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Bill > HF2378
IA HF2378
IA HF2378A bill for an act increasing the state minimum hourly wage and providing for subsequent increases by the same percentage as the increase in federal social security benefits.
summary
Introduced
02/10/2026
02/10/2026
In Committee
03/31/2026
03/31/2026
Crossed Over
Passed
Dead
Introduced Session
91st General Assembly
Bill Summary
This bill increases the state minimum hourly wage to $10.00 as of July 1, 2026, $12.50 as of July 1, 2027, and $15.00 as of July 1, 2028. The bill increases the state minimum hourly wage for employees employed for less than 90 days to $9.10 as of July 1, 2026, $11.60 as of July 1, 2027, and $14.10 as of July 1, 2028. The bill also increases the state minimum hourly wage, including the minimum hourly wage established for employees employed for less than 90 days, annually on July 1, beginning July 1, 2029, by the same percentage as the cost-of-living increase, if any, in social security benefits effective as of the previous December, as authorized by the federal social security administration. In no case shall the state hourly wage be decreased. The bill strikes a provision permitting the amount paid to an employee of a restaurant, hotel, motel, inn, or cabin, who customarily and regularly receives more than $30 a month in tips, to be deemed to be increased by a specified amount for purposes of determining whether the employee is receiving the state minimum hourly wage. The bill authorizes a county or city to establish a minimum wage that exceeds the state hourly wage and the federal minimum wage.
AI Summary
This bill increases the state's minimum hourly wage in stages, reaching $10.00 on July 1, 2026, $12.50 on July 1, 2027, and $15.00 on July 1, 2028, with a separate, lower minimum wage for employees in their first 90 days of employment that also increases over these years. Starting July 1, 2029, both minimum wage rates will be adjusted annually by the same percentage as any cost-of-living increase in federal Social Security benefits, ensuring the state minimum wage never decreases. The bill also removes a provision that allowed employers in certain hospitality industries (restaurants, hotels, motels, inns, or cabins) to count tips towards meeting the minimum wage, and it authorizes counties and cities to set their own minimum wages that are higher than both the state and federal minimum wages.
Committee Categories
Labor and Employment
Sponsors (25)
Jerome Amos (D)*,
Sean Bagniewski (D)*,
Timi Brown-Powers (D)*,
Jeff Cooling (D)*,
Ken Croken (D)*,
Tracy Ehlert (D)*,
Ruth Ann Gaines (D)*,
Eric Gjerde (D)*,
Daniel Gosa (D)*,
Dave Jacoby (D)*,
Lindsay James (D)*,
Rob Johnson (D)*,
Bob Kressig (D)*,
Monica Kurth (D)*,
Elinor Levin (D)*,
Mary Madison (D)*,
Heather Matson (D)*,
Brian Meyer (D)*,
Rick Olson (D)*,
Angel Ramirez (D)*,
Megan Srinivas (D)*,
Beth Wessel-Kroeschell (D)*,
Aime Wichtendahl (D)*,
Ross Wilburn (D)*,
Elizabeth Wilson (D)*,
Last Action
Rereferred to Labor and Workforce. H.J. 784. (on 03/31/2026)
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://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF2378 |
| BillText | https://www.legis.iowa.gov/docs/publications/LGI/91/attachments/HF2378.html |
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