House Bill No. by Representative Phelps aims to establish a state minimum wage in Louisiana by enacting Chapter 6-B of Title 23 of the Louisiana Revised Statutes. The bill sets the minimum wage at $12 per hour starting January 1, 2027, and increases it to $15 per hour beginning January 1, 2029. Furthermore, beginning January 1, 2031, the minimum wage will be adjusted annually based on the Consumer Price Index for Urban Consumers in the South region, with increases rounded to the nearest five cents. The bill also stipulates that if the federal minimum wage exceeds the state minimum wage, the state rate will be adjusted accordingly.

In addition to establishing the minimum wage, the bill outlines penalties for violations, including fines ranging from $500 to $1,000 per employee not receiving the minimum wage, and mandates that employers pay the difference between what was paid and the minimum wage. It specifies that student employees of the state and state colleges and universities are exempt from these minimum wage requirements. The enforcement of these provisions will be the responsibility of Louisiana Works, which is authorized to create necessary rules and regulations for implementation.