The federal minimum wage would rise each year through 2030. After that, the Labor Department would update it every seven years using a poverty-based formula, and the wage could not go down.
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Original LAW Act is a House bill in committee. The latest recorded action: Referred to the House Committee on Education and Workforce.
Latest action on H.R. 122: Referred to the House Committee on Education and Workforce.
Who this affects: This bill mainly affects workers paid at or near the federal minimum wage and the employers who pay them. It also affects the Labor Department, which would have to calculate and publish the new wage rate every seven years. States, cities, territories, and tribes would keep the power to require higher local wages.
Why this matters: This bill would change the federal minimum wage from a number Congress updates by law into a wage tied to a poverty measure. That could make pay rise more regularly for workers near the bottom of the wage scale. It could also raise costs for employers that rely on minimum-wage labor. The bill’s real-world effects on jobs, hours, prices, and poverty are not stated in the bill and would depend on how employers and the economy respond.
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