1984 Ad

Monthly Labor Review,  Jan, 1985  by Richard R. Nelson

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State labor legislation enacted in 1984

As is often the case in even numbered years, when some legislatures do not meet in regular session and others meet in only special or abbreviated sessions, 1984 was not a heavy year in terms of the number of new State labor laws.1 Despite this smaller volume, legislation was enacted in a wide variety of subject areas and included several significant new laws.2 Considerable interest was shown concerning the rights of employees to receive information and training on toxic substances found in the workplace, on garnishment and assignment of wages for dependent support payments, on resident employee and contractor preference on public construction, and on pay equity for jobs of comparable worth. Major laws were also enacted in the fields of child labor, mandatory retirement and age discrimination, whistleblower protection, private employment agencies, and minimum wage.

Minimum wage rates were increased in seven jurisdictions in 1984, with increases in Arkansas, Colorado, and Illinois and for some workers in the District of Columbia resulting from automatic increases provided for by previous enactments. Revised mandatory decrees in Puerto Rico raised minimum rates to varying levels for workers in several industries, and a wage order revision in the District of Columbia raised the minimum wage rate for private household workers from $3.50 to $3.90 per hour. New legislation increased minimum hourly rates to $3.25 in Georgia and provided for three annual 10-cent increases in Maine, the first increase to $3.45 effective January 1, 1985. The $3.35 per hour Federal standard is now exceeded in Alaska, the District of Columbia, Connecticut, and Maine, and 19 other jurisdictions match or will soon match the Federal rate for some or all occupations.

In other minimum wage actions, Minnesota provided for a phased elimination of its tip credit allowance, and in Illinois, the allowance declined to 40 percent of the minimum wage. New exemptions for limited groups of employees from minimum wage or overtime requirements were enacted in Connecticut, Minnesota, and Wisconsin.

The labor departments in Arizona, Delaware, and Maine were given increased authority to collect unpaid wages on behalf of employees, and the Commissioner of Labor in Iowa is to investigate and prosecute complaints of retaliation against employees who file complaints, assign claims, or bring other actions under the wage payment and collection law. The Kentucky wage payment law was amended to prohibit wage deductions for cash shortages, breakages, customer credit defaults or bad checks, and fines, while courts in Alabama may now order restitution to victims in criminal cases by directing employer withholding of an exoffender's wages.

Again in 1984, as in the last several years, a large number of bills were introduced to repeal or modify State prevailing wage laws. Among the measures that failed to be adopted was a bill in Idaho to exclude school construction from coverage, which was vetoed by the Governor. Among those laws enacted, Colorado defined the procedure for determining the prevailing rate of wages and increased the dollar contract threshold amount from $5,000 to $150,000, and Oklahoma made several changes including establishment of a $10,000 threshold amount for coverage and a 2-year debarment for violations, provision for contractor submission of certified payrolls, and for worker verification of payroll records. Arizona voters approved a proposition forbidding State agencies and political subdivisions from requiring that wages paid to workers on public construction projects be at least as high as the prevailing wages in the area for similar work. In Illinois, the State Supreme Court upheld the constitutionality of that State's law, including its exclusive use of rates paid on public construction projects in determining prevailing rates.

Laws pertaining to the use of wage garnishment or assignment to require support of an employee's dependents were enacted in 15 States. Many of these laws set or revised limits on the amount of earnings subject to garnishment or assignment. Protection from discharge because of such an action was included in the Alabama, Colorado, Florida, Illinois, and Vermont measures. The Rhode Island law was amended to provide for reciprocity with States having similar laws, and wages of North Carolina State employees may now be assigned to meet child support obligations without the normal restrictions on claims against the State.

The concept of equal pay for jobs of comparable value in State government continued to be an area of controversy and interest. In Iowa, a pay grade system for State employees based on comparable worth was established, and funds were appropriated for salary adjustments and implementation. In Minnesota, where the pay equity principle was previously incorporated into the State pay system, a new law requires every political subdivision to establish equitable compensation relationships among its employees by August 1, 1987. Legislatures in nine other States commissioned studies of pay equity in the public service, with most requiring reports on recommendations and legislative proposals.