Minimum Wage Plan Could Hit House Floor This Week

By Jim Burns | July 7, 2008 | 8:25 PM EDT

( - House Republican Leaders expect the "Minimum Wage State Flexibility Act of 1999" to see floor action this week, although the final package structure and its fate are both uncertain.

Other minimum wage packages were discussed during a meeting of House and Senate leaders on Capitol Hill on Friday. House Republican Leader Dick Armey (R-TX) said the Flexibility plan definitely will see floor action this week, probably on Wednesday.

The GOP minimum wage plan has been proposed by Rep. Jim DeMint (R-SC) and it would allow states to opt out of any minimum wage hike. DeMint told a Washington meeting of conservatives last week that the amendment is picking up substantial support.

DeMint said his legislation would amend the Fair Labor Standards Act of 1938 to provide an exemption to states that adopt certain minimum wage laws.

The legislation also says that "an employer in a state that adopts minimum wage legislation shall not be required to pay its employees at the minimum wage."

But the legislation would not apply to states that adopt minimum wage legislation that sets a minimum wage at less than $5.15 an hour.

Most of the bill's tax relief provisions were contained in the GOP's $792 billion tax cut that was vetoed by President Clinton. House Speaker Dennis Hastert (R-IL) is scheduled to meet with House Ways and Means Committee chairman Bill Archer (R-TX) Monday on the issue.