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At EveryBusiness HR Essentials (EBHR), we strive to keep you informed about crucial regulatory updates affecting your business operations. While most minimum wage adjustments take effect at the beginning of the year, several cities and counties implement them mid-year.On July 1, the following California localities will see an increase in their minimum wage rates:
Alameda: $17.00 per hour
Berkeley: $18.67 per hour
Emeryville: $19.36 per hour
Fremont: $17.30 per hour
Los Angeles City: $17.28 per hour
Los Angeles County (unincorporated areas): $17.27 per hour
Malibu: $17.27 per hour
Milpitas: $17.70 per hour
Pasadena: $17.50 per hour
San Francisco: $18.67 per hour
Santa Monica: $17.27 per hour
Employers Must:
- Determine Applicability: Confirm the cities where your employees work, including remote employees, to identify if any local minimum wage ordinances apply. Remember: eligibility rules may vary by location
- Review and Adjust Wage Rates: Evaluate your employees’ hourly wages and make necessary adjustments to ensure compliance with the new rates by the July 1 deadline
For salaried exempt employees, keep in mind that the state minimum wage applies for determining the exempt salary rate, not the city or county minimum wage. Exempt salaried employees must earn no less than two times the state’s minimum wage for full-time work. As of January 1, 2024, the state minimum wage was $16 an hour; thus, the current exempt salary threshold is $66,560 a year.
Staying proactive in adjusting wage rates not only ensures compliance but also supports fair labor practices and employee satisfaction. If you have any questions or need further assistance, please do not hesitate to reach out to our team!
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