Vote Smart's Synopsis:

Vote to concur with the governor's recommendations and pass a bill that increases the minimum wage to $9.50 per hour beginning May 1, 2021.

Highlights:

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $9.50 per hour or the federal minimum wage, from May 1, 2021, until January 1, 2022 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $11.00 per hour or the federal minimum wage, from January 1, 2022, until January 1, 2023 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $12.00 per hour or the federal minimum wage, from January 1, 2023, until January 1, 2025 (Sec.1 ).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $13.50 per hour or the federal minimum wage, from January 1, 2025, until January 1, 2026 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $15.00 per hour or the federal minimum wage, from January January 1, 2026, until January 1, 2027 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of the adjusted state hourly minimum wage or the federal minimum wage, from and after January 1, 2027 (Sec. 1).

• Requires every employer to pay each of its employees a rate no less than the federal minimum wage or 75 percent of the Virginia minimum wage provided for in this act, whichever is greater, beginning May 1, 2021 (Sec. 1).

• Specifies that when determining the wage of a tipped employee, the amount paid to such employee will be increased on account of tips by an amount determined by their employer, except in the case of an employee who establishes by clear and convincing evidence that the actual amount of tips received was less than the amount determined by the employer, and in this case the amount paid will be increased (Sec. 1).

• Requires the Commissioner to establish the adjusted state hourly minimum wage that will be in effect during the 12-month period commencing on the following January 1, by October 1, 2026 (Sec. 1).

• Specifies that the term “employee” does not include any of the following (Sec. 1):

• Any person employed as a farm laborer or farm employee; 

• Any person engaged in the activities of an educational, charitable, religious, or nonprofit organization where the relationship of the employer-employee does not, in fact, exist, or where the services rendered to such organization are on a voluntary basis; 

• Caddies on golf courses; 

• Traveling salesmen or outside salesmen working on a commission basis; 

• Taxicab drivers and operators; 

• Any person under the age of 18 in the employment of their parent or legal guardian; 

• Any person confined in any penal or corrective institution of the state or admitted to a state hospital or training center operated by the Department of Behavioral Health and Developmental Services; 

• Any person employed by a summer camp for children; 

• Any person under the age of 16, regardless of who employs them; 

• Any person who is paid pursuant to the Fair Labor Standards Act, as amended; 

• Students participating in a bona fide educational program; 

• Any person who is less than 18 years of age and who is currently enrolled on a full-time basis in any secondary school of higher education or trade school, provided that the person is not employed more than 20 hours per week; 

• Any person of any wage who is currently enrolled on a full-time basis in any secondary school of higher education or trade school and is in a work-study program or equivalent; 

• Any person who works as a babysitter for fewer than 10 hours per week; 

• Any person participating as an au pair in the United States Department of State’s Exchange Visitor Program; 

• Any individual employed as a temporary foreign worker; and

• Any person who is exempted from the federal minimum wage.

Full Bill Text

Signed by Governor Ralph Northam

Vote Smart's Synopsis:

Vote to adopt a conference report that increases the minimum wage to $9.50 per hour.

Highlights:

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $9.50 per hour or the federal minimum wage, from May 1, 2021, until January 1, 2022 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $11.00 per hour or the federal minimum wage, from January 1, 2022, until January 1, 2023 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $12.00 per hour or the federal minimum wage, from January 1, 2023, until January 1, 2025 (Sec.1 ).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $13.50 per hour or the federal minimum wage, from January 1, 2025, until January 1, 2026 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of $15.00 per hour or the federal minimum wage, from January January 1, 2026, until January 1, 2027 (Sec. 1).

• Requires every employer to pay each of its employees wages at a rate no less than the greater of the adjusted state hourly minimum wage or the federal minimum wage, from and after January 1, 2027 (Sec. 1).

• Requires every employer to pay each of its employees a rate no less than the federal minimum wage or 75 percent of the Virginia minimum wage provided for in this act, whichever is greater, beginning May 1, 2021 (Sec. 1).

• Specifies that when determining the wage of a tipped employee, the amount paid to such employee will be increased on account of tips by an amount determined by their employer, except in the case of an employee who establishes by clear and convincing evidence that the actual amount of tips received was less than the amount determined by the employer, and in this case the amount paid will be increased (Sec. 1).

• Requires the Commissioner to establish the adjusted state hourly minimum wage that will be in effect during the 12-month period commencing on the following January 1, by October 1, 2026 (Sec. 1).

• Specifies that the term “employee” does not include any of the following (Sec. 1):

• Any person employed as a farm laborer or farm employee; 

• Any person engaged in the activities of an educational, charitable, religious, or nonprofit organization where the relationship of the employer-employee does not, in fact, exist, or where the services rendered to such organization are on a voluntary basis; 

• Caddies on golf courses; 

• Traveling salesmen or outside salesmen working on a commission basis; 

• Taxicab drivers and operators; 

• Any person under the age of 18 in the employment of their parent or legal guardian; 

• Any person confined in any penal or corrective institution of the state or admitted to a state hospital or training center operated by the Department of Behavioral Health and Developmental Services; 

• Any person employed by a summer camp for children; 

• Any person under the age of 16, regardless of who employs them; 

• Any person who is paid pursuant to the Fair Labor Standards Act, as amended; 

• Students participating in a bona fide educational program; 

• Any person who is less than 18 years of age and who is currently enrolled on a full-time basis in any secondary school of higher education or trade school, provided that the person is not employed more than 20 hours per week; 

• Any person of any wage who is currently enrolled on a full-time basis in any secondary school of higher education or trade school and is in a work-study program or equivalent; 

• Any person who works as a babysitter for fewer than 10 hours per week; 

• Any person participating as an au pair in the United States Department of State’s Exchange Visitor Program; 

• Any individual employed as a temporary foreign worker; and

• Any person who is exempted from the federal minimum wage.

Full Bill Text