For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB885, s. 1 1Section 1. 15.227 (1) of the statutes is created to read:
AB885,2,32 15.227 (1) Wage Council. There is created in the department of workforce
3development a wage council consisting of all of the following members:
AB885,3,3
1(a) Five representatives of employers, including a representative of an
2association that is primarily composed of small businesses, appointed by the
3secretary of workforce development for 3-year terms.
AB885,3,54 (b) Five representatives of employees appointed by the secretary of workforce
5development for 3-year terms.
AB885,3,96 (c) The chairpersons and ranking minority party members of one senate
7standing committee and one assembly standing committee concerned with labor
8issues, appointed as are the members of standing committees in their respective
9houses.
AB885,3,1210 (d) Five representatives of the public interest who do not have the
11qualifications of the members described in pars. (a) to (c) appointed by the secretary
12of workforce development for 3-year terms.
AB885, s. 2 13Section 2. 19.85 (1) (ej) of the statutes is created to read:
AB885,3,1614 19.85 (1) (ej) Deliberating by the wage council in a meeting at which all
15employer members of the council or all employee members of the council are
16excluded.
AB885, s. 3 17Section 3. 104.04 of the statutes is amended to read:
AB885,4,8 18104.04 Classifications; department's authority. The department, with the
19assistance of the wage council as provided in s. 104.06,
shall investigate, ascertain,
20determine, and fix such reasonable classifications, and shall impose general or
21special orders, determining the living wage, and shall carry out the purposes of this
22chapter. Such investigations, classifications, and orders shall be made as provided
23under s. 103.005, and the penalties specified in s. 103.005 (12) shall apply to and be
24imposed for any violation of this chapter. In determining the living wage, the
25department may consider the effect that an increase in the living wage might have

1on the economy of the state, including the effect of a living wage increase on job
2creation, retention, and expansion, on the availability of entry-level jobs, and on
3regional economic conditions within the state
and the wage council shall use the
4procedures specified in s. 104.06. A living wage determined under this section shall
5be the living wage for all employees within the same class as established by the
6classification of the department
. The department may not establish a different
7minimum wage for men and women. Said orders shall be subject to review in the
8manner provided in ch. 227.
AB885, s. 4 9Section 4. 104.06 of the statutes is repealed and recreated to read:
AB885,4,15 10104.06 Wage council; determination of living wage. (1) Living wage
11study and recommendations.
(a) Early in each regular session of the legislature, the
12wage council shall convene for the purpose of studying the need for an increase in the
13living wage and making recommendations to the department for any changes in the
14living wage that may be necessary to ensure that the wages paid to any employee are
15a living wage.
AB885,4,1816 (b) The wage council, in conducting the study and making the
17recommendations under par. (a), and the department, in revising the living wage
18under sub. (3), shall consider all of the following:
AB885,5,219 1. The percentage difference between the consumer price index, as defined in
20s. 111.397 (2) (d) 1., for the 12-month period ending on December 31 of the preceding
21year and the consumer price index for the 12-month period ending on December 31
22of the most recent even-numbered year before the preceding year, except that the
23wage council may not consider that percentage difference if the consumer price index
24for the 12-month period ending on December 31 of the preceding year did not

1increase over the consumer price index for the 12-month period ending on December
231 of the most recent even-numbered year before the preceding year.
AB885,5,53 2. The effect that any change in the consumer price index might have on the
4real incomes of employees in this state, unless the department is precluded from
5considering such a change under subd. 1.
AB885,5,116 (c) The wage council, in conducting the study and making the
7recommendations under par. (a), and the department, in revising the living wage
8under sub. (3), may also consider the effect that an increase in the living wage might
9have on the economy of the state, including the effect of a living wage increase on job
10creation, retention, and expansion; on the availability of entry-level jobs; and on
11regional economic conditions within the state.
AB885,5,1512 (d) If the wage council recommends an increase in the living wage for a class
13of employees for whom the living wage is determined on an hourly basis, the wage
14council shall recommend the same increase for all classes of employees for whom the
15living wage is determined on a hourly basis.
AB885,5,21 16(2) Report of findings and recommendations. The wage council shall submit
17a report of its findings and recommendations, together with an explanation for those
18findings and recommendations, to the secretary, the governor, the speaker of the
19assembly, the senate majority leader, and the minority leaders of each house of the
20legislature and to the standing committee of each house of the the legislature that
21is concerned with labor issues under s. 13.172 (3).
AB885,6,4 22(3) Rules revising living wage. The department shall consider the findings
23and recommendations of the wage council and, if the department approves those
24findings and recommendations, the department, using the procedures under s.
25227.24, may promulgate rules to revise the living wage. Notwithstanding s. 227.24

1(1) (a), (2) (b), and (3), the department may promulgate an emergency rule under s.
2227.24 revising the living wage without providing evidence that the emergency rule
3is necessary to preserve the public peace, health, safety, or welfare and without a
4finding of emergency.
AB885,6,12 5(4) Other living wage increases not precluded. The biennial living wage
6revision procedure specified in subs. (1) to (3) does not preclude the department from
7promulgating rules to increase the living wage at other times if, upon investigation,
8the department finds that there is reasonable cause to believe that the wages paid
9to any employee are not a living wage. If the department makes that finding, the
10department shall convene the wage council, which shall study the need for an
11increase in the living wage as provided in sub. (1) and report its findings and
12recommendations as provided in sub. (2).
AB885, s. 5 13Section 5. Nonstatutory provisions.
AB885,6,1714 (1) Wage council; initial terms. Notwithstanding the length of terms specified
15for the members of the wage council specified under section 15. 227 (1) (a), (b), and
16(d) of the statutes, as created by this act, the initial members specified in those
17paragraphs shall be appointed for the following terms:
AB885,6,2218 (a) One of the initial members specified under section 15.227 (1) (a) of the
19statutes, as created by this act, one of the initial members specified under section
2015.227 (1) (b) of the statutes, as created by this act, and one of the initial members
21specified under section 15.227 (1) (d) of the statutes, as created by this act, shall be
22appointed for a terms that expires on June 1, 2011.
AB885,7,223 (b) Two of the initial members specified under section 15.227 (1) (a) of the
24statutes, as created by this act, two of the initial members specified under section
2515.227 (1) (b) of the statutes, as created by this act, and two of the initial members

1specified under section 15.227 (1) (d) of the statutes, as created by this act, shall be
2appointed for a terms that expires on June 1, 2012.
AB885,7,73 (c) Two of the initial members specified under section 15.227 (1) (a) of the
4statutes, as created by this act, two of the initial members specified under section
515.227 (1) (b) of the statutes, as created by this act, and two of the initial members
6specified under section 15.227 (1) (d) of the statutes, as created by this act, shall be
7appointed for a terms that expires on June 1, 2013.
AB885, s. 6 8Section 6. Effective date.
AB885,7,99 (1) Wage council. This act takes effect on January 1, 2011.
AB885,7,1010 (End)
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