LINCOLN- State lawmakers advanced an amended proposal Wednesday to slow annual increases to Nebraska’s minimum wage down to a fixed rate, rather than using the inflationary bumps that voters approved in 2022. Legislative Bill 258, from State Sen. Jane Raybould of Lincoln, advanced 33-16 with a “compromise” from State Sen. Stan Clouse of Kearney setting annual increases to the state minimum wage at 1.75%. Voters in 2022 approved permanent cost-of-living increases each Jan. 1, starting in 2027, based on a calculation of inflation for the Midwest region from the prior August.

Nebraska’s minimum wage will rise to $15 on Jan. 1 regardless of LB 258. The bill would increase the state’s training wage for teen workers and limit it to workers aged 16 to 19 at 75% of the state minimum wage this September, rather than 75% of the federal wage (which is $7.25 and hasn’t changed since 2009). That wage can be paid for up to the first 90 days of employment. As a result, workers aged 14 or 15 would get a new youth minimum wage beginning at $13.50 next January and increasing every five years by 1.5%. The training wage would rise by 1.5% each year.

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