This measure amends the Oklahoma Minimum Wage Act (“OMWA”) under the Oklahoma Statutes to increase the state minimum wage. Employers must pay employees at least $9 per hour beginning in 2025, increasing $1.50 annually for a final rate of $15 per hour in 2029. Beginning in 2030 and continuing indefinitely, the minimum wage would automatically increase annually based on the increase in the cost of living, if any, as measured by the U.S. Department of Labor’s Consumer Price Index for Urban Wage Earners and Clerical Workers;theminimumwage increase would continue with any successor agency or index. Suchincreasewouldalso not require approval from Congress or the Oklahoma Legislature. This measure eliminates several exemptions in the current OMWA, including the exemptions for employers subject to the federal Fair Labor Standards Act; part-time employees; certain students and individuals under age 18; farm and agricultural workers; domestic service workers; newspaper vendors or carriers; and feedstore employees. Effectively, eliminating these exemptionsresultsincurrent employees not covered by the OMWA now being entitled to the minimum wage. The measure also repeals title 40, section 197.5.
Federal and state employees will not be covered under the OMWA. Volunteers; employers with ten or fewer employees and grossing $100,000 or less; some employees of carriers engaged in interstate commerce; employees workinginabonafide executive, administrative, or professional capacity; outside salesmen; and reserve deputy sheriffs will remain excluded from the OMWA’s coverage. Because counties, municipalities, and school districts are not excluded, a fiscal impact on the State will result, possibly necessitating in a revenue increase by new taxes or elimination of existing services. The measure will be effective the January 1 following approval and will not apply retroactively.
Oklahoma voters are eligible to cast ballots on State Question 832 on June 16, the state’s primary election day for political parties. The measure would raise the state’s minimum wage for most workers from the federal minimum of $7.25 per hour, which has been mandated since 2009, to $12 per hour in 2027, $13.50 in 2028 and $15 in2029.By2030,themeasure ties future increases to the rate of inflation. The measure is not retroactive. Opponents include business groups that callthemeasureanunfunded future mandate. Opponents argue the increase will impact fast-food workers and businessesthatemploymany entry-level workers, such as teenagers. Supporters argue the measure would increase wages for about 357,000 Oklahomans, or about 20 percent of the wage-earning workforce. The ballot issue also removes exceptions for part-time employees, certain students and individuals under 18, farm and agriculture workers, newspaper vendors and carriers and feed store employees. Employers with 10 or fewer employees and grossing $100,000 or less are exempt.