SENATE DOCKET, NO. 984        FILED ON: 1/19/2017

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1004

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

Kenneth J. Donnelly

_________________

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 to improve the Commonwealth’s economy with a strong minimum wage and a strong tipped minimum wage.

_______________

PETITION OF:

SENATE DOCKET, NO. 984        FILED ON: 1/19/2017

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1004

The Commonwealth of Massachusetts

_______________

In the One Hundred and Ninetieth General Court
(2017-2018)

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An Act to improve the Commonwealth’s economy with a strong minimum wage and a strong 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 1 of chapter 151 of the General Laws, as appearing in the 2014 Official Edition, is hereby amended by striking out the word “It”, in line 27, and inserting in place thereof the following words:- Notwithstanding the provisions of section 27C of chapter 29 or any other general or special law to the contrary, it.

SECTION 2. Said section 1 of said chapter 151, as so appearing, is hereby further amended by inserting before the word “employer”, in line 28,  the following words:- public or private.

SECTION 3. Said section 1 of said chapter 151, as so appearing, is hereby further amended by striking out the figure “11.00”, in line 32, and inserting in place thereof the following figure:- 12.00.

SECTION 4. Said section 1 of said chapter 151, as so appearing, is hereby further amended by inserting after the word “hour”, in line 32, the following words:- as of January 1, 2018; $13.00 per hour as of January 1, 2019; $14.00 per hour as of January 1, 2020; and $15.00 per hour as of January 1, 2021.

SECTION 5. Said section 1 of said chapter 151, as so appearing, is hereby further amended by inserting after the word “nine.”, in line 37, the following sentences:-

On January 1, 2022, and each January 1st thereafter, the minimum wage rate that is currently conclusively presumed to be oppressive and unreasonable under this section shall be increased by the increase, if any, in the cost of living. The increase in the cost of living shall be measured by the percentage increase, if any, as of August of the previous year over the level as of August of the year preceding that of the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), or its successor index as published by the U.S. Department of Labor or its successor agency, with the amount of the minimum wage increase rounded up to the nearest multiple of 5 cents.

SECTION 6. Said chapter 151 is hereby further amended by inserting after section 2B the following section:-

Section 2C. Notwithstanding section 17 of chapter 15D or any general or special law to the contrary, the department of early education and care shall be deemed the employer of family childcare providers, as defined by section 17(a) of chapter 15D, and family childcare providers shall be deemed employed persons, for purposes of this chapter. Notwithstanding any general or special law to the contrary, the attorney general of the commonwealth shall determine the minimum rates to be paid by the department of early education and care to family childcare providers, and promulgate any regulations necessary for purposes of determining the minimum rates, in order that the rates are substantially equivalent to the minimum wage provisions set forth in section 1 of this chapter.

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

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 $5.25; 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.

SECTION 8. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $6.75; 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.

SECTION 9. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $8.25; 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.

SECTION 10. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $9.75; 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.

SECTION 11. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $11.25; 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.

SECTION 12. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $12.75; 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.

SECTION 13. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $14.25; 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.

SECTION 14. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 $15.75; 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.

SECTION 15. Said section 7 of said chapter 151, as so appearing, is hereby amended by striking the third paragraph and inserting in place thereof the following paragraph:-

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 not less than the wage in effect under section 1.

SECTION 16.  Sections 1, 2, 3, 4, 5, 6 and 7 shall take effect on January 1, 2018.

SECTION 17.  Section 8 shall take effect on January 1, 2019.

SECTION 18.  Section 9 shall take effect on January 1, 2020.

SECTION 19.  Section 10 shall take effect on January 1, 2021.

SECTION 20.  Section 11 shall take effect on January 1, 2022.

SECTION 21.  Section 12 shall take effect on January 1, 2023.

SECTION 22.  Section 13 shall take effect on January 1, 2024.

SECTION 23.  Section 14 shall take effect on January 1, 2025.

SECTION 24.  Section 15 shall take effect on January 1, 2026.