Daily News

View All News

States tackle minimum wage bills, Walmart to raise starting pay for managers

June 03, 2015

The hot-button issue of minimum wage rates is on the table for lawmakers nationwide. Legislation moved forward this week to raise the rate in California and Rhode Island, while Nevada narrowly rejected a proposal that would increase its minimum wage. Meanwhile, Walmart plans to raise starting pay for more than 100,000 US managers.

California Senate passes bill raising minimum wage to $13 in 2017

Legislation to raise the minimum wage in California passed the state Senate this week, announced Senator Mark Leno, D-San Francisco. Senate Bill 3, authored by Leno, would raise the state’s minimum wage to $11 an hour in 2016 and $13 in 2017. Beginning in 2019, the minimum wage would adjust annually to the rate of inflation.

“California’s economic resurgence hasn’t changed the fact that we still have the highest poverty rate in the nation,” said Senate President pro Tem Kevin de León, principal co-author of SB 3. “Senator Leno’s SB 3 to raise the state’s minimum wage from $9 an hour to $13 by 2017 is a necessary first step in combating poverty in the swollen ranks of our state’s working poor.”

Some California cities are already raising their minimum wages. San Francisco is raising its minimum wage in steps to $15, Oakland approved a $12.25 minimum wage and the Los Angeles City Council is set to take another vote today on a $15 minimum wage.

Rhode Island House votes to raise minimum wage

The Rhode Island House yesterday voted 59 to 13 to approve legislation sponsored by Rep. David Bennett (D-Dist. 20, Warwick, Cranston) to raise the state’s minimum wage to $9.60 beginning Jan. 1.

The bill (2015-H 5074A) will now advance to the Senate, which is scheduled to vote today on identical legislation (2015-S 0194A) sponsored by Sen. Erin Lynch (D-Dist. 31, Warwick, Cranston).

“Raising the minimum wage provides a bump for the people who need it most, those at or near the bottom of the pay scale,” said Representative Bennett. “They are also the people most likely to spend that money right away on goods and services, so the increase goes right back into the local economy, helping local businesses. A stronger minimum wage will mean a stronger economy for Rhode Island.”

If enacted, it will be the fourth consecutive year of incremental minimum wage increases in Rhode Island. This January it rose to $9 from $8.

Legislative leaders in Rhode Island pointed to the minimum wages of surrounding states as one reason Rhode Island needs another raise next year. The rate in Connecticut will also be $9.60 in 2016 and $10.10 in 2017. The rate in Massachusetts will rise to $10 in 2016 and $11 in 2017.

Wal-Mart to raise pay for managers and some specialized departments

The Associated Press reported Wal-Mart is raising starting wages for more than 100,000 US department managers and workers in its deli and other specialized departments.

“Wal-Mart told The Associated Press late Monday that department managers of complex and service-oriented jobs in areas like produce, electronics and auto care, will start at $13 per hour and top out at $24.70 per hour, beginning next month,” The Associated Press reported. “Starting next February, they will be paid at least $15 per hour. Previously, the pay range was from $10.30 to $20.09. Meanwhile, those managers of less-complicated departments like clothing, and consumer products like paper towels and luggage, will earn from $10.90 to $20.71 per hour. Previously, they earned from $9.90 to $19.31.”

In February, Wal-Mart announced it was increasing minimum wages for entry-level and long-term hourly employees to at least $10 an hour by next February. That increase affected 500,000 of its 1.3 million US workers.

Nevada rejects minimum wage hike

Nevada lawmakers Tuesday narrowly rejected a proposal that would have raised Nevada’s minimum wage to $9 for some workers but also made it harder to qualify for overtime pay, the Nevada Appeal reported.

The measure would have upped the state’s minimum wage for workers without employer-offered health insurance to $9 and required at least 10 hours of work in a day before employees qualified for overtime pay.

Assembly members failed to approve an amended version of SB193 on Monday night on a vote of 21-19, one short of the required constitutional majority.