Loading...
The employers described below shall comply with the minimum compensation standards established by this Chapter.
(1) The City of Philadelphia, including all its agencies, departments and offices.
(2) For-profit Service Contractors, which receive or are subcontractors at any tier on contract(s) for ten thousand dollars ($10,000) or more from the City in a twelve-month period, with annual gross receipts of more than one million dollars ($1,000,000).
(3) Non-profit Service Contractors which receive or are subcontractors at any tier on contract(s) from the City of more than one hundred thousand dollars ($100,000) in a twelve-month period.
(4) Recipients of City leases, concessions, or franchises, or subcontractors or subrecipients thereof at any tier.
(5) City financial aid recipients. Compliance shall be required for a period of five (5) years following receipt of aid.
(6) Public agencies which receive contract(s) for ten thousand dollars ($10,000) or more from the City in a twelve-month period.
Notes
| 142 |
The Office of Labor Standards may grant a partial or total waiver of these requirements, pursuant to the following:
(1) Any Employer which contends that it is unable to pay all or part of the new wage standard must provide a detailed explanation in writing to the City.
(2) The explanation must set forth the reasons for an Employer's inability to comply with the provisions of this Chapter, including a complete cost accounting for the proposed work to be performed with any City funding or assistance that gives rise to coverage under this Chapter, including wages and benefits to be paid all employees, as well as an itemization of the wage and benefits paid to the five highest paid individuals employed by the employer.
(3) The employer must also demonstrate that the waiver will further the interests of the City in creating training positions which will enable employees to advance into permanent jobs paying the new wage standard or better and will not be used to replace or displace existing positions or employees or to lower the wages of current employees.
(4) The City may grant a waiver only upon a finding and determination that the employer has demonstrated economic hardship and that waiver will further the interests of the City in providing training positions which will enable employees to advance into permanent jobs paying the new wage standard or better.
(5) However, no waiver will be granted if the effect of the waiver is to replace or displace existing positions or employees or to lower the wages of current employees.
(6) Waivers from the Chapter are disfavored and will be granted only where the balance of competing interests weighs clearly in favor of granting the waiver.
(7) If waivers are to be granted, partial waivers are favored over blanket waivers. Moreover, any waiver shall be granted for no more than one year. At the end of the year, the employer may reapply for a new waiver which may be granted subject to the same criteria for granting the initial waiver.
(a) The City may grant the waiver. Within five days of doing so, the City shall submit to the Living Wage and Benefits Review Committee established pursuant to Section 17-1311 a copy of the waiver and an explanation of the grounds for issuing it.
(b) At any time after a waiver has been granted, the Living Wage and Benefits Review Committee or Council, by resolution adopted following a public hearing at which the employer receives an opportunity to appear and testify, may determine that the grounds for continuing the waiver do not exist. If the Committee or Council so determines, the waiver shall expire on the expiration date specified in the resolution. A copy of the adopted resolution shall be forwarded to the Finance Director, or such other officer or agency as the Mayor shall designate, who shall notify the employer by certified mail that the waiver shall terminate on the specified date.
(9) Notwithstanding any other provision of this Section to the contrary, but subject to subsection (8), the City reserves the right to waive the requirements of this Chapter upon a finding and determination that a waiver is in the best interests of the City. 144
(10) All of the provisions of this Chapter, or any part hereof, may be waived by a bona fide collective bargaining agreement, except an agreement governed by the Railway Labor Act. 145
Notes
| 143 | Added, Bill No. 130744-A (approved March 4, 2014). Section 2 of Bill No. 130744-A provides: "This Ordinance shall take effect upon approval by the voters of the amendment to the Philadelphia Home Rule Charter proposed in Resolution No. 130544." The voters approved that amendment in an election held May 20, 2014. |
| 144 | |
| 145 |
Except as otherwise provided in this Chapter, an Employer subject to this Chapter shall provide its covered Employees the following minimum compensation:
(1) Minimum Wage Standard. 147 The Employer shall pay each Employee an hourly wage, excluding benefits, equal to:
(a) Between January 1, 2019 and June 30, 2019, twelve dollars and forty cents ($12.40);
(b) Between July 1, 2019, and June 30, 2020, thirteen dollars and twenty-five cents ($13.25);
(c) Between July 1, 2020, and June 30, 2021, thirteen dollars and seventy-five cents ($13.75);
(d) Between July 1, 2021, and June 30, 2022, fourteen dollars and twenty-five cents ($14.25);
(e) Between July 1, 2022 and June 30, 2023, fifteen dollars ($15); and
(f) Starting July 1, 2023, and thereafter, fifteen dollars ($15) multiplied by the CPI Multiplier, provided that the minimum wage shall not be less than the previous year's minimum wage. The CPI Multiplier shall be calculated annually by the Director of Finance, for wages to be provided on and after July 1 of each year, by dividing the most recently published Consumer Price Index for all Urban Consumers (CPI-U) All Items Index, Philadelphia, Pennsylvania, by the most recently published CPI-U as of July 1, 2022.
(2) Minimum Benefits Standard. To the extent the employer provides health benefits to any of its employees, the Employer shall provide each full-time, non-temporary, non-seasonal covered Employee health benefits at least as valuable as the least valuable health benefits that are provided to any other full-time employees of the Employer. The Employer shall also provide to each covered Employee sick leave benefits at the accrual rate set forth in, and pursuant to the terms of, Code Chapter 9-4100 ("Promoting Healthy Families and Workplaces"), except that subsections 9-4104(1)(a) and (b) shall not apply. 148
(3) Additional compensation permissible. Nothing in this Chapter shall be construed to limit an employer's discretion to provide greater wages or benefits to its employees.
Notes
| 146 | Amended, Bill No. 080021 (approved April 28, 2008), effective July 1, 2009. |
| 147 | Amended and subsection (1)(b) added, Bill No. 140488 (approved July 30, 2014), effective January 1, 2015; amended, Bill No. 160278 (approved June 28, 2016); amended, Bill No. 180846 (approved December 20, 2018). Section 3 of Bill No. 180846 provides: "This Ordinance shall be effective 120 days after it becomes law, and shall apply to all contracts, contract amendments and contract renewals entered into, and financial aid provided, thereafter, regardless whether a request for proposals or invitation to bid was issued before or after the effective date. The escalating wage requirements set forth in this Ordinance, including adjustments based on a CPI multiplier, shall apply to any such contract, contract amendment or contract renewal on the respective dates provided for in this Ordinance during the course of the contract only with respect to contracts of longer than one year. During the course of a contract, amendment or renewal with a term of a year or less, the wage rate at the time the contract, amendment or renewal is effective shall remain the wage rate for the duration of such contract, amendment or renewal with a term of one year or less; any escalation of the wage rate shall apply if such term is extended by a contract amendment or renewal, but shall apply only to work performed during such extended period. For purposes of this Section 3, the term "contract" includes any contract, lease, license, concession agreement, franchise agreement or agreement for financial aid." Prior to the enactment of Bill No. 180846, subsection (1) read: (1) Minimum Wage Standard. The Employer shall pay each Employee an hourly wage, excluding benefits, equal to at least the higher of: (a) 150% of the federal minimum wage or (b) $12.00 multiplied by the CPI Multiplier, provided that the minimum wage shall not be less than the previous year's minimum wage. The CPI Multiplier shall be calculated annually by the Director of Finance, for wages to be provided on and after January 1 of each year by dividing the most recently published Consumer Price Index for all Urban Consumers (CPI-U) All Items Index, Philadelphia, Pennsylvania, by the most recently published CPI-U as of January 1, 2015. |
| 148 |
Every City contract, lease, license, concession agreement, franchise agreement or agreement for financial aid (collectively "contract" or "agreement") with an employer described in this Chapter or amendment thereto shall contain provisions requiring the employer to comply with the requirements of this Chapter as they exist on the date when the employer entered into its agreement with the City or when such agreement is amended. Such agreement provisions shall require the employer to promptly provide to the City documents and information verifying its compliance with the requirements of this Chapter, and provide for sanctions for non-compliance. Such agreement provisions shall also require the employer to notify each of its affected employees with regard to the wages that are required to be paid pursuant to this Chapter. Such agreement provisions shall also require the employer to pass along the requirements of this Chapter to subcontractors and subrecipients at any tier.
Notes
| 149 | Amended, Bill No. 140488 (approved July 30, 2014). |
Loading...