STATE EMPLOYEE SALARY & RETENTION CHANGES

HB 98 increases the minimum hourly wage for New Mexico state employees to $15 starting July 1, 2027, with future annual adjustments tied to the consumer price index. It also establishes new annual leave accrual rates based on years of service (ranging from 4.62 to 7.39 hours per pay period) and mandates 12 weeks of fully paid parental leave for eligible employees beginning July 2027. The bill requires state agencies to create remote work programs to improve recruitment and retention, particularly for rural New Mexico residents, while maintaining performance standards. These changes apply to all state employees except student workers and may be superseded by existing collective bargaining agreements.