House Bill No. 5494 mandates the Labor Commissioner to conduct a study on youth employment classification, focusing on work-based learning experience programs for minors. The study will analyze current programs that require payment of the minimum fair wage and explore the potential reclassification of these programs to allow for stipends instead of minimum wage payments. The bill defines "minimum fair wage" in accordance with existing statutes and requires the commissioner to report the findings to the relevant legislative committee by January 1, 2027.

The bill will take effect on October 1, 2026, and entails a one-time cost of up to $100,000 in fiscal year 2027 for the Department of Labor to hire a consultant, as the agency lacks the necessary staff capacity to conduct the study independently. There are no deletions from current law, but the bill introduces new provisions regarding the study and its requirements.