PLEASE NOTE: Legislative Information cannot perform research, provide legal advice, or interpret Maine law. For legal assistance, please contact a qualified attorney.
Amend the bill by striking out all of section 2 and inserting the following:
‘Sec. 2. 26 MRSA §663, sub-§3, ¶B,  as amended by PL 2007, c. 22, §1, is repealed.
Amend the bill in section 4 by striking out all of subsection 1 and inserting the following:
 
‘1. Minimum wage.   The minimum hourly wage is $6.50 per hour. Starting October 1, 2006, the minimum hourly wage is $6.75 per hour. Starting October 1, 2007, the minimum hourly wage is $7.00 per hour. Starting October 1, 2008, the minimum hourly wage is $7.35 per hour. Starting October 1, 2009, the minimum hourly wage is $7.70 per hour. Starting October 1, 2010, the minimum hourly wage is $8.00 per hour. On September 30, 2010 and on September 30th of each year thereafter, the Department of Labor shall calculate an adjusted minimum wage rate to maintain employee purchasing power. The adjusted minimum wage must be calculated to the nearest cent using the Consumer Price Index for Urban Wage Earners and Clerical Workers, CPI-W, or a successor index, for the 12 months prior to each September 1st, as calculated by the United States Department of Labor. Each adjusted minimum wage rate so calculated takes effect January 1st of the following year. 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, but in no case may the minimum wage exceed the minimum wage otherwise in effect under this section by more than $1 per hour.’
Amend the bill by striking out all of section 5.
Amend the bill by inserting before the summary the following:
‘Sec. 10. Appropriations and allocations. The following appropriations and allocations are made.
 
LABOR, DEPARTMENT OF
 
Administration - Bureau of Labor Standards 0158
 
Initiative: Appropriates ongoing funds for one Labor and Safety Inspector position and related All Other to provide additional support for the expected increase in the number of inspections and investigations associated with the removal of several major exemptions from the minimum wage and overtime provisions.

GENERAL FUND	 	2007-08	2008-09	
POSITIONS - LEGISLATIVE COUNT	 	0.000	1.000	
Personal Services	 	$0	$49,837	
All Other	 	$0	$5,000	
 	 	  	  	
GENERAL FUND TOTAL	 	$0	$54,837	
 
’
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section number to read consecutively.
 
SUMMARY
This amendment, which is the majority report of the Joint Standing Committee on Labor, does the following.
1. It lessens the increase in the minimum wage proposed in the bill. Rather than raising the minimum wage to $7.70 per hour in 2008 and to $8.40 per hour in 2009, the amendment raises the minimum wage to $7.35 per hour in 2008, to $7.70 per hour in 2009 and to $8.00 per hour in 2010.
2. It amends the date to begin the calculation of the adjusted minimum wage rate using the Consumer Price Index for Urban Wage Earners and Clerical Workers, CPI-W, from September 30, 2009 to September 30, 2010.
3. It removes the bill’s proposed changes to the tip credit an employer may consider as part of the wages of a service employee.
 
FISCAL NOTE REQUIRED
(See attached)