The Commerce Committee discussed significant legislation addressing Proposition A, a voter-approved initiative that increases minimum wage and mandates paid sick leave. HB 567, sponsored by Rep. Gallic, dominated the session with extensive testimony from business representatives advocating for changes to the paid sick leave mandate, which they argue creates unworkable compliance challenges and potential litigation risks. Business groups testified that Proposition A could lead to job losses and price increases that would affect all Missourians. Committee members debated whether modifying a voter initiative was appropriate, with supporters arguing that voters didn't understand the full implications of the eight-page proposition. The committee also advanced HB 344 (regarding tobacco age restrictions) and HB 437 in executive session votes, and briefly considered HB 555, which contained similar Proposition A modifications plus prevailing wage threshold changes.
Bills Discussed
HB 567
Surface Score: 9/10
This bill generated substantial debate as it seeks to modify a voter-approved initiative affecting all Missouri workers and businesses. The committee heard extensive testimony from multiple business interests about the potential economic impact and complex implementation challenges, particularly related to the paid sick leave provision.
Summary:
Proposes modifications to Proposition A by moving the $15 minimum wage implementation date from 2026 to 2028, removing provisions tying Missouri's minimum wage to the Consumer Price Index, and eliminating the paid sick leave mandate.
Noteworthy Points:
The bill sponsor presented a committee substitute that completely eliminates the paid sick leave requirement, which differed significantly from the original filed bill that only delayed implementation.
Business representatives testified that the paid sick leave mandate's prohibition on asking why employees are sick creates serious issues for food safety in restaurants and other businesses.
The Missouri Chamber of Commerce reported survey results indicating that one-third of Missouri businesses said Proposition A will cause them to hire fewer employees.
Some committee members questioned whether it's appropriate to modify a voter-approved ballot initiative, while others argued voters didn't understand the complex regulatory details of the proposition.
Rep. Gallic presents HB 567, explaining her concerns about the unintended consequences of Proposition A, particularly the sick leave mandate's impact on small businesses.
Discussion about whether it's appropriate to modify a voter-approved initiative, with debate over whether voters fully understood Proposition A's provisions.
Rep. Montseure discusses research on previous minimum wage increases showing positive economic effects and questions the bill sponsor about the estimated burden on businesses.
Further committee questions about whether the legislation respects the will of voters, and concerns over liabilities for businesses under Proposition A.
Missouri Chamber of Commerce testimony supporting the bill, citing survey data showing business concerns and explaining litigation risks under the paid sick leave mandate.
Testimony from Associated Industries of Missouri explaining how the paid sick leave provisions create potential lawsuits for employers who question absences.
Missouri Grocers Association representative explains the economic pressure of the wage increases on grocery stores and the problems with paid sick leave in the food service industry.
Missouri Restaurant Association testimony about the unique concern for restaurants needing to know why employees are sick for food safety reporting requirements.
While not generating extensive debate, this bill has meaningful public health implications by standardizing the tobacco purchase age. The 8-2 vote indicates some disagreement, though much less than other bills discussed in the session.
Summary:
Adds 21-year-old language regarding tobacco sales in Missouri, aligning state law with federal regulations to make it easier for municipalities to enforce age restrictions.
Noteworthy Points:
The bill standardizes tobacco purchase age to 21 statewide
Brief discussion focused on whether the bill would impact 18-year-olds' ability to sell tobacco products
The bill appears to align with federal regulations already in place
This bill addresses the same Proposition A modifications as HB 567, but adds a potentially contentious prevailing wage component that drew opposition from labor representatives. The brief discussion at the end of the meeting limited debate, but the bill touches on two separate controversial issues.
Summary:
Similar to HB 567 in delaying Proposition A's minimum wage increase to 2028, but also increases the prevailing wage threshold for public works projects from $75,000 to $150,000.
Noteworthy Points:
Contains provisions similar to HB 567 regarding Proposition A's minimum wage increase
Uniquely adds a provision to increase the prevailing wage threshold for public works projects from $75,000 to $150,000
Sponsor indicated the prevailing wage provision was requested by a local park board to reduce costs for small renovation projects
Opposition testimony from the Mid-America Carpenters Regional Council regarding concerns about changing just one part of the prevailing wage law that was negotiated in 2018.
With minimal discussion and a strong vote in favor (9-1), this bill appears to be relatively non-controversial. Limited information provided about its content makes it difficult to assess its broader impact.
Summary:
This bill was voted on in executive session with minimal discussion of its content.