Bill > SB886

This bill establishes a fundamental right for all individuals employed in the state to receive at least the state minimum wage, regardless of any tips they may earn, and repeals previous exemptions from the Maryland Wage and Hour Law. It also outlines a phased increase in the state minimum wage, with specific rates set for various years leading up to 2033, after which the wage will be adjusted annually based on the Consumer Price Index, a measure of inflation. For tipped employees, the bill gradually reduces and eventually eliminates the ability for employers to use tips as part of the minimum wage, requiring full minimum wage payment by 2031. Additionally, it mandates that food service facilities must clearly disclose any "service fees" (fees added to a customer's bill beyond menu prices and sales tax) on their menus or in a visible location before an order is placed, and these fees must be distributed to the employees who directly provided the service, with exceptions for collective bargaining agreements. The bill also includes provisions for the constitutional amendment to be voted on by the public and specifies that the changes to labor laws are contingent on the approval of this constitutional amendment.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0886?ys=2026RS