The bill amends Section 28-12-5 of the General Laws in Chapter 28-12, which pertains to minimum wages for employees receiving gratuities. It introduces a new structure for the cash wage that employers must pay to these employees, starting at a minimum of $3.89 per hour and gradually increasing to $14.95 per hour by January 1, 2030. Specifically, the bill outlines a series of incremental increases: commencing January 1, 2026, the cash wage shall increase by $3.06 to a minimum of $6.95 per hour; commencing January 1, 2027, the cash wage shall increase by $2.00 to a minimum of $8.95 per hour; commencing January 1, 2028, the cash wage shall increase by $2.00 to a minimum of $10.95 per hour; commencing January 1, 2029, the cash wage shall increase by $2.00 to a minimum of $12.95 per hour; and commencing January 1, 2030, the cash wage shall increase by $2.00 to a minimum of $14.95 per hour. Starting January 1, 2031, the cash wage shall be no less than the minimum wage established by law, exclusive of any consideration of gratuities.

This act is set to take effect upon passage.

Statutes affected:
5507: 28-12-5