HI HB1503

Increases Hawaii's state minimum wage from $10.10 per hour to $12.00 per hour effective January 1, 2023, with scheduled increases to $14.00 (2024), $16.00 (2025), and $18.00 (2026).

Establishes an automatic adjustment mechanism beginning January 1, 2027, where the minimum wage will be recalculated annually on September 30 based on the Urban Hawaii Consumer Price Index, rounded to the nearest twenty-five cents.

Implements a floor provision ensuring the adjusted minimum wage rate will not decrease from the previous year's rate.

Eliminates the existing tip credit system that previously allowed employers to pay tipped employees below the minimum wage if combined tips and wages met certain thresholds.

Takes effect upon approval by the Governor.