HB1278: relative to the applicable minimum wage for hourly employees.

HB 1278-FN-LOCAL - AS INTRODUCED

2003 SESSION

03-2206

06/09

HOUSE BILL 1278-FN-LOCAL

AN ACT relative to the applicable minimum wage for hourly employees.

SPONSORS: Rep. Keans, Straf 67; Rep. Lasky, Hills 65; Rep. Norelli, Rock 86; Rep. Seldin, Merr 39; Rep. Quandt, Rock 83; Sen. Estabrook, Dist 21; Sen. Foster, Dist 13; Sen. D'Allesandro, Dist 20; Sen. Larsen, Dist 15

COMMITTEE: Labor, Industrial and Rehabilitative Services

ANALYSIS

This bill raises the minimum wage for hourly employees.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03-2206

06/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Three

AN ACT relative to the applicable minimum wage for hourly employees.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Minimum Hourly Rate. Amend the introductory paragraph of RSA 279:21 to read as follows:

279:21 Minimum Hourly Rate. Unless otherwise provided by statute, no person, firm, or corporation shall employ any employee at an hourly rate lower than that set forth in the federal minimum wage law, as amended, or as follows, whichever is higher:

Date Hourly Rate

[April 1, 1991 to September 30, 1996 $4.25

October 1, 1996 to August 31, 1997 $4.75]

On and after September 1, 1997 $5.15

On and after July 1, 2004 $5.65

On and after July 1, 2005 $6.15

On and after July 1, 2006 $6.65

Tipped employees of a restaurant, hotel, motel, inn or cabin, who customarily and regularly receive more than $20 a month in tips directly from the customers will receive a base rate from the employer of not less than $2.38 per hour. With any change to the minimum wage after the effective date of this section, the employer is responsible to pay employees $2.38 per hour or 45 percent of the applicable minimum wage whichever is higher. If an employee shows to the satisfaction of the commissioner that the actual amount of wages received at the end of each pay period did not equal the minimum wage for all hours worked, the employer shall pay the employee the difference to guarantee the applicable minimum wage. The limitations imposed hereby shall be subject to the following exceptions:

2 Effective Date. This act shall take effect 60 days after its passage.

LBAO

03-2206

6/20/03

HB 1278-FN-LOCAL - FISCAL NOTE

AN ACT relative to the applicable minimum wage for hourly employees.

FISCAL IMPACT:

The Association of Counties and New Hampshire Municipal Association state this bill may increase county and local expenditures by an indeterminable amount in FY 2004 and each year thereafter. There will be no fiscal impact on state expenditures or state, county, and local revenues.

METHODOLOGY:

The Association of Counties states of the approximately 3,800 county employees, less than 100 are paid the minimum wage. In no county is the existing salary schedule based on minimum wage. The Association states this bill may have an indeterminable fiscal impact on county government expenditures.

The New Hampshire Municipal Association states that, based on information provided by the New Hampshire Government Finance Officer's Association (NHGFOA), the impact of increasing the minimum wage would likely be less in many mid to large size communities because they are paying a majority of their employees more than the minimum wage. Smaller communities may feel a greater impact due to not having the computerized ability to sort and provide the information as to how it would affect them. Municipalities with workers who are paid less than the proposed amounts would be affected by the proposed increases in the minimum wage. The exact fiscal impact cannot be determined at this time.

The Department of Labor states this bill will have no fiscal impact on state expenditures since the lowest hourly rate paid by the state is higher than the proposed minimum wage.