Hazard pay refers to additional compensation provided to employees who perform hazardous job duties or work under dangerous conditions. In recent years, there have been various legislative bills introduced at the federal, state, and local levels regarding hazard pay requirements and protections. This article will provide an overview of key bills related to hazard pay, including what they cover and their status.
Background on Hazard Pay
Hazard pay is not mandated under federal wage and hour laws. The Fair Labor Standards Act (FLSA) only requires that hazard pay be included when calculating overtime rates for eligible employees.
In the absence of federal regulations, hazard pay policies are left to individual employers Some companies voluntarily offer hazard pay to compensate high-risk jobs Industries like construction, mining, fishing, and emergency response often provide hazard differentials.
During the COVID-19 pandemic, many jurisdictions passed laws temporarily mandating hazard pay for frontline essential workers facing virus exposure risks. These mandates spurred further legislative initiatives around permanent hazard pay regulations.
Federal Hazard Pay Bills
At the federal level several bills have aimed to establish national standards for hazard pay
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Heroes Fund Act – S.1767 (2020)
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Introduced by Senators Chuck Schumer and Elizabeth Warren
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Would have provided $13 per hour hazard pay increase for essential workers
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Did not pass Senate or become law
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Heros Act – H.R.6800 (2020)
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Passed House but not Senate
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Included $200 billion Heroes Fund for hazard pay for essential workers
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Essential Workers Bill of Rights Act – S.1384 (2021)
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Introduced by Senator Elizabeth Warren
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Would mandate ongoing hazard pay for essential workers
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Remains in committee, not yet passed
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Safe Working Conditions Act – S.777 (2021)
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Introduced by Senator Sherrod Brown
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Would require OSHA to mandate hazard pay via new safety standard
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Remains in committee, not yet passed
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No federal bills mandating permanent hazard pay have become law so far. However, advocates continue pushing for essential worker protections and requirements for hazard pay.
State and Local Hazard Pay Laws
In the absence of federal action, some state and local jurisdictions have passed their own hazard pay legislation:
State Level
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Washington – Provided grants to grocery and retail employers to provide hazard pay for essential employees
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Maryland – Established temporary wage increases for essential workers in grocery, food production, and agriculture
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Vermont – Required hazard pay for essential retail and grocery workers during the COVID-19 state of emergency
Local Level
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Seattle, WA – Passed a $4 per hour hazard pay mandate for grocery workers during the pandemic
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Los Angeles, CA – Required $5 per hour hazard pay for grocery and pharmacy workers
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San Jose, CA – Mandated a $5 per hour increase for frontline grocery workers
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San Francisco, CA – Passed an ordinance requiring $5 per hour hazard pay for employees at large grocers and pharmacies
These represent just a few examples of state and local hazard pay laws passed during the pandemic. The requirements varied but demonstrating a trend toward mandating extra pay for high-risk essential jobs.
Hazard Pay Bill Considerations
Legislators have considered several factors and issues when crafting hazard pay bills:
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Defining which industries and roles qualify as “essential” or “high-risk”
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Determining appropriate pay rates or percentages for the hazard differential
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Deciding which employers are covered by mandates based on size and revenue
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Implementing temporary vs permanent pay increases
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Accounting for impacts on businesses, prices, and employment
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Ensuring equal additional pay for all workers performing hazardous duties
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Covering hazard pay in union collective bargaining agreements
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Allowing state opt-outs or exemptions from federal mandates
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Including hazard pay as mandatory OSHA workplace protections
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Establishing tax credits to offset costs for employers
The ultimate fate of federal hazard pay bills remains uncertain. Passage faces hurdles around how extensively government can regulate pay and business operations. However, the COVID-19 pandemic brought renewed attention to compensating essential workers for occupational hazards. This could spur additional legislative and grassroots efforts for change.
Hazard Pay Resources
Workers who performed hazardous duty, especially during COVID-19, do have some resources available:
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File a wage claim for unpaid hazard pay owed under state law
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Consult an employee rights attorney about options for pursuing hazard pay
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Negotiate hazard pay through collective bargaining agreements
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Lobby state and local officials to pass hazard pay legislation
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Advocate for hazard pay regulations before federal agencies like OSHA
While no federal hazard pay mandates currently exist, affected employees still have options to pursue the pay they deserve for hazardous conditions. Workers can make their voices heard and elect officials who prioritize protections through legislative action.
Low-wage frontline workers deserve hazard pay
The case for hazard pay is especially urgent for the millions of frontline essential workers who earn low wages. From certified nursing assistants to housekeepers to farm laborers, the essential jobs that are vital to the country and require workers to risks their lives are disproportionately low-paying. We calculate that, as of 2018, nearly half (47%) of all frontline essential workers earned less than a living wage that can sustain a family.
Daryll Cox, a poultry plant worker in Virginia, is one of the nearly 19 million frontline essential workers who earn less than $15 an hour. In an interview this summer, Cox, who is Black, discussed the hardships of his job during the pandemic.
“It’s been a challenge for everybody,” Cox said. “We work around 600 people a night in a packed environment. You just have to pray and believe and hope that the person that you’re working next to is not infected.” He said the “fear of not knowing” causes great anxiety, “wondering if the person working just inches away from you has it, being scared if somebody coughs or sneezes.”
Cox said he enjoys his job, but laments the low wages he earns. Workers at his plant typically make $12 to $14 an hour—considerably less than a living wage. After paying taxes and insurance, Cox said there is little left to pay bills and support a family. He said that even a small hazard pay increase would make a difference.
“We’re not making much,” Cox said. “If you add $2 to $3 an hour, you’d get at least $15. To be in this environment with all the money that we know the company makes, I don’t think it would set back the company at all to at least show us appreciation by giving us a $2 to $3 raise. This is the sentiments of at least 85% of other employees.”
Hazard pay is one way to immediately correct the financial injustice for frontline essential workers who risk their lives—and their families’ lives—without the dignity of wages that can support them. But it is ultimately a stopgap measure—essential workers’ low wages reflect long-standing policy failures and illustrate the need for permanent reforms.
For over a decade, the federal minimum wage has remained stuck at $7.25 per hour, a wage so low it would put workers earning it below the poverty line. Meanwhile, there is overwhelming public support to raise it to $15 per hour. Frontline workers earning paltry wages deserve permanent pay increases and lasting changes to these policy failures. In the interim, hazard pay can make an immediate difference in their lives during the pandemic.
Ten largest low-wage frontline essential jobs that pay less than $15 per hour, 2018
Occupation | Number | Median wage | % Black | % Latino or Hispanic |
Personal care aides | 2,152,540 | $11.55 | 23% | 22% |
Cashiers | 1,959,950 | $10.78 | 17% | 18% |
Janitors and cleaners, except maids and housekeepers | 1,774,500 | $12.55 | 17% | 26% |
Laborers and freight, stock, and material movers | 1,471,370 | $13.59 | 22% | 21% |
Nursing assistants | 1,389,520 | $13.72 | 35% | 12% |
Stock clerks and order fillers | 1,146,110 | $12.36 | 18% | 19% |
Retail salespersons | 1,008,380 | $11.63 | 12% | 17% |
Security guards | 897,150 | $13.70 | 33% | 17% |
Home health aides | 775,890 | $11.63 | 37% | 17% |
Landscaping and groundskeeping workers | 751,150 | $13.94 | 11% |
33% |
Source: Brookings analysis of Department of Homeland Security, Bureau of Labor Statistics, and Emsi data
During our national reckoning over structural racism and inequality, hazard pay can also help address racial equity. Black and Latino or Hispanic workers are overrepresented among low-wage frontline essential workers. In 2018, Black workers comprised 13% of all U.S. workers, but made up 19% of all low-wage frontline essential workers. Latino or Hispanic workers comprised 16% of all U.S. workers, but 22% of low-wage frontline essential workers.
Millions of Black and Latino or Hispanic essential workers hold critical but undervalued jobs in caregiving and health care, cleaning, and other services, often earning poverty wages with few (if any) benefits. Hazard pay targeted to low-wage essential workers would disproportionately benefit workers of color, who too often are excluded from decent-paying work.
Seattle mayor to veto bill ending hazard pay for grocery workers
FAQ
What is normal hazard pay?
What is the government hazard pay?
What qualifies as hazard pay in California?
How much is hazard pay and imminent danger pay?
What is hazard pay?
Hazard pay is compensation added to a worker’s regular rate for performing hazardous duty. Hazard pay typically applies when an employee’s work duties cause extreme physical hardship or severe psychological distress. Positions that could qualify for hazard pay include:
What are the hazard pay laws?
Speak with an employment attorney near you to learn about the hazard pay laws in your area. Federal laws do not address hazard pay amounts. However, the Equal Pay Act states that if one employee receives hazard pay within your company, all employees in the same position and conditions must receive the same hazard pay.
Do employees get hazard pay?
Employees won’t usually receive hazard pay for all work performed. Instead, hazard pay is provided only for hours worked in hazardous conditions.
When can an employee get hazard pay?
An employee can get hazard pay when they are performing: Many jobs provide safety gear, safety precautions, and relevant counseling for these situations. When work is adequately alleviated by protective devices, it’s generally not subject to hazard pay. But when a serious risk remains, hazard pay is common.
Does hazard pay come with a contract?
Hazard pay may come with your contract for a dangerous position. State essential worker definitions differ when hazard pay is government-mandated. Many states defaulted to the federal guidelines outlined by the U.S. Cybersecurity and Infrastructure Security Agency (CISA).
Who needs to apply for hazard pay Grant funds?
Actually, employers are the ones who need to apply to receive hazard pay grant funds. If approved, they are then required to pay essential workers accordingly. After an employer becomes an “essential work employer,” it will be obligated to provide hazard pay (pandemic premium pay) to its essential workers.