Minimum wage

Section 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 206) is amended— (1) in subsection (a)(1)— (A) by striking and at the end of subparagraph (B); and (B) by inserting at the end the following: (D) $10.59 an hour, beginning January 1, 2026; (E) $14.59 an hour, beginning January 1, 2027; (F) $18.59 an hour, beginning January 1, 2028; (G) $22.59 an hour, beginning January 1, 2029; (H) $26.59 an hour, beginning January 1, 2030; and (I) the amount determined by the Secretary under subsection (b), beginning January 1, 2031.; and (2) by redesignating subsection (b) as subsection (c) and inserting after subsection (a) the following: (b) (1) Subject to paragraph (3), not later than October 1, 2030, and every 7 years thereafter, the Secretary shall determine the minimum wage rate applicable under subsection (a)(1) based on the formula described in paragraph (2). The Secretary shall publish such wage rate in the Federal Register not later than November 1 of each year in which a minimum wage rate is determined under this paragraph. (2) For the 7-year period beginning on January 1, 2031, and each succeeding 7-year period, the minimum wage rate determined by the Secretary under paragraph (1) shall be a minimum hourly wage sufficient for a person working for such wage for 1,799 hours per year to earn an annual income in an amount that is 40 percent higher than the Federal supplemental poverty threshold for a renter family of 4, with two children under the age of 18, as published by the Bureau of Labor Statistics for the year preceding the year in which the wage rate is being so determined. (3) If the minimum wage rate determined by the Secretary under paragraph (1) would result in a lower minimum wage rate than the minimum wage rate in effect at the time of such determination, the Secretary may not adjust the minimum wage rate so in effect..