SB185 Alabama 2016 Session

Summary

Primary Sponsor

Linda Coleman-MadisonSenator

Democrat

Session

Regular Session 2016

Title

Wages, establish the Alabama Minimum Wage Act, to set the state minimum wage, provide for a cost of living increase, const. amend.

Summary

SB185 would constitutionalize a state minimum wage in Alabama, starting at $10 per hour with scheduled increases and ongoing cost-of-living adjustments tied to CPI, including protections for tipped workers.

What This Bill Does

If approved, it would set a state minimum wage of $10 per hour, reached through three step increases ending January 1, 2018. Tipped employees would not be paid less than 30 percent of the minimum wage. Beginning January 1, 2021, and every three years after, the minimum wage would rise based on the Consumer Price Index for Alabama, with the Director of Finance notifying the Department of Labor of the adjustment percentage in October before it takes effect. The Department of Labor would post wage changes on its website, and the measure would require voter approval because it is a constitutional amendment.

Who It Affects

• Employees in Alabama: would gain a guaranteed state minimum wage and protections for tipped workers, with tipped workers required to receive at least 30% of the minimum wage.
• Employers and businesses in Alabama: would need to pay at least the new minimum wage, apply the tipped-employee rule, monitor and post wage changes, and may face penalties for unpaid wages.

Key Provisions

• Establishes a state minimum wage through a constitutional amendment, starting at $10 per hour with three step increases culminating on Jan 1, 2018 (Jan 1, 2017 at $8.10; Jul 1, 2017 at $8.95; Jan 1, 2018 at $10).
• Tipped employees must be paid at least 30% of the minimum wage; if tips plus wages do not reach the minimum, the employer must pay the difference.
• From Jan 1, 2021 and every three years after, the minimum wage increases based on the Consumer Price Index for Alabama as reported by the U.S. Department of Labor; the Director of Finance must notify the Department of Labor in October of the adjustment percentage for the next three years.
• The Alabama Department of Labor must post any wage change on its website to serve as notice to employers.
• Enforcement allows employees to sue for unpaid minimum wages with interest, plus court costs and reasonable attorney’s fees; action must be brought within three years.
• The amendment preserves the right of employees to bargain collectively above the minimum wage.
• As a constitutional amendment, it would require voter approval to take effect.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Constitutional Amendments