I 
119TH CONGRESS 
1ST SESSION H. R. 3438 
To amend the Fair Labor Standards Act of 1938 to provide for a Federal, 
cost-of-living based minimum wage, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 15, 2025 
Mr. FITZPATRICK (for himself and Ms. PEREZ) introduced the following bill; 
which was referred to the Committee on Education and Workforce 
A BILL 
To amend the Fair Labor Standards Act of 1938 to provide 
for a Federal, cost-of-living based minimum wage, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Fair Wage Act of 
2025’’. 
SEC. 2. COST-OF-LIVING BASED MINIMUM WAGE. 
(a) IN GENERAL.—Section 6(a)(1) of the Fair Labor 
Standards Act of 1938 (29 U.S.C. 206(a)(1)) is amended 
to read as follows: 
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‘‘(1) except as otherwise provided in this sec-
tion, not less than the amount determined by the 
Secretary under subsection (h) for the metropolitan 
statistical area or the nonmetropolitan portion in 
which the employer resides;’’. 
(b) 
DETERMINATION
OF
REGIONAL
MINIMUM 
WAGE.—Section 6 of the Fair Labor Standards Act of 
1938 (29 U.S.C. 206) is amended by adding at the end 
the following: 
‘‘(h) DETERMINATION OF MINIMUM WAGE.— 
‘‘(1)(A) On the effective date of the Fair Wage 
Act of 2025, the wage determined under this para-
graph for a metropolitan statistical area or non-
metropolitan portion shall be equal to the result ob-
tained— 
‘‘(i) by multiplying— 
‘‘(I) 40 percent of the national aver-
age hourly wage of private sector, non-su-
pervisory workers (as reported by the Bu-
reau of Labor Statistics of the Department 
of Labor for the most recent month for 
which data are available); by 
‘‘(II) the adjustment percentage speci-
fied in paragraph (2) for the area or por-
tion; and 
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‘‘(ii) by rounding the result obtained under 
clause (i) to the nearest tenth of a dollar. 
‘‘(B) Not later than 1 year after such effective 
date, subparagraph (A)(i)(I) shall be applied by sub-
stituting ‘45 percent’ for ‘40 percent’. 
‘‘(C) Not later than 2 years after such effective 
date, subparagraph (A)(i)(I) shall be applied by sub-
stituting ‘50 percent’ for ‘40 percent’. 
‘‘(D) Not later than 5 years after such effective 
date, and for each 3-year period thereafter, the wage 
determined under this paragraph for a metropolitan 
statistical area or nonmetropolitan portion shall be 
equal to the greater of— 
‘‘(i) the result obtained under subpara-
graph (C); or 
‘‘(ii) the wage determined under this para-
graph for such area or portion for the preceding 
three-year period. 
‘‘(2) The adjustment percentage specified in 
this paragraph for a metropolitan statistical area or 
nonmetropolitan portion shall be— 
‘‘(A) 87.5 percent, for a metropolitan sta-
tistical area or nonmetropolitan portion with a 
regional price parity of less than 90; 
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‘‘(B) 92.5 percent, for a metropolitan sta-
tistical area or nonmetropolitan portion with a 
regional price parity of less than 95, but not 
less than 90; 
‘‘(C) 100 percent, for a metropolitan sta-
tistical area or nonmetropolitan portion with a 
regional price parity of less than 105, but not 
less than 95; 
‘‘(D) 107.5 percent, for a metropolitan sta-
tistical area or nonmetropolitan portion with a 
regional price parity of less than 110, but not 
less than 105; and 
‘‘(E) 115 percent, for a metropolitan sta-
tistical area or nonmetropolitan portion with a 
regional price parity of not less than 110. 
‘‘(3) In this subsection: 
‘‘(A) The term ‘metropolitan statistical 
area’ means a geographic area, defined by the 
Office of Management and Budget for statis-
tical purposes, containing a large population 
nucleus and adjacent communities having a 
high degree of social and economic integration 
with that nucleus. 
‘‘(B) The term ‘nonmetropolitan portion’ 
means any county (or portion thereof) which is 
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ropolitan statistical area or the nonmetropolitan portion 
in which the employer resides’’. 
SEC. 4. MINIMUM WAGE FOR NEWLY HIRED EMPLOYEES 
WHO ARE 18 YEARS OLD OR YOUNGER. 
Section 6(g) of the Fair Labor Standards Act of 
1938 (29 U.S.C. 206(g)) is amended— 
(1) in paragraph (1), by striking ‘‘a wage which 
is not less than $4.25 an hour’’ and inserting ‘‘a 
wage which is not less than 2/3 of the wage deter-
mined under subsection (a)(1) for the metropolitan 
statistical area or the nonmetropolitan portion in 
which the employer resides’’; and 
(2) in paragraph (5)— 
(A) by striking ‘‘has not attained the age 
of 20 years’’ and inserting ‘‘is the age of 18 
years or younger’’; and 
(B) by striking ‘‘25 years’’ and inserting 
‘‘24 years or younger’’. 
SEC. 5. EFFECTIVE DATE. 
The amendments and repeals made by this Act shall 
take effect on the first day of the third month that begins 
after the date of the enactment of this Act. 
Æ 
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