Give America a Raise Act

Key Points

• This bill would raise the federal minimum wage in four steps over several years. It starts at $10.00 per hour, then moves to $13.00, $16.50, and finally $20.00. After reaching $20.00, the wage would automatically increase every year based on either the cost of living or the growth of the economy, whichever is higher.
• The plan changes how tipped workers, such as restaurant servers, are paid. Their base pay would slowly rise from $6.00 an hour until it eventually matches the full federal minimum wage in six years. This would end the practice of employers using tips to cover part of the minimum wage requirement.
• It phases out the practice of paying people with disabilities less than the minimum wage. Over six years, their pay would increase until it reaches the standard federal rate. The government would also stop giving out new permits that allow businesses to pay these lower 'sub-minimum' wages.
• For workers under age 20, the starting wage would begin at $6.00 an hour and increase by up to $2.00 each year. This continues until their pay is the same as the standard minimum wage for all other workers, ensuring younger employees eventually earn the same floor as adults.
• If passed, the first pay increase would start on the first day of the third month after the bill becomes law. This gives businesses a short window to prepare for the first jump to $10.00 per hour before the subsequent annual raises begin.

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