PRINTER'S NO. 1120
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
813
Session of
2019
INTRODUCED BY LEACH, AUGUST 7, 2019
REFERRED TO LABOR AND INDUSTRY, AUGUST 7, 2019
AN ACT
Amending the act of January 17, 1968 (P.L.11, No.5), entitled
"An act establishing a fixed minimum wage and overtime rates
for employes, with certain exceptions; providing for minimum
rates for learners and apprentices; creating a Minimum Wage
Advisory Board and defining its powers and duties; conferring
powers and imposing duties upon the Department of Labor and
Industry; imposing duties on employers; and providing
penalties," further providing for definitions, for minimum
wages and for civil actions.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Sections 3(d), 4(a) and 13 of the act of January
17, 1968 (P.L.11, No.5), known as The Minimum Wage Act of 1968,
are amended to read:
Section 3. Definitions.--As used in this act:
* * *
(d) "Wages" mean compensation due to any employe by reason
of his or her employment, payable in legal tender of the United
States or checks on banks convertible into cash on demand at
full face value, subject to such deductions, charges or
allowances as may be permitted by regulations of the secretary
under section 9.
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"Wage" paid to any employe includes the reasonable cost, as
determined by the secretary, to the employer for furnishing such
employe with board, lodging, or other facilities, if such board,
lodging, or other facilities are customarily furnished by such
employer to his or her employes: Provided, That the cost of
board, lodging, or other facilities shall not be included as a
part of the wage paid to any employe to the extent it is
excluded therefrom under the terms of a bona fide collective-
bargaining agreement applicable to the particular employe:
Provided, further, That the secretary is authorized to determine
the fair value of such board, lodging, or other facilities for
defined classes of employes and in defined areas, based on
average cost to the employer or to groups of employers similarly
situated, or average value to groups of employes, or other
appropriate measures of fair value. Such evaluations, where
applicable and pertinent, shall be used in lieu of actual
measure of cost in determining the wage paid to any employe.
[In determining the hourly wage an employer is required to
pay a tipped employe, the amount paid such employe by his or her
employer shall be an amount equal to: (i) the cash wage paid the
employe which for the purposes of the determination shall be not
less than the cash wage required to be paid the employe on the
date immediately prior to the effective date of this
subparagraph; and (ii) an additional amount on account of the
tips received by the employe which is equal to the difference
between the wage specified in subparagraph (i) and the wage in
effect under section 4 of this act. The additional amount on
account of tips may not exceed the value of tips actually
received by the employe. The previous sentence shall not apply
with respect to any tipped employe unless:
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(1) Such employe has been informed by the employer of the
provisions of this subsection;
(2) All tips received by such employe have been retained by
the employe and shall not be surrendered to the employer to be
used as wages to satisfy the requirement to pay the current
hourly minimum rate in effect; where the gratuity is added to
the charge made by the establishment, either by the management,
or by the customer, the gratuity shall become the property of
the employe; except that this subsection shall not be construed
to prohibit the pooling of tips among employes who customarily
and regularly receive tips.] An employer shall pay a tipped
employe the minimum wage under section 4(a).
* * *
Section 4. Minimum Wages.--Except as may otherwise be
provided under this act:
(a) Every employer shall pay to each of his or her employes
wages for all hours worked at a rate of not less than:
(1) Two dollars sixty-five cents ($2.65) an hour upon the
effective date of this amendment.
(2) Two dollars ninety cents ($2.90) an hour during the year
beginning January 1, 1979.
(3) Three dollars ten cents ($3.10) an hour during the year
beginning January 1, 1980.
(4) Three dollars thirty-five cents ($3.35) an hour after
December 31, 1980.
(5) Three dollars seventy cents ($3.70) an hour beginning
February 1, 1989.
(6) Five dollars fifteen cents ($5.15) an hour beginning
September 1, 1997.
(7) Six dollars twenty-five cents ($6.25) an hour beginning
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January 1, 2007.
(8) Seven dollars fifteen cents ($7.15) an hour beginning
July 1, 2007.
(9) Fifteen dollars ($15.00) an hour beginning thirty days
after the effective date of this paragraph.
(10) One year after the effective date of paragraph (9), and
each year thereafter, the secretary shall determine the minimum
wage to be in effect for the subsequent one-year period by
taking the previous year's minimum wage and increasing it by the
annual percentage increase in the Consumer Price Index for all
Urban Consumers (CPI-U), or its successor publication, for the
Pennsylvania, New Jersey, Delaware and Maryland area, and
rounding that amount to the next highest multiple of five cents
($0.05).
* * *
Section 13. Civil Actions.--If any employe is paid by his or
her employer less than the minimum wages provided by section 4
of this act or by any regulation issued thereunder, such worker
may recover in a civil action triple the full amount of such
minimum wage less any amount actually paid to the worker by the
employer, together with costs and such reasonable attorney's
fees as may be allowed by the court, and any agreement between
the employer and the worker to work for less than such minimum
wage shall be no defense to such action. At the request of any
employe paid less than the minimum wage to which such employe
was entitled under this act and regulations issued thereunder,
the secretary may take an assignment of such wage claim, in
trust for the assigning worker and may bring any legal action
necessary to collect such claim, and the employer shall be
required to pay the cost and such reasonable attorney's fees as
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may be allowed by the court.
Section 2. This act shall take effect in 60 days.
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