Labor Income Fairness and Transparency Act

The Labor Income Fairness and Transparency Act (LIFT Act) would dramatically raise the federal minimum wage over several years, phase out subminimum wage categories (for youth, student learners, full-time student programs, and certain special certificates), and tighten tip rules while expanding protections and enforcement. It also adds new federal roles and funding: a National Advisory Committee on the Hospitality Industry, greater state grant authority to improve wage enforcement, higher civil penalties for violations, and a prohibition on reducing Wage and Hour Division investigators. In addition, the bill makes permanent and expands COVID-era improvements to the Earned Income Tax Credit (EITC). Most provisions become effective one year after enactment, with some penalties and specific rule changes taking effect on shorter timelines.