Labor & Employment (Minimum Wage)

SB 245, titled "Tip pooling," authorizes restaurants and hospitality businesses to group customer tips for distribution among eligible staff under specific, defined circumstances. The bill directly affects tipped workers (like servers and bartenders) and their employers by establishing clear rules for how tips can be shared. It passed the House unanimously (44-1) on January 22, 2026, and now moves to the next legislative stage, with no further details provided on the exact conditions for pooling.

Provides that, for each school year beginning after June 30, 2027, a school corporation shall, if the school corporation determines that the school corporation cannot establish a minimum salary of $60,000 (instead of $40,000 under current law) for each full-time teacher, comply with certain requirements.

Updates or amends certain portions of the definition of "employee". Provides that an employer who knowingly sells merchandise or supplies to an employee for higher than the market price commits a Class C infraction. Provides that an employer must pay each employee at least semimonthly or biweekly the amount due the employee. (Current law gives the employee the choice.) Provides that a wage assignment: (1) is not required to have a revocation provision on or after July 1, 2026; and (2) may benefit the employer under certain circumstances. Specifies that an employee may bring an action under certain wage provisions if an employer makes an improper wage deduction. Reorganizes certain minimum wage and wage claim provisions. Changes the statute of limitations with respect to certain minimum wage and wage claim provisions. Makes technical and conforming changes.