Better Pay for American Workers Act

Section 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 206) is amended—

(1) in subsection (a), by striking paragraph (1) and inserting the following:

(1) except as otherwise provided in this section, not less than—

(A) $15.00 an hour, beginning on January 1, 2027;

(B) $17.50 an hour, beginning on January 1, 2028;

(C) $20.00 an hour, beginning on January 1, 2029; and

(D) beginning on January 1, 2030, and annually thereafter, the amount determined by the Secretary under subsection (h).; and

(2) by adding at the end the following:

Prior to the date that a new minimum wage determined under subsection (a)(1)(D) is to take effect, the Secretary shall determine the minimum wage rate to be in effect under this subsection for each year described in subsection (a)(1)(D). The wage rate determined under this subsection for a year shall be—

(A) not less than the amount in effect under subsection (a)(1) on the date of the determination;

(B) increased from such amount by the annual percentage increase, if any, in the median hourly wage of all employees as determined by the Bureau of Labor Statistics;

(C) rounded to the nearest multiple of $0.05, if the amount determined under this subsection is not a multiple of $0.05.

In calculating the annual percentage increase in such median hourly wage, the Secretary, through the Bureau of Labor Statistics, shall determine the median hourly wage of all employees for the most recent year for which data are available and compare such median hourly wage with the median hourly wage determined for the preceding year.