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COMMITTEE ON BUDGET, APPROPRIATIONS AND FINANCE 11/17/2025-AMENDED AND REPORTED OUT TO THE COMMITTEE ON RULES AND JUDICIARY BILL NO. 36-0030 Thirty-Sixth Legislature of the Virgin Islands February 27, 2025 An act amending title 24 Virgin Islands Code, chapter 1, section 4, increasing the Virgin Islands minimum wage PROPOSED BY: Senator Franklin D. Johnson Sponsors: Marvin A. Blyden and Dwayne M. DeGraff Co-sponsors: Novelle E. Francis, Jr., Marise C. James and Ray Fonseca WHEREAS, the Government of the United States first established a minimum wage in 1 1938 with the enactment of the Fair Labor Standards Act of 1938; and 2 WHEREAS, the minimum wage has proven to be one of the most effective and enduring 3 public policy tools to ensure that working people enjoy an acceptable standard of living and 4 quality of life; and 5 WHEREAS, studies have demonstrated that increases in the minimum wage improve 6 worker productivity and workplace retention, and positively affects consumer demand; and 7 WHEREAS, although the federal minimum wage has been raised an average of every 8 three years between 1938 and 2009, it remains stagnant at $7.25 per hour since 2009; and 9 WHEREAS, the Virgin Islands and thirty-three other states and territories of the United 10 States have found it necessary to enact minimum wage increases through legislation or 11 automatic mechanisms for periodic increase; and 12 2 WHEREAS, studies have found that the highest rates of child poverty exist in states that 1 have not raised their minimum wages above the federal standard; and 2 WHEREAS, an economic impact study undertaken by the Virgin Islands Bureau of 3 Economic Research found that the minimum wage increases enacted by Act No. 7856 improved 4 conditions for both workers and businesses in the Virgin Islands; and 5 WHEREAS, Act No. 7856 mandated the appointment of members to the Wage Board 6 which is tasked with periodically reviewing and revising the minimum wage; and 7 WHEREAS, the failure of successive governors to appoint members to the Wage Board 8 has resulted in the Virgin Islands minimum wage remaining at $10.50 since 2018; and 9 WHEREAS, housing market studies have found that housing rents rose by an average of 10 nearly 100% between 2017 and 2023; and 11 WHEREAS, the combination of rising prices and wage stagnation have created an 12 affordability crisis wherein many Virgin Islands families simply cannot meet their daily needs; 13 and 14 WHEREAS, a low minimum wage contributes to an emigration of labor and a reduction 15 in workforce capacity in the Virgin Islands; Now, Therefore 16 Be it enacted by the Legislature of the Virgin Islands: 17 SECTION 1. Title 24 Virgin Islands Code, chapter 1, section 4, is amended as follows: 18 (a) In subsection (a): 19 (1) By inserting a comma after “students”; 20 (2) By striking “$8.35” and inserting “$12.00; 21 (3) By striking “$9.50” and inserting “$14.00”; 22 (4) By striking “June 1, 2017” and inserting “June 1, 2027”; 23 (5) By striking “$10.50” and inserting “$15.00”; 24 3 (6) By striking “June 1, 2018” and inserting “June 1, 2028”; 1 (7) By striking “June 1, 2019 and inserting; “June 1 2029”; 2 (8) By striking “2020” and inserting “2030”; and 3 (9) By inserting at the end of the subsection “, whichever is greater”. 4 (b) In subsection (b) by striking “December 31, 2018” and inserting “December 31,” 5 2029”. 6 BILL SUMMARY 7 This bill amends title 24 Virgin Islands Code, chapter 1, section 4 by increasing the 8 Virgin Islands minimum wages. 9 BR25-0269/February 24, 2025/LMW 10 ..\..\..\..\AMENDS\36th Legislature\JOHNSON, FRANKLIN D\Amendment 36- 11 622\Amendment No. 36-622 (REVISED I) - DRAFTED ON YELLOW.docx 12