HI HB1372

Eliminates scheduled increases to the tip credit wage that were set for January 1, 2024 ($1.25 per hour) and January 1, 2028 ($1.50 per hour), instead capping the tip credit at $1.00 per hour beginning October 1, 2022.

Establishes an annual adjustment mechanism beginning January 1, 2024, where the tip credit amount shall equal twenty percent of the applicable minimum wage, adjusted each subsequent year.

Maintains the requirement that combined earnings from employer wages plus tips must be at least 50 cents more than the applicable minimum wage, or beginning January 1, 2015, at least $7.00 more than the applicable minimum wage.

Makes technical correction changing "no" to "not" in the description of tipped employee wage requirements.

Takes effect upon approval.