HB5598 - Relating to the minimum wage and a requirement for a biennial study and report on the living wage in this state, expanding access to childcare, and providing paid parental leave.

      By: Bryant H.B. No. 5598       A BILL TO BE ENTITLED   AN ACT   relating to the minimum wage and a requirement for a biennial study   and report on the living wage in this state, expanding access to   childcare, and providing paid parental leave.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          ARTICLE 1.  RAISING THE MINIMUM WAGE          SECTION 1.01  Section 62.051, Labor Code, is amended to read   as follows:          Sec. 62.051.  MINIMUM WAGE. Except as provided by Section   62.057, an employer shall pay to each employee not less than the   greater of:                 (1)  $15 an hour; or                 (2)   the federal minimum wage under Section 6, Fair   Labor Standards Act of 1938 (29 U.S.C. Section 206).          SECTION 1.02  Subchapter B, Chapter 62, Labor Code, is   amended by adding Section 62.058 to read as follows:           Sec.   62.058.     BIENNIAL STUDY AND REPORT ON STATE LIVING   WAGE. (a)   In this section, "consumer price index" means the   Consumer Price Index for Urban Wage Earners and Clerical Workers   (CPI-W), published by the Bureau of Labor Statistics of the United   States Department of Labor.           (b)     Not later than September 1 of each even-numbered year,   the commission shall conduct a study and deliver a report to the   legislature on the living wage in this state. In conducting the   study, the commission shall seek to determine what wage rate is   required to meet minimum standards of living throughout this state,   classified on the basis of county or region. In making that   determination, the commission shall consider factors such as the   consumer price index and the cost of daily necessities in each   county or region.           (c)     In its report, the commission must include information   from the preceding two-year period for each county or region   regarding:                 (1)     the number of jobs created that pay at least the   minimum wage;                 (2)     the effect of the consumer price index on the   purchasing power of individuals and families;                 (3)     the cost of daily necessities, such as housing,   clothing, food, health care, and child care;                 (4)  the number of small businesses created and closed;                 (5)     housing affordability for individuals and   families relying on the minimum wage; and                 (6)     the feasibility of obtaining health care coverage   when working in a job paying the minimum wage.           (d)     The commission may consult with other state agencies as   necessary to conduct the study under this section.          SECTION 1.03  Section 62.151, Labor Code, is repealed.          ARTICLE 2.  PAID PARENTAL LEAVE          SECTION 2.01  Subtitle B, Title 4, Labor Code, is amended by   adding Chapter 320 to read as follows:   CHAPTER 320. PAID PARENTAL LEAVE FOR CERTAIN EMPLOYEES           Sec. 320.001.  DEFINITIONS. In this chapter:                 (1)     "Employee" means an individual who performs   services in this state for an employer for compensation under a   contract for hire, whether express or implied. The term does not   include an independent contractor or a state employee to which   Section 661.9125, Government Code, applies.                 (2)     "Employer" means a person that employs 50 or more   employees.           Sec.   320.002.     PAID PARENTAL LEAVE FOR CERTAIN EMPLOYEES.     (a)   This section applies only to an employee who, during the   preceding 12 months, has worked for the employer on a full-time   basis.           (b)     Subject to Subsection (c), an employee to whom this   section applies is entitled, on request, to 60 days of paid leave   for the:                 (1)  birth of a child by the employee;                 (2)  birth of a child by the employee's spouse;                 (3)  birth of a child by a gestational surrogate;                 (4)  adoption of a child; or                 (5)     provision of foster care or kinship care to a child   younger than one year of age who is in the conservatorship of the   Department of Family and Protective Services.           (c)     The amount of paid leave to which an employee is   entitled under Subsection (b) for each week of leave taken under   that subsection is an amount equal to the employee's average weekly   wage during the 12-month period preceding the first day that the   employee takes leave under that subsection.           (d)     This section does not entitle an employee to leave in   addition to any leave the employee is entitled to under the federal   Family and Medical Leave Act of 1993 (29 U.S.C. Section 2601 et   seq.).   An employee is not entitled to paid leave under this section   for any period during which the employee is taking other paid leave.           (e)  An employee may not take leave under this section:                 (1)     later than the first anniversary of the date of   birth or adoption of a child or placement of a child in foster care   or kinship care; or                 (2)  more than one time during a 12-month period.           (f)     Notwithstanding any other provision of this section, an   employee who takes leave under this section for the purpose   described by Subsection (b)(1) may take the leave before the birth   of the child.           (g)     An employer may not take an adverse employment action   against an employee because the employee has taken or plans to take   paid leave under this section. For purposes of this subsection,   "adverse employment action" includes termination or suspension of   the employee's employment, an action that affects the employee's   compensation, promotion, or performance evaluation, or any other   employment action that would dissuade a reasonable employee from   taking paid leave under this chapter.           Sec.   320.003.     PAYMENT OF PAID PARENTAL LEAVE COSTS. (a)   To   pay for the costs associated with paid leave required under Section   320.002, an employer may directly pay those costs or maintain an   insurance policy providing coverage for those costs in accordance   with this section.           (b)     An employer electing to maintain an insurance policy   under Subsection (a) shall maintain a policy that provides   sufficient coverage for the employer's employees who are entitled   to paid leave under Section 320.002. To the extent the policy does   not cover the costs associated with paid leave required under   Section 320.002, the employer is liable for those costs.           (c)     The commissioner of insurance may adopt rules   prescribing sufficient coverage requirements and reasonable rates   for an insurance policy described by this section.           Sec.   320.004.     EXCEPTION.   Notwithstanding any other   provision of this chapter, an employee is not entitled to paid leave   under Section 320.002, and an employer is not required to pay costs   associated with that leave under Section 320.003, if no insurer   authorized to engage in the business of insurance in this state   offers an insurance policy described by Section 320.003 by October   1 of the year preceding the year in which the paid leave requirement   would take effect.          SECTION 2.02  An employee is not entitled to paid leave under   Chapter 320, Labor Code, as added by this Act, before January 1,   2027.          ARTICLE 3.  EXPANDED CHILDCARE SUBSIDY          SECTION 3.01  Subchapter A, Chapter 302, Labor Code, is   amended by adding Section 302.00415 to read as follows:           Sec.   302.00415.     SUBSIDIZED CHILD CARE PROGRAM:   ELIGIBILITY.   (a)   A child is eligible for subsidized child care if   the child:                 (1)  is:                       (A)  younger than four years of age; and                       (B)     a member of a household with a total annual   income that is at or below 250 percent of the federal poverty   guidelines; or                 (2)     meets eligibility requirements established by the   commission.           (b)     The commission may adopt rules necessary to administer   this section.          SECTION 3.02  This Act takes effect September 1, 2025.