Bill Summary for S 525 (2025-2026)
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View NCGA Bill Details(link is external) | 2025-2026 Session |
AN ACT TO ESTABLISH A STATE MINIMUM WAGE OF FIFTEEN DOLLARS PER HOUR, INCORPORATE AUTOMATIC INFLATION ADJUSTMENTS, AND ENSURE ECONOMIC STABILITY FOR WORKERS IN NORTH CAROLINA.Intro. by Theodros, Waddell, Applewhite.
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Bill summary
Contains whereas clauses.
Amends GS 95-25.3(a) to delete the provision requiring wages of at least $6.15 per hour, for all employers except small business (i.e., a person doing business in the State with less than ten employees) and instead requires a minimum wage of at least $15.00 per hour, effective January 1, 2026.
Requires small businesses to pay the higher of: (1) wages of at least the amount set forth in paragraph 1 of section 6(a) of the Fair Labor Standards Act, 29 U.S.C. § 206(a)(1), as that wage may change from time to time or the following schedule of wages set forth in GS 95-25.3 (i) $12.00 per hour, effective January 1, 2026, (ii) $13.50 per hour, effective January 1, 2027; (iii) $15.00 per hour, effective January 1, 2028. Starting October 1, 2028, and annually thereafter, requires the Commissioner of Labor to adjust the minimum wage using the described consumer price index to take effect on the following January 1.
Expands liability under GS 95-25.22 (recovery of unpaid wages) to include any employer who violates the notice, records and posting provisions outlined in GS 95-25.13. Allows recovery of actual damages, including back pay and benefits plus interest and reasonable attorneys’ fees and costs. Subjects violating employers to fines and other remedies as determined by the State Department of Labor (DOL). Specifies that employees have the right to file complaints with DOL regarding noncompliance and prevents employers from retailing against employees who assert their rights under GS 95-25.22.
Effective July 1, 2025, appropriates $10 million from the General Fund to DOL to establish a State-funded Small Business Assistance Program (Program) for the two purposes described. Authorizes federal workforce funds to be used for the Program. Specifies that financial support through the Program will be provided to businesses with 20 or less employees for a period of up to two years. Requires DOL to develop rules to administer the Program.