California’s Minimum Wage to Increase


Oakland—Under landmark legislation to increase the minimum wage to $15 per hour over time, California’s minimum wage will increase on January 1 to $11 per hour for employers with 26 employees or more and $10.50 for employers with 25 or fewer employees.

State law requires that most California workers be paid the minimum wage. Some cities and counties have a local minimum wage that is higher than the state rate. Workers paid less than the minimum wage are urged to contact the Labor Commissioner’s Office in their area to file a wage claim.

Employers must post information on wages, hours and working conditions at a worksite area accessible to employees. Notices for the wage orders in English and Spanish can be downloaded and printed from the workplace postings page on the DIR website.

Governor Brown signed landmark legislation on April 4, 2016 making California the first state in the nation to commit to raising the minimum wage to $15 per hour statewide by 2022 for large businesses, and by 2023 for small businesses. The legislation increases the minimum wage over time, consistent with economic expansion, while providing safety valves to pause wage hikes if negative economic or budgetary conditions emerge.

Schedule for California Minimum Wage rate 2018-2023.

Date Minimum Wage for Employers with 25 Employees or Less Minimum Wage for Employers with 26 Employees or More
January 1, 2018 $10.50/hour $11.00/hour
January 1, 2019 $11.00/hour $12.00/hour
January 1, 2020 $12.00/hour $13.00/hour
January 1, 2021 $13.00/hour $14.00/hour
January 1, 2022 $14.00/hour $15.00/hour
January 1, 2023 $15.00/hour

 

The Department of Industrial Relations (DIR) today also posted its 2017 legislative digest, which summarizes new laws that impact workers and employers. Most of the chaptered bills included in the digest are slated to take effect on January 1, 2018.

The Labor Commissioner’s Office, officially known as the Division of Labor Standards Enforcement, is a division of DIR. Among its wide-ranging enforcement responsibilities, the Labor Commissioner’s Office adjudicates wage claims, inspects workplaces for wage and hour violations, investigates retaliation complaints and educates the public on labor laws.

In 2014, Commissioner Julie A. Su launched the Wage Theft is a Crime multilingual public awareness campaign. The campaign defines wage theft, educating workers on their rights and employers on their responsibilities under California labor laws. It also provides information on the resources available to workers to help them recover unpaid wages or report other labor law violations.

DIR protects and improves the health, safety and economic well-being of over 18 million wage earners, and helps their employers comply with state labor laws. DIR administers and enforces laws governing wages, hours and breaks, overtime, retaliation, workplace safety and health, apprenticeship training programs, and medical care and other benefits for injured workers.

DIR also publishes materials and holds workshops and seminars to promote healthy employment relations, conducts research to improve its programs, and coordinates with other agencies to target egregious violators of labor laws and tax laws in the underground economy.

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