Joint Standing Committee on Labor
LD 1893 An Act to Conform the Maine Tip Credit to the Federal POCKET VETO
Sponsor(s) Committee Report Amendments Adopted
Under current Maine law and federal law, the effective minimum wage for
employees who earn tips is 50% of the minimum wage. An employer is entitled
to take a tip credit of up to 50% of the minimum wage to account for tips
received by the employee. Under a pending change in federal law, the minimum
wage will increase to $4.75 on October 1, 1996 and the effective minimum wage
for employees who earn tips will be frozen at its current level of $2.13 per
hour. This bill proposed makingthe required wage for employees who earn tips
under state law the same as it is under federal law.
Committee Amendment "A" (H-923) added a fiscal note to the bill.
Senate Amendment "A" (S-601) removed the emergency preamble and the emergency
clause from the bill.
Bill Summaries Page