Senate File 2075 - Introduced SENATE FILE 2075 BY J. SMITH A BILL FOR An Act increasing the state minimum hourly wage and providing 1 for subsequent increases by the same percentage as the 2 increase in federal social security benefits. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5895XS (3) 88 je/rn
S.F. 2075 Section 1. Section 91D.1, subsection 1, paragraphs a and d, 1 Code 2020, are amended to read as follows: 2 a. (1) The state hourly wage shall be at least $6.20 as of 3 April 1, 2007, and $7.25 as of January 1, 2008 , and $9.30 as of 4 July 1, 2020 . 5 (2) The state hourly wage, including the state hourly wage 6 for the first ninety calendar days of employment provided 7 in paragraph “d” , shall be increased annually on January 1, 8 beginning January 1, 2021, by the same percentage as the 9 cost-of-living increase, if any, in federal social security 10 benefits authorized during the current state fiscal year by the 11 federal social security administration pursuant to section 215 12 of the federal Social Security Act, 42 U.S.C. §415, rounded up 13 to the nearest five cents. In no case shall the state hourly 14 wage be decreased. 15 d. An employer is not required to pay an employee the 16 applicable state hourly wage provided in paragraph “a” until the 17 employee has completed ninety calendar days of employment with 18 the employer. An employee who has completed ninety calendar 19 days of employment with the employer prior to April 1, 2007, or 20 January 1, 2008, shall earn the applicable state hourly minimum 21 wage as of that the date of completion . An employer shall 22 pay an employee who has not completed ninety calendar days of 23 employment with the employer an hourly wage of at least $5.30 24 as of April 1, 2007, and $6.35 as of January 1, 2008 , and $8.40 25 as of July 1, 2020 . 26 EXPLANATION 27 The inclusion of this explanation does not constitute agreement with 28 the explanation’s substance by the members of the general assembly. 29 This bill increases the state minimum hourly wage to $9.30 as 30 of July 1, 2020. The bill increases the state minimum hourly 31 wage for employees employed for less than 90 days to $8.40 as 32 of July 1, 2020. 33 The bill also increases the state minimum hourly wage, 34 including the minimum hourly wage established for employees 35 -1- LSB 5895XS (3) 88 je/rn 1/ 2
S.F. 2075 employed for less than 90 days, annually on January 1, 1 beginning January 1, 2021, by the same percentage as the 2 cost-of-living increase, if any, in social security benefits 3 effective as of the previous December, as authorized by the 4 federal social security administration, rounded up to the 5 nearest five cents. The bill provides that in no case shall 6 the state minimum hourly wage be decreased. 7 -2- LSB 5895XS (3) 88 je/rn 2/ 2