While some localities adjust their minimum wage on January 1 each year, others change the rate on July 1. Effective July 1, 2020, several localities throughout California will be raising their minimum wage requirements for employers. Specifically, minimum wage on July 1, 2020 will be elevated to $15 per hour for some or all employers (depending on size) in the City and County of Alameda City, Fremont, Novato, San Leandro, and Santa Rosa, Los Angeles, Malibu, Santa Monica, Pasadena. However, this is not meant to be an exhaustive list, and each locality may have different rules that apply to their employers. For example, Santa Monica will require employers with 26 or more employees to increase their minimum wage to $15 per hour, but only to $14.25 for employers with 25 or fewer employees.
However, do not rush offer to increase your employees’ compensation to $15 per hour just yet. Employers need to make sure that their local city ordinances do not have increased minimum wage requirements. For example, effective July 1, 2020, San Francisco’s minimum wage will increase to $16.07 while Emeryville’s minimum wage requirement will be increased to $16.84 per hour.
Don’t forget the poster requirement as well—the City & County’s Minimum Wage updated poster reflecting the proper minimum wage must be displayed at each workplace or jobsite. If you have more than one location, make sure it is posted at each site.
For more information on compensating your employees properly or your to ensure you are following your localities minimum wage requirements, please contact the Employer Lawyers at Chauvel & Glatt.
The material in this article, provided by Chauvel & Glatt, is designed to provide informative and current information as of the date of the post. It should not be considered, nor is it intended to constitute, legal advice or promise similar outcomes. For information on your particular circumstances, please contact Chauvel & Glatt at 650-573-9500.