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Hoge Fenton Legal Update: California’s Minimum Wage On The Rise

On September 25, 2013, Governor Brown signed Assembly Bill 10, raising the minimum wage in California from $8.00 per hour to $10.00 per hour over two years.

The new law currently schedules the first increase in minimum wage to $9.00 per hour on July 1, 2014. The state minimum wage is then scheduled to increase to $10.00 per hour on January 1, 2016.

Both San Jose and San Francisco already have city-wide minimum wage ordinances setting minimum wage in excess of $10.00 per hour. San Jose’s Minimum Wage Ordinance was passed by voters on November 6, 2012, requiring employees be paid a minimum wage of $10.00 per hour for work performed within San Jose. Effective January 1, 2014, minimum wage in San Jose will increase to $10.15 per hour. San Francisco’s minimum wage is currently $10.55 per hour. San Francisco has not yet announced its minimum wage rate for 2014.

We will continue to keep you apprised of any changes to the minimum wage increase schedule. We will also discuss the details and impact of the minimum wage increase, as well as other recent legislative and case law developments in employment law, during our annual employment law update seminars in January 2014. Stay tuned.

For questions about this and other employment issues, please contact Jennifer M. Protas.