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Logan proposes $20 minimum wage, removes several agricultural exemptions and phases in overtime coverage

2937647 · April 10, 2025
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Summary

H.347 would raise Vermont’s minimum wage to $20, repeal agricultural exemptions from minimum wage and overtime (with staggered overtime phase‑in), eliminate tipped subminimum and raise the overtime salary threshold.

Representative Kate Logan introduced H.347, a sweeping labor bill that would raise the state minimum wage to $20 per hour, repeal several statutory exemptions for agricultural and domestic workers, and expand overtime coverage.

"So this bill does a number of things. It increases the minimum wage to $20 an hour, repeals the exemption of agricultural workers from the minimum wage, and then also repeals, the exemption for agricultural workers from overtime, but phases it in over several years," Logan said. She said the bill would also eliminate the tipped subminimum wage (currently half of the minimum wage in Vermont) and raise the salary threshold for overtime‑exempt status so more workers qualify for overtime.

Logan described the proposal as responsive to data on living costs and the composition of low‑wage workers in Vermont. She said the most recent livable‑wage modeling the committee reviewed suggests a livable‑wage figure near $19 per hour for a single worker sharing a one‑bedroom apartment; H.347 sets the minimum at $20 to align with that estimate. She acknowledged the proposal would be a rapid increase from current law and said it was intended to spark a policy conversation about wage adequacy.

The bill also would bring agricultural and domestic workers under minimum‑wage rules; Logan said agricultural workers in some cases still fall under the federal minimum wage ($7.25) and that data on agricultural pay are imperfect, with sponsor‑cited averages near $11 an hour in some reports. H.347 would phase in overtime coverage for agricultural workers over several years (sponsor cited a phased approach similar to New York State) to account for agricultural work patterns and seasonal hours.

Members asked about employer impacts, deductions for employer‑provided housing and benefits, and whether federal rulemaking on exempt‑status thresholds would affect the state proposal; Logan said those issues would require additional drafting attention. The sponsor also noted the bill would remove the commissioner’s authority to recommend a subminimum wage for workers with disabilities, language she said is already moving in related Senate legislation.

Ending: H.347 was introduced and extensively discussed; members requested additional detail on implementation, housing‑deduction rules for farm employers, and economic impacts before committee action.