NH House Opens New Assault on Minimum Wage

More than 20,000 New Hampshire workers would no longer be covered by the federal minimum wage law if a proposal under consideration by the New Hampshire House Labor Industrial and Rehabilitative Services Committee becomes law.

The committee is reviewing a proposal to greatly expand the number of Granite State workers categorized as tipped employees. The employer of an employee who receives more than $30 a month in tips is only required to pay $3.28 an hour in direct wages. New Hampshire law currently limits this minimum wage exception to employees of restaurants and lodging facilities.

Writing in The Lobby (paywalled), Jeff Feingold details the legislative maneuvering.

HB 494, as originally written, is innocuous enough. All it would do is add those who deal cards at games of chance to the definition of “tipped employee.” …

Then committee Chair Gary Daniels, R-Milford, asked “if the committee would like to [do] something more generic” rather than making exceptions one at a time. …

Think cab drivers, hotel workers, newspaper carriers, charter bus drivers, parking attendants, massage workers, hair dressers.

Such workers make so much money in tips, echoed another Republican, that “they don’t need our help.”

Rep. Tammy Simmons left no doubt that this is just one more item on the House’s anti-union, anti-worker agenda. “I think we should be abolishing the minimum wage and let the free market reign,” she said.

HB 494 has been retained for next session.

Gov. Lynch Defends Minimum Wage

Yesterday, Governor Lynch vetoed legislation that would eliminate the state’s minimum wage. Lynch explained his opposition, in part, as a states’ rights issue, arguing New Hampshire should not cede the setting of a minimum wage to the federal government.

“This legislation would make New Hampshire one of only a handful of states that completely defer to the federal government and do not independently establish their own minimum wage laws. I do not support turning over complete authority to the federal government to determine what makes sense for our citizens or our businesses.”

Mark MacKenzie, president of the New Hampshire AFL-CIO, described the proposed legislation as a blatant attack on the working poor.

“Look in the eyes of people who are minimum wage workers and say to them, by the way, we don’t think you are worth an increase.

“Minimum wage workers are plowing every nickel of that money back into the economy. I think it’s time the Legislature stop focusing about taking benefits away, and start concentrating on job creation which to date they’ve failed to do.”

New Hampshire’s minimum wage is currently $7.25 per hour, the same as the federal government, so its elimination would not have an immediate effect. But with more and more Republicans jumping on the bandwagon to repeal the federal minimum wage, it’s clear the state wage requirement could one day be the only barrier preventing a race to the bottom in compensation for low-paid workers in the Granite State.