On Jan. 1, the California minimum wage increased to $11 per hour for businesses with 26+ employees, and $10.50 per hour for businesses with 25 or fewer employees. The California minimum wage rates will increase annually, through 2023, to a maximum of $15 per hour.
Employers should take note, however, that some city minimum wages already exceed these new requirements. Those cities include Malibu, Pasadena, Santa Monica, Los Angeles City/County, San Francisco, Oakland, Berkeley, Santa Clara, San Jose and Sacramento. One of the highest minimum wages is found in Emeryville, where nonexempt employees are paid $15.20 per hour at businesses with 56 or more workers. In the City of Los Angeles, hotel workers make $15.66 per hour.
Following is a breakdown of the new state-wide minimum wage increases:
2018
- $11.00 – 26+ employees
- $10.50 – 25 and fewer employees
2019
- $12.00 – 26+ employees
- $11.00 – 25 and fewer employees
2020
- $13.00 – 26+ employees
- $12.00 – 25 and fewer employees
2021
- $14.00 – 26+ employees
- $13.00 – 25 and fewer employees
2022
- $15.00 – 26+ employees
- $14.00 – 25 and fewer employees
2023
- $15.00 – 26+ employees
- $15.00 – 25 and fewer employees
For more information, the California Chamber of Commerce offers a free download with details. https://www.calchamber.com/hr-california/Pages/california-minimum-wage.aspx?tsource=WSO
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