SF 39 – Wage theft
SSB 1151 — Minimum wage increase
COMMITTEE ACTION:
SF 39 puts the burden on the employer to establish the legality of deductions from employee wages and requires that the employer must obtain written authorization for certain deductions in advance. The bill requires employers to keep a written record of the terms of employment. The defense that an employer “unintentionally” failed to pay employees would no longer be acceptable. Employees filing wage theft claims and co-workers who offer testimony on their behalf would be protected from retaliation under threat of penalty. The effective date is January 1, 2016. An amendment was adopted in committee to establish a statewide, toll-free wage theft hotline, to allow employers to correct honest mistakes without penalty, and to clarify that provisions will not apply if they conflict with federal law or regulation. The amendment also requires the Labor Commissioner to notify employers of the new law changes and to provide sample forms and procedures to meet record-keeping requirements by September 1. [2/16: 7-4 (party-line)]
SSB 1151 increases the state minimum hourly wage to $8 as of July 1, 2015 and to $8.75 as of July 1, 2016. [2/18: 8-3 (party line with Bertrand voting “yes”)]