Fresno, CA – Okay, some say 2017 is the year of the Rooster. Hence the catchy title, but doesn’t matter where you live in America, January 1 means new laws will take effect in your neck of the woods. Legislators have to earn their keep and they’re churning out new laws every year, in some cases, new laws will make you scratch your head. Here’s a rundown of a few laws taking effect around the country.
California
The California Chamber of Commerce reports that, “California’s minimum wage increases to $10.50 per hour for businesses with 26 or more employees. Small businesses with 25 or fewer employees will continue to pay the current minimum wage of $10 per hour.” Senate Bill 3 impacted larger businesses, a new law that will increase the minimum wage in California to $15 per hour by 2022. Small businesses get a break and won’t have to schedule increases until 2018 and will have until 2023 to get to the $15 per hour rate.
So as an employer, get ready. State enforcement agencies are making it a priority to stop employers from engaging in so-called “wage theft,” which includes not paying the minimum wage for all hours worked.
The Chamber also says, “Practices that may need review include overtime rates of pay, exempt/nonexempt classifications, meal and lodging credits, commission issues, notice requirements and more.”
Oregon and Washington
Let’s head to the pacific northwest where employers will have to be on their toes come January 1 as a slew of new employment related laws take affect.
In Oregon, the big change is that additional detail will now be required on itemized pay stubs as a result of SB 1587. These pay stubs must include, the date of the payment; dates of work covered by the payment; name of the employee; employer name and business registry number or business identification number; address and telephone number of the employer; rate or rates of pay; whether the employee is paid by the hour, shift, day or week or on a salary, piece or commission basis; gross wages; net wages; amount and purpose of each deduction made during the respective period of service that the payment covers, allowances, if any, claimed as part of minimum wage; unless the employee is paid on a salary basis and is exempt from overtime compensation as established by local, state or federal law, the regular hourly rate or rates of pay, the overtime rate or rates of pay, the number of regular hours worked and pay for those hours, and the number of overtime hours worked and pay for those hours, and if the employee is paid a piece rate, the applicable piece rate or rates of pay, the number of pieces completed at each piece rate and the total pay for each rate.
SB 1587 also gives employees the right to inspect their pay and time records beginning in the new year.
Over in Washington, the current minimum wage of $9.47 will increase to $11.00 in 2017, $11.50 in 2018, $12.00 in 2019 and $13.50 in 2020. After 2020, the minimum wage will increase annually based on the consumer price index. This new law doesn’t preempt local minimum wage laws or ordinances that could be higher or lower. But what employer would want to be known for paying below the state minimums? Don’t answer that. That’s a trick question!
Michigan
Datatech has several clients in Michigan and on January 1 the minimum wage increases from $8.50 to $8.90 per hour. Normally that’s good news, but on the same day, you’ll be paying more at the gas pump, as the state gas tax is increasing by more than seven cents.
And with Michigan being the home of ‘motor city’, there’s no doubt you love to drive! But as you renew your car registration in 2017, it’ll cost you at least 20 percent more.
And since we’re in the vehicle vane, on January 1, authorities in Michigan will begin issuing Amber Alerts without a license plate. Good news for families of suspected abducted children since it could help authorities locate them sooner by issuing alerts quicker.
Arizona
For 2017, Arizona is getting into the act to increase minimum wages. Voters approved the Fair Wages and Healthy Families Act and put new minimum wage limits into effect for January 1 and continuing to 2020. And for July 1, 2017, Arizona workers get to start accruing mandatory paid sick leave.
On the minimum wage front, the minimum Arizona wage will be $10.00 per hour beginning January 1, and $7.00 per hour plus tips for tipped employees. From there, the increases continue to $10.50 per hour beginning January 1, 2018, $7.50 per hour plus tips for tipped employees; $11.00 per hour beginning January 1, 2019, $8.00 per hour plus tips for tipped employees; $12.00 per hour beginning January 1, 2020, $9.00 per hour plus tips for tipped employees and continued incremental increases based on the cost of living on January 1st of each following year.
For paid sick time, part-time employees accrue a minimum of 1 hour per 30 hours worked or for full-time employees, if an employer has 15 or more employees, its employees can accrue a maximum of 40 hours of PST per year, unless the employer selects a higher limit. If an employer has fewer than 15 employees, the maximum an employee can accrue is 24 hours of PST per year, unless the employer selects a higher limit.
So there’s a few of the new laws effecting some states. Hope you have wonderful 2017!
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