SPONSOR:	Sen. Peterson
	Sens. Marshall McDowell & Connor	Rep. McWilliams

DELAWARE STATE SENATE

144th GENERAL ASSEMBLY

SENATE BILL NO. 280

AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO THE MINIMUM WAGE.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend §902, Title 19, Delaware Code by deleting subsection (b), as found therein, and substituting in lieu thereof a new subsection (b) to read as follows:

“(b) Gratuities received by employees engaged in occupations in which gratuities customarily constitute part of the remuneration may be considered wages for purposes of this chapter in an amount not to exceed:

65% effective January 1, 2009,

60% effective January 1, 2010,

55% effective January 1, 2011,

50% effective January 1, 2012, and thereafter,

of the minimum rate as set forth in subsection (a) of this section.”

SYNOPSIS

The minimum case wage for “tipped” employees has been $2.23 per hour since 1987. This Bill restores Delaware’s tip credit allowance incrementally until it reaches 50% of the applicable minimum wage. The minimum cash wage for employees who receive tips would increase from the current $2.23 per hour to: $2.51 per hr. on 01-01-09, $2.86 per hr. on 0l-0l-10, $3.32 per hr. on 0l-0l-11, and $3.57 per hr. on 01-01-12.

Author: Senator Peterson