LRB-3599/1
GMM:eev:rs
2013 - 2014 LEGISLATURE
January 30, 2014 - Introduced by Representatives Mason, Genrich, Barnes,
Riemer, Barca, Kolste, Pasch, Ohnstad, Goyke, Shankland, Sargent, C.
Taylor, Wachs, Wright, Zamarripa, Pope, Kessler, Johnson, Billings,
Clark, Berceau, Danou, Hebl, Young, Zepnick, Hesselbein, Hintz,
Richards, Ringhand, Kahl, Hulsey, Milroy, Jorgensen and Sinicki,
cosponsored by Senators Wirch, Harris, C. Larson, Lehman, Hansen,
Carpenter, Erpenbach, T. Cullen, Miller, Risser, Vinehout and L. Taylor.
Referred to Committee on Labor.
AB686,1,9
1An Act to renumber 104.01 (1);
to renumber and amend 104.045;
to amend
249.141 (1) (g), 103.67 (2) (fm) 3., 103.70 (2) (b) 3., 104.01 (intro.), 104.01 (8),
3104.05, 104.07 (1), 104.07 (2), 104.10, 104.11, 234.94 (5), 234.94 (8), 800.09 (1j),
4800.095 (1) (d) and 895.035 (2m) (c); and
to create 104.01 (1d), 104.01 (1g),
5104.01 (5m), 104.01 (7m), 104.035 and 104.045 (2) and (3) of the statutes;
6relating to: a state minimum wage, extending the time limit for emergency
7rule procedures, providing an exemption from emergency rule procedures,
8providing an exemption from rule-making procedures, and requiring the
9exercise of rule-making authority.
Analysis by the Legislative Reference Bureau
Currently, the state minimum wage law requires that employers pay a living
wage to their employees. Under that law, the Department of Workforce Development
(DWD) has provided, by rule, minimum wages for various types of employees,
including employees, generally; minor employees; opportunity employees, who are
defined as employees under 20 years of age in their first 90 days of employment with
a particular employer; tipped employees; agricultural employees; camp counselors;
golf caddies; students employed at independent colleges and universities for less
than 20 hours per week; student learners employed in bona fide school training
programs; and individuals who are unable to earn the standard minimum wage
because of a disability. DWD has exempted, by rule, from the minimum wage law
employees who perform less than 15 hours per week of casual employment, such as
baby-sitting or lawn mowing, in and around an employer's home; employees who
provide companionship services to elderly or infirm individuals; and elementary and
secondary school students performing work-like activities in their schools. DWD
has also promulgated rules providing allowances against the minimum wage for
employers that provide meals or lodging for their employees.
Under this bill, DWD will continue to provide the exemptions listed above as
well as separate minimum wages for opportunity employees, agricultural
employees, camp counselors, golf caddies, students employed at independent
colleges and universities for less than 20 hours per week, student learners employed
in bona fide school training programs, and individuals who are unable to earn the
standard minimum wages because of a disability. For employees generally and for
tipped employees, however, the bill sets the minimum wages as follows:
-
See PDF for table 
Beginning three years after the bill's effective date for employees generally and
one year after the bill's effective date for tipped employees, the bill requires DWD
annually to promulgate rules revising the minimum wages established under the bill
by determining the percentage difference between the consumer price index for the
preceding 12-month period (year) and the consumer price index for the year before
the preceding year, adjusting the minimum wages then in effect by that percentage
difference, and rounding that result to the nearest multiple of five cents. For tipped
employees, the bill requires DWD to increase the minimum wage by 95 cents each
year until the minimum wage for tipped employees equals 70 percent of the
minimum wage for employees generally and then in subsequent years to revise the
minimum wage for tipped employees so that the minimum wage for tipped employees
remains equal to 70 percent of the minimum wage for employees generally, rounded
to the nearest multiple of five cents. DWD, however, is not required to revise the
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.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB686,1
1Section
1. 49.141 (1) (g) of the statutes is amended to read:
AB686,3,42
49.141
(1) (g) "Minimum wage" means the state minimum hourly wage under
3ch. 104 s. 104.035 (1) or the federal minimum hourly wage under
29 USC 206 (a) (1),
4whichever is applicable.
AB686,2
5Section
2. 103.67 (2) (fm) 3. of the statutes is amended to read:
AB686,3,76
103.67
(2) (fm) 3. The minor is paid the applicable minimum wage under
ch.
7104 s. 104.035 or under federal law, whichever is greater, for the work.
AB686,3
8Section
3. 103.70 (2) (b) 3. of the statutes is amended to read:
AB686,3,109
103.70
(2) (b) 3. The minor is paid the applicable minimum wage under
ch. 104 10s. 104.035 or under federal law, whichever is greater, for the work.
AB686,4
11Section
4. 104.01 (intro.) of the statutes is amended to read:
AB686,3,13
12104.01 Definitions. (intro.)
The following terms as used in In this chapter
13shall be construed as follows:
AB686,5
14Section
5. 104.01 (1) of the statutes is renumbered 104.01 (1m).
AB686,6
15Section
6. 104.01 (1d) of the statutes is created to read:
AB686,3,1716
104.01
(1d) "Agricultural employee" means an employee who is employed in
17the operation of farm premises, as described in s. 102.04 (3).
AB686,7
18Section
7. 104.01 (1g) of the statutes is created to read:
AB686,4,219
104.01
(1g) "Consumer price index" means the average of the consumer price
20index over each 12-month period for all urban consumers, U.S. city average, all
1items, not seasonally adjusted, as determined by the bureau of labor statistics of the
2U.S. department of labor.
AB686,8
3Section
8. 104.01 (5m) of the statutes is created to read:
AB686,4,54
104.01
(5m) "Opportunity employee" means a person under 20 years of age who
5is in the first 90 consecutive days of employment with his or her employer.
AB686,9
6Section
9. 104.01 (7m) of the statutes is created to read:
AB686,4,97
104.01
(7m) "Tipped employee" means an employee who in the course of
8employment customarily and regularly receives money or other gratuities from
9persons other than the employee's employer.
AB686,10
10Section
10. 104.01 (8) of the statutes is amended to read:
AB686,4,1211
104.01
(8) The term "wage" and the term "wages" shall each mean "Wage"
12means any compensation for labor measured by time, piece
, or otherwise.
AB686,11
13Section
11. 104.035 of the statutes is created to read:
AB686,4,15
14104.035 Minimum wage. (1) Employees generally. Except as provided in
15subs. (2) to (4), the minimum wage is as follows:
AB686,4,1716
(a) For wages earned before the first day of the 15th month beginning after
17publication .... [LRB inserts date], $8.20 per hour.
AB686,4,2018
(b) For wages earned beginning on the first day of the 15th month beginning
19after publication .... [LRB inserts date], and ending on the last day of the 26th month
20beginning after publication .... [LRB inserts date], $9.15 per hour.
AB686,4,2321
(c) For wages earned beginning on the first day of the 27th month beginning
22after publication .... [LRB inserts date], and ending on the last day of the 38th month
23beginning after publication .... [LRB inserts date], $10.10 per hour.
AB686,5,3
1(d) For wages earned beginning on the first day of the 39th month beginning
2after publication .... [LRB inserts date], the amount determined by the department
3by rule promulgated under sub. (5).
AB686,5,9
4(2) Tipped employees. Except as provided in subs. (3) and (4), if an employer
5of a tipped employee establishes by the employer's payroll records that, when adding
6the tips received by the tipped employee in a week to the wages paid to the tipped
7employee in that week, the tipped employee receives not less than the applicable
8minimum wage specified in sub. (1), the minimum wage for the tipped employee is
9as follows:
AB686,5,1110
(a) For wages earned before the first day of the 15th month beginning after
11publication .... [LRB inserts date], $3 per hour.
AB686,5,1412
(b) For wages earned beginning on the first day of the 15th month beginning
13after publication .... [LRB inserts date], the amounts determined by the department
14by rule promulgated under sub. (5).
AB686,5,16
15(3) Minimum wage established by department. The department shall
16promulgate rules providing the minimum wage for all of the following:
AB686,5,1717
(a) Opportunity employees.
AB686,5,1818
(b) Agricultural employees.
AB686,5,1919
(c) Camp counselors.
AB686,5,2020
(d) Golf caddies.
AB686,5,2221
(e) An employee or worker with a disability covered under a license under s.
22104.07.
AB686,5,2323
(f) A student learner.
AB686,5,2524
(g) A student employed by an independent college or university for less than
2520 hours per week.
AB686,6,3
1(4) Employment exempted by department. The department shall promulgate
2rules exempting from the minimum wage requirements under subs. (1) to (3) all of
3the following:
