Bill > HB395

This bill proposes significant changes to Georgia's minimum wage law by increasing the state minimum wage from $5.15 to $15.00 per hour, effective January 1, 2026. The legislation introduces a tip credit provision that allows employers of tipped workers to credit up to 50 percent of employees' tips toward meeting the minimum wage requirement, which is consistent with federal Fair Labor Standards Act guidelines. The bill also modifies existing exemptions to the minimum wage law, raising the sales threshold for exempt employers from $40,000 to $100,000 per year and reducing the number of exemption categories. Some previous exemptions, such as those for domestic employees, farm workers, and employees compensated through gratuities, are eliminated. The bill maintains exemptions for high school and college students, newspaper carriers, and certain nonprofit employees working in child-caring or long-term care institutions. Additionally, the bill updates the annual compensation threshold for exempt nonprofit employees from $10,000 to $15,000. The legislation aims to provide more comprehensive wage protections for workers by expanding minimum wage coverage and increasing the base wage rate.

Labor and Employment

https://www.legis.ga.gov/legislation/70196