It’s that time to update your payroll again! Twelve cities and counties throughout the state of California will again be updating their minimum wage. Until December 31, 2019, the current state-wide California minimum wage is $11.00 per hour for companies with 25 or fewer employees, and $12.00 per hour for employers with 26 or more employees. You can find the most updated information about California minimum wage on the Department of Industrial Relations website. The minimum wage shall be adjusted on a yearly basis through 2023 according to the pre-set schedule shown on the DIR website.
The following cities will be updating their minimum wage to reflect the following hourly rates below. Of note, some cities have different wages based on the number of employees they have–25 or less, or 26 or more:
- Alameda – $13.50
- Berkeley – $15.59
- Emeryville – $16.30
- Fremont (26 or more employees) – $13.50
- City of Los Angeles (25 or fewer employees) – $13.25
- City of Los Angeles (26 or more employees) – $14.25
- Unincorporated Los Angeles County (25 or fewer) – $13.25 (Unincorporated LA County generally mirrors the minimum wage rates in the City of Los Angeles)
- Unincorporated Los Angeles County (26 or more) – $14.25
- Malibu (25 or fewer employees) – $13.25
- Malibu (26 or more employees) – $14.25
- Milpitas – $15.00
- Pasadena (25 or fewer employees) – $13.25
- Pasadena (26 or more) – $14.25
- San Francisco – $15.59
- San Leandro – $14.00
- Santa Monica (25 or fewer employees) – $13.25
- Santa Monica (26 or more employees) – $14.25
Be sure to inform your payroll company or and accounting department of these changes. In addition, changes in minimum wage may affect an employee’s exempt or non-exempt status, so it’s important to review how the change in minimum wage may affect this classification.
It’s always a good idea to provide your employees with an updated Notice to Employee form that reflects their change in wages. This form must be distributed to employees by California Labor Code section 2810.5. Please check your employees’ personnel files to ensure this form has been provided to them, and reflects the company’s up-to-date Paid Sick Leave and worker’s compensation information.
For more information on California minimum wage, or to review your current employment law policies and documentation, contact The Grady Firm.
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*This article is for informational purposes only, and does not constitute legal advice or create an attorney-client relationship. This article does not make any guarantees as to the outcome of a particular matter, as each matter has its own set of circumstances and must be evaluated individually by a licensed attorney.