California Minimum Wage Scale, Raising The Federal Minimum Wage To 15 By 2024 Would Lift Pay For Nearly 40 Million Workers Economic Policy Institute
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California has passed a law that allows for a steady increase in the minimum wage throughout a five year period.
Federal minimum wage history adjusted for inflation. These rates continue to increase annually until they reach 1500 per hour in 2022 for larger employers and in 2023 for those with 25 employees or less. All cities with increasing rates in 2020 will be well above the federal minimum wage of 725. Although there are some exceptions almost all employees in california must be paid the minimum wage as required by state law.
If a local minimum wage rate is more generous to employees than the state minimum wage rate employers must comply with the local law. Rate changes due to the minimum wage increase january 1 2020 due to the enactment of senate bill sb 3 the california minimum wage will increase to 1300 per hour effective january 1 2020 for employers with 26 or more employees and to 1200 per hour for employers with 25 or fewer employees. For january 1 2024 and thereafter the california minimum wage is automatically adjusted using a methodology tied to the consumer price index.
The california minimum wage was last changed in 2008 when it. From january 1 2017 to january 1 2022 the minimum wage will increase for employers employing 26 or more employees. Or the rate of change in the averages of the most recent july 1 to june 30 inclusive the period over the.
2020 california city minimum wage rates. California local minimum wage laws 2020. Currently in 2020 employers with 25 employees or fewer must pay a minimum wage of 1200 per hour.
The methodology for further increases essentially applies an increase over the prior minimum wage that is equal to the lesser of. You are entitled to be paid the higher state minimum wage. Californias state minimum wage rate is 1300 per hourthis is greater than the federal minimum wage of 725.
Effective january 1 2017 the minimum wage for all industries will be increased yearly. The 2020 state rate for california will be 12 for small employers and 13 for large employers. The minimum wage applies to most employees in california with limited exceptions including tipped employees some student workers and other exempt occupations.
In addition to californias statewide minimum wage increase many cities and counties have enacted their own minimum wage ordinances that exceed state wage requirements. One thing about minimum wage in california.
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