SENATE BILL REPORT

                   SB 6577

                    As of February 2, 1998

Title:  An act relating to increasing the state minimum wage rate to six dollars and fifty cents an hour by the year 2000 with inflation increases thereafter without addressing deductions from or credits against employees' wages as a means for employers to comply with minimum wage laws.

Brief Description:  Adjusting the minimum wage.

Sponsors:  Senators Franklin, Prentice, Heavey, Patterson, Fairley, Snyder, McAuliffe, Spanel, Bauer, Brown, Goings, Jacobsen, B. Sheldon, Kline, Thibaudeau, Kohl and Fraser.

Brief History:

Committee Activity:  Commerce & Labor:  2/4/98.

SENATE COMMITTEE ON COMMERCE & LABOR

Staff:  Jack Brummel (786-7428)

Background:  Since January 1, 1994, the state minimum wage for those 18 and older has been $4.90 per hour.  The federal minimum wage increased form $4.75 to $5.15 per hour on September 1, 1997.  Most employers are covered by both the state and federal law and must pay the higher rate.

Summary of Bill:  The state minimum wage for those 18 and older is $5.75 for 1999, $6.50 for the year 2000, and for each year thereafter the minimum wage is adjusted for inflation by the Director of the Department of Labor and Industries.

Appropriation:  None.

Fiscal Note:  Requested on February 2, 1998.

Effective Date:  Ninety days after adjournment of session in which bill is passed.