summary
Introduced
01/07/2025
01/07/2025
In Committee
01/09/2025
01/09/2025
Crossed Over
Passed
Dead
03/28/2025
03/28/2025
Introduced Session
2025 Regular Session
Bill Summary
Amend KRS 337.010 to increase the applicable threshold of employees of retail stores and service industries from $95,000 to $500,000 average annual gross volume of sales for the employer; amend KRS 337.275 to incrementally raise the minimum wage to $15 an hour; include anti-preemption language permitting local governments to establish minimum wage ordinances in excess of the state minimum wage.
AI Summary
This bill proposes significant changes to Kentucky's wage and employment laws by first increasing the threshold for retail stores and service industries from $95,000 to $500,000 in average annual gross sales, which means smaller businesses will now be exempt from certain wage regulations. More substantially, the bill incrementally raises the state minimum wage from its current rate to $15 per hour, with scheduled increases over several years: $10 initially, then rising to $11.50 in 2026, $12.50 in 2027, $14 in 2028, and finally reaching $15 in 2029. Additionally, the bill includes an important provision that allows local governments (such as cities, counties, and consolidated local governments) to establish minimum wage ordinances that exceed the state minimum wage, effectively giving municipalities more flexibility to set higher local wage standards. The bill also maintains existing provisions about tip credits for employees who regularly receive tips, allowing employers to pay a lower base wage if tips make up the difference, while ensuring employees still receive at least the federal minimum wage when tips and wages are combined.
Committee Categories
Budget and Finance
Sponsors (4)
Last Action
to Appropriations & Revenue (S) (on 01/09/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
---|---|
State Bill Page | https://apps.legislature.ky.gov/record/25RS/sb11.html |
BillText | https://apps.legislature.ky.gov/recorddocuments/bill/25RS/sb11/orig_bill.pdf |
Local Mandate Fiscal Impact | https://apps.legislature.ky.gov/recorddocuments/note/25RS/sb11/LM.pdf |
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