WASHINGTON: MINIMUM WAGE LAW TO GO IN EFFECT JANUARY 1

          PHILADELPHIA, December 15 – State Sen. LeAnna M. Washington (D-Phila. /Montgomery) today reminded local constituents and businesses that the minimum wage law will go into effect on January 1.

          “January will not only begin a new year, it will also herald a new beginning for Pennsylvania’s thousands of working poor,” Washington said.  “It will also change the climate of how businesses grow and operate.”

          Pennsylvania’s new minimum wage law, signed by Gov. Rendell as Act 112 of 2006, will raise the lowest wage for most workers in two steps, reaching $7.15 an hour by July 1.

          The bill also contains protections for small businesses, allowing them to raise the rate over a longer period of time, and providing for a “training wage.”

          “This law has been a long time coming for Pennsylvania and finally puts the Commonwealth on pace with surrounding states,” Washington said.

          For businesses with the equivalent of more than 10 full-time employees (400 wage-hours per week) the minimum wage will rise to $6.25 on Jan. 1 and to $7.15 on July 1.

          Businesses with the equivalent of 10 or fewer full-time employees will pay a minimum wage of $5.65 an hour on Jan. 1, $6.65 an hour on July 1, and $7.15 an hour on July 1, 2008.

          Workers under 20 years of age may be paid a “training wage” of $5.15 per hour for up to 60 days of initial employment.

          “Not only does this new minimum wage law help the working poor, it also will help businesses grow and maintain staff.”