An Act amending the act of January 17, 1968 (P.L.11, No.5), known as The Minimum Wage Act of 1968, further providing for definitions, for minimum wages and for exemptions; providing for gratuities; further providing for enforcement and rules and regulations, for penalties and for civil actions; repealing provisions relating to preemption; and providing for local option and for taxpayer savings and reinvestment.
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Senate
- Passed House
- To Governor
- Became Law
Overview
This bill amends the Pennsylvania Minimum Wage Act of 1968 to increase the state’s minimum wage. It establishes a gradual increase, starting at $15 per hour in 2026 and adjusting annually based on the Consumer Price Index (CPI-U). The bill also addresses gratuities, ensuring that tipped employees receive a minimum wage equivalent to 70% of the base wage plus any difference between their tips and the base wage. Furthermore, it includes provisions for local option, taxpayer savings and reinvestment, and updates regulations regarding exemptions and enforcement.
Key provisions
- Increases the minimum wage to $15 per hour starting January 1, 2026.
- Annualizes the minimum wage increase based on the Consumer Price Index (CPI-U).
- Provides a mechanism to ensure tipped employees receive a minimum wage equivalent to 70% of the base wage plus any difference between their tips and the base wage.
- Allows municipalities to establish a minimum wage higher than the state minimum wage, subject to specific requirements.
- Creates a fund for taxpayer savings from wage increases, to be reinvested in child-care providers, direct-care workers, and home-based/community-based services.
- Defines ‘wages’ to include compensation paid in cash or checks convertible to cash.
- Updates regulations regarding exemptions for certain employees.
- Addresses gratuities, specifying that gratuities belong to the employee who receives them.
Who is affected
Bill text
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Document of record
- Version
- Pn 0685 Html
- Published
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Sponsors
Official sponsors from legislative records.
9 on record
Primary sponsor
Christine Tartaglione
Cosponsors
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