Includes whereas clauses.
Increases the State minimum wage under GS 95-25.3 from $6.15 per hour to $15 per hour, adjusted automatically for inflation to reflect increases in the Consumer Price Index (CPI) with the first adjustment occurring effective January 1, 2027. Specifies that the adjustments are effective on January 1 each year. Provides for calculation of adjustment by the Commissioner of Labor, as described. Specifies that employers whose gross annual receipts for the preceding calendar year were less than $400,000 must pay the higher of $11 per hour or the minimum wage set forth above to the specified employees. Provides for adjustment for inflation. Places the burden on the employer to justify its continued eligibility for this wage rate. Authorizes local governments to adopt ordinances establishing a minimum wage within its jurisdiction that is higher than the State minimum wage. Establishes the NC Wage Board (Board) within the Department of Labor (DOL). Makes conforming changes to GS 95-25.3 and GS 95-25.1.
Enacts Article 6, “Short-Time Compensation,” to GS Chapter 96. Defines six terms. Requires employers wishing to participate in the short-time compensation program to submit a short-time plan to the Department of Commerce’s (DOC) Division of Employment Security (Division). Requires the Division to approve a short-time plan if it finds that the eleven listed criteria are met, including (1) that the normal weekly hours for individuals in the affected unit are reduced by at least 10% and by not more than 60%; (2) approval by any collective bargaining unit; (3) the plan applies to at least 10% of the employees in the affected unit; (4) the plan does not serve as a subsidy to seasonal employers during the off-season or as a subsidy to employers who traditionally use part-time employees; (5) the employer will continue to provide fringe-benefits if it is already doing so; and (6) the plan is in compliance with State and federal law. Specifies that a plan takes effect on its date of approval and expires at the end of the 12th full calendar month after its effective date. Allows the Division to revoke approval for good cause, including noncompliance with the submitted plan. Provides for individual eligibility for short-time compensation if the person complies with GS Chapter 96 and the Division finds (1) the individual is employed as a member of an affected unit in an approved plan that was approved before the week and is in effect for the week, (2) the individual is able to work and is available  for additional hours of work or for full-time work with the short-time employer, and (3) the normal weekly hours of work of the individual are reduced by at least 10% but not by more than 60%, with a corresponding reduction in wages. Specifies conditions under which the Division is prohibited from denying an individual short-time compensation benefits. Sets the weekly benefit as equal to the product of the individual's weekly benefit amount and the ratio of the number of normal weekly hours of work for which the employer would not compensate the individual to the individual's normal weekly hours of work. Specifies that the benefit amount, if not a multiple of $1, is rounded downward to the next lower multiple $1. Clarifies that an individual may not be paid benefits an amount that is more than the individual's maximum entitlement, and an individual may not be paid short-time compensation benefits in excess of that maximum. Specifies that an otherwise eligible individual cannot be disqualified from benefits for leaving employment instead of accepting a reduction in hours under an approved plan.  Specifies that seasonal, temporary, or intermittent (all defined) employees are not eligible for participation in the program.
Effective July 1, 2026, appropriates $150,000 to DOL from the General Fund for 2026-27 to implement the act.

Statutes affected:
Filed: 95-25.3, 95-25.1