Minimum wage bill goes to governor’s desk, lowers wages for young Nebraskans
By Madison Perales
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NEBRASKA (KETV) — Nebraska’s minimum wage is one step away from being lowered for young people; a new cap on rate increases would also be implemented across the board.
The reintroduced bill passed final reading in the Capitol on Thursday and now heads to the governor’s desk.
KETV spoke with small businesses and a young person impacted by the measure.
Census data from 2024 reveals that around 16,000 16- to 19-year-olds in Douglas County are in the workforce.
Legislative bill 258 would lower the minimum wage for 14- and 15-year-olds from the current $15 an hour to $13.50. Sixteen- to 19-year-olds would be paid $13.50 for the first 90 days of training on the job.
“I’ve never seen minimum wage go down. Like, it’s only gone up,” said Debra McKnight, founding paster at Urban Abbey.
State senators in favor of the bill say the legislation will aid small businesses like Urban Abbey.
“Employers will be forced to cut costs by eliminating jobs altogether,” said Sen. Jane Raybould.
The bill would put a cap on minimum wage increases to 1.5%, or a 26-cent increase per year for everyone.
“We want something that is fixed and predictable,” Raybould said.
The measure would also create a $13.50-an-hour minimum wage for young people.
“If we didn’t care about this, we would leave this alone, and people ultimately would lose their jobs,” said Sen. Paul Strommen.
Raybould introduced LB 258 last legislative session, and Strommen prioritized the bill this session.
“Fourteen- and 15-year-olds are not entering the workforce with a resume full of skills, and that’s exactly the point,” Raybould said.
“They’re discouraged to know that what they are contributing isn’t seen as enough,” said Voices for Children’s Anahí Salazar.
Sixteen-year-old retail worker Lillian Twohig would feel the impact if she changed jobs, with her wages dropping to $13.50 an hour for the first 90 days on the job.
“It’s just going to be difficult for people to maybe just get used to it and feel like what they’re doing doesn’t matter as much as other people, which can be frustrating,” Twohig said.
Sen. John Cavanaugh opposed the bill, saying, “The thing we hear is their frustration with this Legislature undermining the will of the people.”
Cavanaugh was referring to the 2022 ballot initiative in which reports show about 60% of Nebraskans voted for a $15 minimum wage for everyone and an adjusted wage increase based on the current economy.
“I do think minimum wage should increase in relationship to the economy instead of a flat percentage,” McKnight said.
The bill still needs to be signed by Gov. Jim Pillen before it becomes law. If signed, it would be implemented 90 days after the legislative session ends.
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