Legislative Affairs Update
Posted on Jul. 5, 2022 / Subscribe 0
During the 2022 legislative session, SHRM Hawaii tracked dozens of bills and testified on key pieces of legislation affecting HR professionals. The following were passed:
1. HB2510 - Relating to Income makes the state-earned income tax credit refundable and permanent, including carryforward of nonrefundable credits previously claimed.
a. Increases minimum wage and tip credit to $12 by 10/1/2022; $14 by 1/1/2024; $16 by 1/1/2026; and $18 by 1/1/2028
b. Also increases the tip credit scale from .75 cents to $1/hr by 10/1/2022; then to $1.25 by 1/1/2024; then to $1.50 by 1/1/2028
SHRM Hawaii testified on the minimum wage bills as the legislature pushed forward HB2510 to increase the minimum wage to $18 by 2026 and get rid of the tip credit. After our testimony amongst others, the legislature amended the bill to delay the $18 increase to 2028 instead and increases the tip credit to correspond with the increases in the minimum wage, and made the earned income tax credit permanent and refundable. SHRM Hawaii looks forward to continuing to work with lawmakers to find ways to support local small businesses and ensure business costs are as sustainable as possible.
2. SB 2826 – Relating to Education - established and funded a career development success program within the DOE to provide financial incentives for participating public schools to encourage students enrolled in grades 9-12 and public charter schools to enroll in and successfully complete qualified industry-credential programs.
3. HB 1561 – Relating to Education - Establishes within the DOE a workforce readiness program for students to earn associate degrees, workforce development diplomas, pre-apprenticeship certificates, and other industry-recognized certificates.
Other Bills SHRM Hawaii testified on:
SB 3316 – Relating to Family Leave proposed providing 8 weeks of paid family leave during the first year after birth, adoption, or foster placement of an employee child and 8 weeks of paid leave to care for a family member with a serious health condition, via the private insurance programs as already used for TDI.
The legislature focused on passing the minimum wage bill and due in part to our testimony did not want to further increase costs for small businesses. This bill is likely to be back for the biennium next session, along with SB 2492 – Relating to Paid Sick Leave, which requires paid sick leave for employees to care for themselves or an ill family member and supplemental paid sick leave for public health emergency conditions.
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