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Gradual Federal Minimum Wage Increase to $17 and Elimination of Subminimum Wages.

This Act gradually raises the federal minimum wage to $17.00 per hour over six years. Crucially, it phases out the lower minimum wage for tipped employees and eliminates the subminimum wage for workers with disabilities, ensuring all workers eventually receive the full federal minimum rate. After the initial phase, the minimum wage will be automatically adjusted annually based on the growth of the median hourly wage.
Key points
The federal minimum wage will increase incrementally to $17.00 per hour over a six-year period, boosting income for low-wage workers.
The separate, lower minimum cash wage for tipped employees will be phased out, requiring employers to pay them the full federal minimum wage plus tips.
The practice of paying individuals with disabilities a subminimum wage will be eliminated over five years, ensuring wage parity for this group.
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Additional Information
Print number: 118_HR_4889
Sponsor: Rep. Scott, Robert C. "Bobby" [D-VA-3]
Process start date: 2023-07-25