Referred to the Committee on Education and Workforce, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
The Labor Income Fairness and Transparency Act (LIFT Act) substantially increases the federal minimum wage and eliminates lower wage rates for specific worker categories. The bill raises the minimum wage incrementally to $10.25 per hour (effective one year after enactment), $13.75 after 12 months, and $17.00 after 24 months, then automatically adjusts it annually based on median wage growth. The legislation eliminates subminimum wages for youth, student-learners, full-time students, and workers with special certificates, and raises the minimum wage for tipped employees from the current $2.13 to $7.09 per hour immediately, reaching $17.00 after 24 months. The bill also doubles civil penalties for wage violations to $2,200, protects Wage and Hour Division investigators from layoffs, authorizes grants to states for wage law enforcement, establishes an advisory committee on the hospitality industry, and expands the Earned Income Tax Credit for younger and older workers starting in 2026. The measure affects millions of low-wage workers across all industries and requires the Department of Labor to implement the changes over a three-year period.
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