[atlas:bill]

H-3918.1 _______________________________________________

HOUSE BILL 2921

_______________________________________________

State of Washington 57th Legislature 2002 Regular Session

By Representatives Chandler, Ahern, Schindler, McMorris, Holmquist, Dunn and Mulliken

Read first time 02/06/2002. Referred to Committee on Commerce & Labor.

AN ACT Relating to the state minimum wage; amending RCW 49.46.020; and creating a new section.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. The employment security department must study the impact of the state minimum wage increase under section 1, chapter 1, Laws of 1999 (Initiative Measure No. 688, approved November 3, 1998). The department must contract with the University of Washington and cooperate in supplying data to the university for purposes of the study. The university must choose an advisory committee to advise the university on the design of the study. The committee will consist of an equal number of economists who supported the minimum wage initiative and who opposed the initiative, and an equal number of representatives of labor and of business. The minimum wage study will include the identification of the affected population of employers and employees, and a survey of a sample of the affected population. The survey instrument will include questions regarding the longitudinal impact of the initiative on wages, employment, employee hours, employee benefits, tip income, productivity, prices, business closures and openings, social welfare payments, and the demographic characteristics of the affected population. To the extent possible, the study will show the comparative impact on employees and businesses in eastern and western Washington. The study will also attempt to verify the information provided by survey respondents. A report of findings will be presented to the governor and the legislature by December 1, 2004.

Sec. 2. RCW 49.46.020 and 1999 c 1 s 1 are each amended to read as follows:

(1) Until January 1, 1999, every employer shall pay to each of his or her employees who has reached the age of eighteen years wages at a rate of not less than four dollars and ninety cents per hour.

(2) Beginning January 1, 1999, and until January 1, 2000, every employer shall pay to each of his or her employees who has reached the age of eighteen years wages at a rate of not less than five dollars and seventy cents per hour.

(3) Beginning January 1, 2000, and until January 1, 2001, every employer shall pay to each of his or her employees who has reached the age of eighteen years wages at a rate of not less than six dollars and fifty cents per hour.

(4)(a) Beginning on January 1, 2001, and each following January 1st as set forth under (b) of this subsection, every employer shall pay to each of his or her employees who has reached the age of eighteen years wages at a rate of not less than the amount established under (b) of this subsection.

(b) Except as provided in subsection (5) of this section, on September 30, 2000, and on each following September 30th, the department of labor and industries shall calculate an adjusted minimum wage rate to maintain employee purchasing power by increasing the current year's minimum wage rate by the rate of inflation. The adjusted minimum wage rate shall be calculated to the nearest cent using the consumer price index for urban wage earners and clerical workers, CPI-W, or a successor index, for the twelve months prior to each September 1st as calculated by the United States department of labor. Each adjusted minimum wage rate calculated under this subsection (4)(b) takes effect on the following January 1st.

(5) Beginning January 1, 2003, and until January 1, 2006, every employer shall pay to each of his or her employees who has reached the age of eighteen years wages at a rate of not less than six dollars and ninety cents per hour.

(6) The director shall by ((~~regulation~~)) rule establish the minimum wage for employees under the age of eighteen years.