SENATE DOCKET, NO. 1369        FILED ON: 1/16/2015

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 982

The Commonwealth of Massachusetts

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PRESENTED BY:

Patricia D. Jehlen

_________________

To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act relative to the tipped minimum wage.

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PETITION OF:

SENATE DOCKET, NO. 1369        FILED ON: 1/16/2015

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 982

The Commonwealth of Massachusetts

_______________

In the One Hundred and Eighty-Ninth General Court
(2015-2016)

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An Act relative to the tipped minimum wage.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Section 2 of chapter 151 of the General Laws, as appearing in the 2012 Official Edition, is hereby amended by inserting at the end thereof the following:-

”Bona fide collective bargaining agreement,” an agreement when it is made with a labor organization which has been certified pursuant to the provision of section 7(b)(1) or 7(b)(2) of the National Labor Relations Act by the National Labor Relations Board, or which is the certified representative of the employees under the provisions of the National Labor Relations Act, as amended, or the Railway Labor Act, as amended.

SECTION 2. Section 7 of chapter 151 of the General Laws, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following:-

In determining the wage an employer is required to pay a tipped employee, the amount paid to such employee by the employer shall be an amount equal to: (1) the cash wage paid such employee which for purposes of such determination shall be not less than $4.50; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in clause (1) and the wage in effect under section 1. The additional amount on account of tips may not exceed the value of the tips actually received by an employee. This paragraph shall not apply with respect to any tipped employee unless such employee has been informed by the employer of the provisions of this paragraph, and all tips received by such employee have been retained by the employee, except that this paragraph shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.  Furthermore, this paragraph shall not apply with respect to any tipped employee employed in the hotel and restaurant industry, including in hotel restaurants, when such employee is subject to the terms of a bona fide collective bargaining agreement.

SECTION 3. Section 7 of chapter 151 of the General Laws, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following:-

In determining the wage an employer is required to pay a tipped employee, the amount paid to such employee by the employer shall be an amount equal to: (1) the cash wage paid such employee which for purposes of such determination shall be not less than $6.00; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in clause (1) and the wage in effect under section 1. The additional amount on account of tips may not exceed the value of the tips actually received by an employee. This paragraph shall not apply with respect to any tipped employee unless such employee has been informed by the employer of the provisions of this paragraph, and all tips received by such employee have been retained by the employee, except that this paragraph shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.  Furthermore, this paragraph shall not apply with respect to any tipped employee employed in the hotel and restaurant industry, including in hotel restaurants, when such employee is subject to the terms of a bona fide collective bargaining agreement.

SECTION 4. Section 7 of chapter 151 of the General Laws, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following:-

In determining the wage an employer is required to pay a tipped employee, the amount paid to such employee by the employer shall be an amount equal to: (1) the cash wage paid such employee which for purposes of such determination shall be not less than $8.75; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in clause (1) and the wage in effect under section 1. The additional amount on account of tips may not exceed the value of the tips actually received by an employee. This paragraph shall not apply with respect to any tipped employee unless such employee has been informed by the employer of the provisions of this paragraph, and all tips received by such employee have been retained by the employee, except that this paragraph shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.  Furthermore, this paragraph shall not apply with respect to any tipped employee employed in the hotel and restaurant industry, including in hotel restaurants, when such employee is subject to the terms of a bona fide collective bargaining agreement.

SECTION 5. Section 7 of chapter 151 of the General Laws, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following:-

In determining the wage an employer is required to pay a tipped employee, the amount paid to such employee by the employer shall be an amount equal to: (1) the cash wage paid such employee which for purposes of such determination shall be not less than $10.50; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in clause (1) and the wage in effect under section 1. The additional amount on account of tips may not exceed the value of the tips actually received by an employee. This paragraph shall not apply with respect to any tipped employee unless such employee has been informed by the employer of the provisions of this paragraph, and all tips received by such employee have been retained by the employee, except that this paragraph shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.  Furthermore, this paragraph shall not apply with respect to any tipped employee employed in the hotel and restaurant industry, including in hotel restaurants, when such employee is subject to the terms of a bona fide collective bargaining agreement.

SECTION 6. Section 7 of chapter 151 of the General Laws, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following:-

Beginning on January 1, 2022, and no later than January 1 of each successive year, in determining the wage an employer is required to pay a tipped employee, the amount paid to such employee by the employer shall be an amount equal to: (1) the cash wage paid such employee which for purposes of such determination shall be the minimum wage as set by section 1 of Chapter 151 of this Act; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in clause (1) and the wage in effect under section 1. The additional amount on account of tips may not exceed the value of the tips actually received by an employee. This paragraph shall not apply with respect to any tipped employee unless such employee has been informed by the employer of the provisions of this paragraph, and all tips received by such employee have been retained by the employee, except that this paragraph shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.  Furthermore, this paragraph shall not apply with respect to any tipped employee employed in the hotel and restaurant industry, including in hotel restaurants, when such employee is subject to the terms of a bona fide collective bargaining agreement.

SECTION 7. Sections 1 and 2 shall take effect on January 1, 2018.

SECTION 8. Section 3 shall take effect on January 1, 2019.

SECTION 9. Section 4 shall take effect on January 1, 2020.

SECTION 10. Section 5 shall take effect on January 1, 2021.

SECTION 11. Section 6 shall take effect on January 1, 2022.