Editor’s Note:
Section 112.10 was struck down by the Kentucky Supreme Court in the case of Kentucky Restaurant Association, et al v. Louisville Metro Government, 501 S.W.3d 425 (Ky. 2016) and is no longer in effect. The applicable minimum wage is contained in KRS 337.275.
(A) Definitions. For purposes of this section, the following definitions shall apply:
EMPLOYEE.
Shall be the same definition as found in KRS 337.010(2)(a) et seq.
EMPLOYER.
Shall be the same definition as found in KRS 337.010(1)(d).
GRATUITY.
Shall be the same definition as found in KRS 337.010(2)(c).
TIPPED EMPLOYEE.
Shall be the same definition as found in KRS 337.010(2)(d).
WAGE.
Shall be the same definition as found in KRS 337.010(1)(c)(1).
(B) Every employer within the jurisdictional boundaries of Louisville Metro shall pay to each of its employees wages at a rate of not less than $7.75 per hour beginning on July 1, 2015, $8.25 per hour beginning on July 1, 2016, and $9.00 per hour beginning on July 1, 2017.
(1) Beginning on July 1, 2018, and each year thereafter, the minimum wage shall be increased by an amount corresponding to the previous calendar year's increase (i.e. January 1, 2017 through December 31, 2017), if any, in the Consumer Price Index for the south urban region as published by the Bureau of Labor Statistics, U.S. Department of Labor or its successor index, with the amount of the minimum wage increase rounded up to the nearest multiple of five cents. The adjusted minimum wage shall be determined by the Metro Revenue Commission and announced by April 1 of each year and shall become effective as the new minimum wage by the corresponding July 1. However, in calculating any increase to adjust the minimum wage, the Consumer Price Index, as set forth above, shall be limited to an annual increase of no more than 3%.
(2) If the Federal minimum hourly wage as prescribed by 29 U.S.C. § 206(a)(1) is increased in excess of the minimum hourly wage in effect under this section, the minimum hourly wage in effect under this section shall be increased to the same amount, effective on the same date as the Federal minimum hourly wage rate.
(C) Notwithstanding the provisions of subsection (B) of this section, for any tipped employee engaged in an occupation in which he or she customarily and regularly receives more than $30 per month in tips from patrons or others, the employer may pay as a minimum not less than the hourly wage rate set forth in subsection (B) with the method prescribed by 29 U.S.C. § 203(m). The employer shall establish by his or her records that for each week where credit is taken, when adding tips received to wages paid, not less than the minimum rate set forth in subsection (B) was received by the employee. No employer shall use all or part of any tips or gratuities received by employees toward the payment of the statutory minimum hourly wage as required by subsection (B). Nothing, however, shall prevent employees from entering into an agreement to divide tips or gratuities among themselves.
(Lou. Metro. Ord. No. 216-2014, approved 1-2-2015)