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Updated: New Mexico Legislature Compromises On Competing Minimum Wage Bills


Earlier last month, the New Mexico House and Senate compromised and agreed on a minimum wage hike for hourly workers in the state.

Readers will recall that there were two "competing" minimum wage bills working their way through the New Mexico Legislature this session:  House Bill 31 (which would raise the state's hourly minimum wage rate to $12/hour by 2021 and tied to the inflation rate and increased thereafter) and Senate Bill 437 (which would raise the state's hourly minimum wage rate to $10/hour by next April, but not have any inflation adjustments).  While House Bill 31 had the support of many advocacy groups and union representatives, Senate Bill 437 enjoyed the support of chambers of commerce and business groups in the state.  One of the key areas of contention, besides the different wage rates, was the fact that Senate Bill 437 did not have the inflation adjustment.

A few weeks ago, after much debate and disagreement over the competing bills, a compromised was reached in which the state's current hourly wage rate of $7.25/hour will increase to $9.00/hour in January 202, $10.50/hour in January 2021, $11.50/hour in January 2022, and $12.00/hour in January 2023.  There will be no increase for inflation.  Readers will note that this compromise mirrors the initial wording of Senate Bill 437, whereas House Bill 31 was "abandoned" for all intents and purposes.

On March 8, the Senate approved Senate Bill 437 with a 27 - 15 vote in favor.  On March 13, the House approved Senate Bill 437 with a 43 - 21 vote in favor (with 2 "excused" votes and 4 "absent" votes).  At this point, the legislation moves to Democratic Governor Michelle Lujan Grisham's desk for signature (or veto).  While some reports indicated the Governor wanted the inflation adjustment to be a part of any minimum wage legislation, this end result is a pretty good compromise that I would be surprised if she did not sign.  With that being said, until the Governor puts pen to paper, this minimum wage hike hangs in limbo.


For a copy of the amended language of Senate Bill 437:  https://www.nmlegis.gov/Sessions/19%20Regular/Amendments_In_Context/SB0437.pdf

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