Puerto Rico Worker Support: Lower Hiring Costs, Higher Take-Home Pay.
This act aims to boost economic mobility and employment opportunities in Puerto Rico. It introduces a wage subsidy mechanism for workers and reduces hiring costs for employers, which is expected to result in higher earnings and more jobs. Employers can receive a refund for a portion of the paid subsidies in the form of tax credits or advance payments.
Key points
Workers in Puerto Rico may receive wage subsidies to increase their take-home pay if they earn below the median hourly wage for Puerto Rico.
Employers hiring eligible Puerto Rico employees can reduce their hiring costs, as wage subsidies will be treated as paid payroll taxes.
The federal minimum wage for eligible Puerto Rico employees will be set at $5.00 per hour, regardless of wage subsidy payments.
Employers must inform employees about the amount of wage subsidies received, with financial penalties for non-compliance.
Expired
Additional Information
Print number: 117_S_841
Sponsor: Sen. Rubio, Marco [R-FL]
Process start date: 2021-03-18