HB 2446: DLIR; Wage and Hour Law; Community Wage Theft Enforcement Partnership Program; Appropriation

A BILL FOR AN ACT

RELATING TO THE WAGE AND HOUR LAW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that wage theft remains a persistent problem in Hawaii, disproportionately impacting low‑wage, immigrant, and other vulnerable workers.  Although existing law provides strong wage and hour protections, enforcement remains primarily complaint‑driven, limiting effectiveness when workers face language barriers, fear retaliation, or lack access to trusted reporting channels.

     The legislature further finds that community-based enforcement partnerships have proven effective in increasing compliance, improving detection of violations, and strengthening worker trust without expanding regulatory burdens on compliant employers.

     The purpose of this Act is to supplement existing enforcement under the wage and hour law by authorizing the department of labor and industrial relations to partner with trusted community-based organizations to enhance outreach, referrals, and the recovery of stolen wages.

     SECTION 2.  Chapter 387, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§387-     Community wage theft enforcement partnership program.  (a)  The department may establish a community wage theft enforcement partnership program to support enforcement of this chapter.

     (b)  Under the community wage theft enforcement partnership program, the department may enter into contracts or memoranda of agreement with community-based organizations to:

     (1)  Provide education to workers regarding wage and hour rights under this chapter;

     (2)  Assist workers in documenting potential wage and hour violations;

     (3)  Refer suspected violations to the wage standards division for investigation; and

     (4)  Provide navigation and language-access support during the enforcement process.

     (c)  Community-based organizations participating in the program shall not conduct investigations or exercise enforcement authority.

     (d)  Information obtained through the community wage theft enforcement partnership program may be used by the department to initiate or support investigations, audits, or enforcement actions under this chapter.

     (e)  No employer shall retaliate against an employee for participating in, or receiving assistance through, the community wage theft enforcement partnership program.  Retaliation shall be subject to penalties and remedies pursuant to section 387-12.

     (f)  The department shall submit an annual report describing activities of the community wage theft enforcement partnership program, including the number of partnerships established, workers assisted, and wages recovered to the legislature no later than twenty days prior to the convening of each regular session.

     (g)  Nothing in this section shall be construed to limit, delay, or replace the department's existing enforcement authority or complaint intake process.

     (h)  For purposes of this section, "community-based organization" means a nonprofit corporation incorporated in the State that is organized and controlled by either a geographic community, a community of identity, or a community of interest and that is directly involved in community-based economic development activities that demonstrated experience serving low-wage or vulnerable worker populations and has the capacity to protect confidentiality."

     SECTION 3.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2026-2027 for the community wage theft enforcement partnership program.

     The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this Act.

     SECTION 4.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 3000.

Report Title:

DLIR; Wage and Hour Law; Community Wage Theft Enforcement Partnership Program; Appropriation

Description:

Authorizes the Department of Labor and Industrial Relations to establish a Community Wage Theft Enforcement Partnership Program and enter into contracts or memoranda of agreements with community-based organizations to enhance outreach, referral, and recovery of stolen wages.  Appropriates funds.  Effective 7/1/3000.  (HD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

relating to the wage and hour law.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that wage theft remains a persistent problem in Hawaii, disproportionately impacting low‑wage, immigrant, and other vulnerable workers.  Although existing law provides strong wage and hour protections, enforcement remains primarily complaint‑driven, limiting effectiveness when workers face language barriers, fear retaliation, or lack access to trusted reporting channels.

     The legislature further finds that community‑based enforcement partnerships have proven effective in increasing compliance, improving detection of violations, and strengthening worker trust without expanding regulatory burdens on compliant employers.

     The purpose of this Act is to supplement existing enforcement under the wage and hour law by authorizing the department of labor and industrial relations to partner with trusted community‑based organizations to enhance outreach, referrals, and the recovery of stolen wages.

     SECTION 2.  Chapter 387, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§387-     Community wage theft enforcement partnership program.  (a)  The department may establish a community wage theft enforcement partnership program to support enforcement of this chapter.

     (b)  Under the community wage theft enforcement partnership program, the department may enter into contracts or memoranda of agreement with community-based organizations to:

     (1)  Provide education to workers regarding wage and hour rights under this chapter;

     (2)  Assist workers in documenting potential wage and hour violations;

     (3)  Refer suspected violations to the wage standards division for investigation; and

     (4)  Provide navigation and language-access support during the enforcement process.

     (c)  Community-based organizations participating in the program shall not conduct investigations or exercise enforcement authority.

     (d)  Information obtained through the community wage theft enforcement partnership program may be used by the department to initiate or support investigations, audits, or enforcement actions under this chapter.

     (e)  No employer shall retaliate against an employee for participating in, or receiving assistance through, the community wage theft enforcement partnership program.  Retaliation shall be subject to penalties and remedies pursuant to section 387-12.

     (f)  The department shall submit an annual report describing activities of the community wage theft enforcement partnership program, including the number of partnerships established, workers assisted, and wages recovered to the legislature no later than twenty days prior to the convening of each regular session.

     (g)  Nothing in this section shall be construed to limit, delay, or replace the department's existing enforcement authority or complaint intake process.

     (h)  For purposes of this section, "community-based organization" means a nonprofit corporation incorporated in the State that is organized and controlled by either a geographic community, a community of identity, or a community of interest and that is directly involved in community-based economic development activities that demonstrated experience serving low-wage or vulnerable worker populations and has the capacity to protect confidentiality."

     SECTION 3.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2026-2027 for the community wage theft enforcement partnership program.

     The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this Act.

     SECTION 4.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2026.

Report Title:

DLIR; Wage and Hour Law; Community Wage Theft Enforcement Partnership Program; Appropriation

Description:

Authorizes the Department of Labor and Industrial Relations to establish a Community Wage Theft Enforcement Partnership Program and enter into contracts or memoranda of agreements with community-based organizations to enhance outreach, referral, and recovery of stolen wages.  Appropriates funds.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

STAND. COM. REP. NO.  184-26

Honolulu, Hawaii

                , 2026

RE:   H.B. No. 2446

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

     Your Committee on Labor, to which was referred H.B. No. 2446 entitled:

"A BILL FOR AN ACT RELATING TO THE WAGE AND HOUR LAW,"

begs leave to report as follows:

     The purpose of this measure is to authorize the Department of Labor and Industrial Relations to establish a Community Wage Theft Enforcement Partnership Program and enter into contracts or memoranda of agreements with community‑based organizations to enhance outreach, referral, and recovery of stolen wages.

     Your Committee received testimony in support of this measure from the Hawaiʻi Appleseed Center for Law & Economic Justice; Hawaiʻi Workers Center; RiMETO Organization; Hawaii Coalition for Immigrant Rights; and numerous individuals.  Your Committee received comments on this measure from the Department of Labor and Industrial Relations.

     Your Committee finds that wage theft continues to disproportionately impact low‑wage and immigrant workers who often lack safe, trusted avenues to report violations.  A complaint‑driven enforcement model relies on workers overcoming barriers such as fear of retaliation and limited language access, leading to significant under‑reporting.  This measure strengthens enforcement by enabling the Department of Labor and Industrial Relations to partner with community‑based organizations that can assist workers in documenting violations, navigating the enforcement process, and improving access to recovery of stolen wages.

     Your Committee has amended this measure by:

     (1)  Changing the effective date to July 1, 3000, to encourage further discussion; and

     (2)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2446, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2446, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

Respectfully submitted on behalf of the members of the Committee on Labor,