Labor Income Fairness and Transparency Act

The Labor Income Fairness and Transparency Act (HR 3662) increases the federal minimum wage to $10.25 per hour after one year, $13.75 after two years, and $17.00 after three years, with future increases tied to median wage growth. It eliminates subminimum wage rates for youth workers (previously allowed for first 90 days), student-learners, and special certificate programs, requiring all workers to receive the standard minimum wage. The bill also increases minimum wage rates for tipped employees and raises civil penalties for wage law violations from $1,100 to $2,200. It establishes a National Advisory Committee on the Hospitality Industry to advise on worker issues in that sector and makes temporary Earned Income Tax Credit improvements permanent. This legislation directly affects all covered workers and employers across the United States who must comply with federal wage laws.