STAND. COM. REP. NO. 3760

Honolulu, Hawaii

RE: H.B. No. 2463

H.D. 2

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 2463, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE WAGE AND HOUR LAW,"

begs leave to report as follows:

The purpose and intent of this measure is to amend the definition of "employee" in Hawaii's wage and hour law to exclude any employee who receives $4,000 or more in guaranteed monthly compensation.

Your Committee received written comments in support of this measure from the Department of Labor and Industrial Relations, Democratic Party of Hawaii, Democratic Party of Hawaii Education Caucus, Democratic Party of Hawaii Labor Caucus, and Hawaii Children's Action Network Speaks!.

Your Committee received written comments on this measure from the Maui Chamber of Commerce.

Your Committee finds that the existing guaranteed monthly compensation exemption of $2,000 equates to less than the State's current minimum wage. Increasing the exemption to $4,000 will close a loophole in the State's wage and hour law and help protect the financial security of low-income workers.

Your Committee has amended this measure by making the measure effective upon its approval.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2463, H.D. 2, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2463, H.D. 2, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair