An Act to amend and reenact § 40.1-28.10 of the Code of Virginia, relating to minimum wage.
HB1 amends Virginia’s minimum wage law to accelerate the scheduled increases in the state hourly minimum wage and to extend the timeline for future adjustments. The bill raises the statutory wage floor in stages, moving the effective dates and dollar amounts forward so that the minimum wage reaches $12.77 per hour on January 1, 2026, then $13.75 on January 1, 2027, $15.00 on January 1, 2028, and remains tied to an inflation-adjusted state minimum wage beginning January 1, 2029. It also updates the date by which the Commissioner of Labor and Industry must calculate the annual inflation adjustment to October 1, 2028, with the adjusted rate taking effect each following January 1.
The bill preserves the existing rule that employers must pay the greater of the Virginia minimum wage or the federal minimum wage. It also retains the special treatment for certain employees in employer training programs, who may be paid at 75 percent of the Virginia minimum wage for up to 90 days if the program meets regulatory standards. In practical terms, HB1 increases labor costs for employers subject to Virginia wage law and raises earnings for low-wage workers across the Commonwealth, while making the minimum wage more responsive to inflation over time.
The available record does not include committee transcripts or recorded floor debate, so there is no direct evidence of the arguments made for or against the bill in committee. The voting history provided is also empty, but the bill was ultimately enacted as Chapter 350 and approved on April 8, 2026, indicating it received sufficient legislative support to become law.
Based on the substance of the measure, the likely general sentiment is favorable toward wage increases and cost-of-living adjustments, especially among supporters of higher pay for low-income workers. At the same time, the bill’s main point of contention would be the effect on employers, particularly small businesses and labor-intensive industries, which may view the accelerated wage schedule and inflation indexing as increasing operating costs and potentially affecting hiring, pricing, or staffing decisions.
HB1 directly amends § 40.1-28.10 of the Code of Virginia, changing the state’s minimum wage schedule and the timing of future adjustments. It shifts the statutory wage increases to later calendar dates with higher dollar amounts than previously scheduled, and it establishes an inflation-indexed minimum wage beginning in 2029. The bill affects employers statewide, especially those paying at or near the minimum wage, and benefits employees earning low wages by increasing the legally required pay floor.
No committee transcripts or vote tallies are available in the provided record, so the specific debate is unknown. The bill’s enactment suggests it had enough support to pass, and its policy direction indicates a generally pro-worker, pro-wage-increase sentiment. Any opposition likely centered on employer cost concerns rather than on the legal mechanics of the amendment.
The principal likely point of contention is the economic impact on employers, especially small businesses, restaurants, retail, and other sectors with large numbers of minimum-wage workers. Supporters would emphasize higher take-home pay and inflation protection for workers, while critics would likely argue that faster wage increases and automatic CPI-based indexing could raise labor costs, compress wage scales, and create pressure on prices or employment. Another possible issue is the continued use of a reduced training wage for certain employees, though the bill leaves that structure intact.