PLEASE NOTE: Legislative Information cannot perform research, provide legal advice, or interpret Maine law. For legal assistance, please contact a qualified attorney.
An Act To Protect Maine's Economy by Slowing the Rate at Which the State's Minimum Wage Will Increase and Establishing a Training and Youth Wage
Emergency preamble. Whereas, acts and resolves of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas,  the increases in the rate of the minimum wage scheduled to take effect over the next 4 years could have a detrimental effect on the economy of the State; and
Whereas,  in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 26 MRSA §664, sub-§1, as amended by IB 2015, c. 2, §1, is further amended to read:
 
1. Minimum wage.   The minimum hourly wage is $7.50 per hour. Starting January 1, 2017, the minimum hourly wage is $9.00 per hour; starting January 1, 2018. Starting June 1, 2018, the minimum hourly wage is $10.00$9.50 per hour; starting January 1, 2019, the minimum hourly wage is $11.00$10.00 per hour; and starting January 1, 2020, the minimum hourly wage is $12.00$10.50 per hour. On; and starting January 1, 2021 and each January 1st thereafter, the minimum hourly wage then in effect must be increased by the increase, if any, in the cost of living. The increase in the cost of living must be measured by the percentage increase, if any, as of August of the previous year over the level as of August of the year preceding that year in the Consumer Price Index for Urban Wage Earners and Clerical Workers, CPI-W, for the Northeast Region, or its successor index, as published by the United States Department of Labor, Bureau of Labor Statistics or its successor agency, with the amount of the minimum wage increase rounded to the nearest multiple of 5¢, the minimum hourly wage is $11.00. If the highest federal minimum wage is increased in excess of the minimum wage in effect under this section, the minimum wage under this section is increased to the same amount, effective on the same date as the increase in the federal minimum wage, and must be increased in accordance with this section thereafterbut in no case may the minimum wage exceed the minimum wage otherwise in effect under this section by more than $1.00 per hour.
Sec. 2.  26 MRSA §664, sub-§1-A  is enacted to read:
 
1-A.  Minimum wage for training and youths.     Notwithstanding subsection 1, the following minimum hourly wage may be paid to the following employees:
 
A.  For the first 90 consecutive days of employment of an employee who is at least 18 years of age but under 20 years of age, a training wage that is the greater of:
 
(1) Eighty percent of the minimum wage in effect pursuant to subsection 1, rounded to the nearest 5 cents; and
 
(2) The minimum wage required by the federal Fair Labor Standards Act; and
 
B.  For an employee who has not attained 18 years of age, a youth wage that is the greater of:
 
(1) Eighty percent of the minimum wage in effect pursuant to subsection 1, rounded to the nearest 5 cents; and
 
(2) The minimum wage required by the federal Fair Labor Standards Act.
Emergency clause.  In view of the emergency cited in the preamble, this legislation takes effect when approved.
 
SUMMARY
This bill affects the minimum wage by:
1. Reducing the minimum wage from $10 per hour to $9.50 per hour beginning June 1, 2018;
2. Reducing the amount by which the minimum hourly wage rates are scheduled to increase annually on January 1st from 2019 to 2021 from $1 per year to 50 cents per year, and decreasing from $12 to $11 the minimum hourly wage rate required to be paid in 2021;
3. Eliminating the cost-of-living adjustment to the minimum wage; and
4. Establishing a training minimum wage for employees 18 years of age or older and under 20 years of age for the first 90 days of employment and a youth minimum wage for employees under 18 years of age.