."
SECTION 6. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.
SECTION 7. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.
SECTION 8. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 9. This Act shall take effect on January 1, 2050.
Minimum Wage; Employment; Persons With Disabilities
Increases minimum wage rates annually from January 1, 2020, through January 1, 2024. Provides lower minimum wage rates for employees who receive employer-sponsored health benefits under the Hawaii Prepaid Health Care Act. Includes persons with disabilities under generally applicable minimum wage requirements. (SB789 HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.