One other wave of minimal wage will increase will roll by way of in about two weeks. On July 1, the minimal wage charges that have to be paid in cities and counties throughout California will rise. The native minimal wage will increase going into impact July 1 embody the next:
- San Francisco and Berkeley will every improve their minimal wage necessities from $16.99 to $18.07 per hour. Additionally in Northern California, Alameda, Emeryville, Milpitas, and Fremont will improve their minimal wage charges from between 77 cents and 99 cents per hour.
- The Metropolis of Los Angeles will improve its minimal wage from $16.04 to $16.78 per hour.
- The County of Los Angeles will improve its minimal wage for work carried out in unincorporated areas of the county from $15.96 to $16.90 per hour.
- Malibu and Santa Monica will every improve their minimal wage from $15.96 to $16.90 per hour. Santa Monica will improve its minimal wage for resort employees from $18.17 to $19.73.
- Pasadena will improve its minimal wage from $16.11 to $16.93 per hour.
- The grandaddy of all of them is the Metropolis of West Hollywood which can improve its minimal wage to $19.08 per hour for employers of all sizes! Presently, the town requires small employers to pay at the very least $17 per hour, giant employers to pay at the very least $17.50 per hour, and lodges to pay $18.35 or extra per hour. Positioned in Los Angeles County, West Hollywood continues to keep up the best minimal wage necessities of any jurisdiction in California.
The elevated wage charges above apply to work carried out within the specific metropolis or county. The wage charges are usually not decided by the place the employer relies.
The minimal wage necessities of every of the localities listed above exceed the present state minimal wage price of $15.50 per hour. The state minimal wage just isn’t at the moment scheduled for any additional improve. Nonetheless, an initiative named the Dwelling Wage Act of 2022 will seem on California ballots within the November 5, 2024 election. If accepted by voters, the initiative will mandate will increase within the statewide minimal wage as much as $18.00 per hour over the few years following the election.
The native minimal wage hikes above will govern the pay necessities for non-exempt staff. The native hikes won’t improve the minimal wage that have to be paid to categorise an worker as exempt as a result of that minimal wage requirement is tied to the statewide minimal wage, not native minimal wage ordinances. Given the present state minimal wage, the minimal wage required for exempt standing is $64,480.00 per 12 months.
Earlier than July 1, employers with staff in California ought to attend to the next:
The place are Your Minimal Wage Workers Working?
Step one in figuring out whether or not it is advisable take motion to adjust to the approaching minimal wage hikes is to know the place your minimal wage staff are working. The place are your distant staff particularly working? Are you positive you already know the place they’re working? Are any of your minimal wage staff working in any of the cities or counties with minimal wage hikes going into impact on July 1?
For workers whose hourly charges should improve no later than July 1, wage charges on paystubs and payroll processes must be up to date.
Adjust to Discover Necessities
Most of the localities with minimal wage figures set to extend on July 1 additionally require that employers replace office posters or give staff different discover of the up to date wage necessities. Some ordinances require that posters and notices be written in languages along with English. Distant employees needs to be emailed the required data.
Take into account the Impact Downstream
Clearly, when the minimal wage climbs, stress is probably going coming to extend the wage charges paid to non-exempt staff who’re paid at charges larger than the minimal and even to extend salaries for exempt staff. Assess how that dynamic is prone to play out in your workforce and put together.
When you have questions or we might help with this or different employment legislation challenges, please contact your Fox Rothschild LLP legal professional or the creator.
This submit offers normal data and doesn’t represent authorized recommendation to any individual with respect to any circumstance. This submit doesn’t create an attorney-client relationship with any individual.