SB 1038

Currently, the state minimum wage law requires that employers pay the

applicable minimum wage set in statute to their employees. Under that law, the

current minimum wage for most employees is $7.25 per hour. This bill raises the

minimum wage for most employees to $10.85 per hour on the effective date of the bill

and $15 per hour one year after the effective date of the bill.

Beginning two years after the bill's effective date, the bill requires the

Department of Workforce Development to annually revise the minimum wage

established under the bill by determining the percentage difference between the

consumer price index for the preceding year and the consumer price index for the

year before the preceding year, adjusting the minimum wage then in effect by that

percentage difference, and rounding that result to the nearest multiple of five cents.

DWD, however, is not required to revise the general minimum wage if the consumer

price index for the preceding year has not increased over the consumer price index

for the year before the preceding year. DWD is required to publish the revised

minimum wage in the Wisconsin Administrative Register and on DWD's website.

The bill also repeals 1) provisions establishing a separate, lower minimum

wage for tipped employees; 2) a provision that requires DWD to promulgate rules

governing the counting of tips or similar gratuities toward payment of the minimum

wage; 3) provisions setting specific meal and lodging allowances; and 4) provisions

establishing minimum wages for minor employees, opportunity employees,

agricultural employees, and others and instead requires DWD to establish the

minimum wage for those employees by rule.

Finally, current law prohibits a city, village, town, or county from enacting and

administering an ordinance establishing a minimum wage. The bill eliminates that

prohibition.