New 2020 Local Minimum Wage Ordinances
More California cities continue to adopt local minimum wage ordinances (MWO). Three new cities have local minimum wage ordinances beginning January 1, 2020 — Menlo Park, Novato and South San Francisco. Don’t forget, earlier this year, both Sonoma and Petaluma established local minimum wages, which are higher than what is required under California law and also begin on January 1, 2020.
Starting January 1, 2020, Menlo Park’s minimum wage rate will be $15 per hour. The MWO applies to all employers who are subject to the city’s business license requirements, conduct business in Menlo Park or maintain a business facility in Menlo Park. All employees who work at least two hours in one calendar week within the geographic boundaries of Menlo Park must be paid the minimum wage rate.
On January 1, 2020, Novato’s minimum wage will be the same as California’s state minimum wage: $13 per hour for employers with 26 or more employees and $12 per hour for employers with 25 or fewer employees. Then, on July 1, 2020, the minimum wage will increase, surpassing the state minimum wage to:
- $15 per hour for “very large” employers with 100 or more employees;
- $14 per hour for “large” employers with 26-99 employees; and
- $13 per hour for “small” employers with 25 or fewer employees.
The minimum wage will increase again on January 1, 2021, and annually thereafter. The MWO covers all employees who perform more than two hours of work in a particular week within the geographic boundaries of Novato.
South San Francisco
On January 1, 2020, South San Francisco’s minimum wage rate will be $15 per hour. The MWO covers all employees who perform at least two hours of work within the city limits. While many MWOs provide a potential exception for employees covered by a collective bargaining agreement that waives the ordinance’s requirements, South San Francisco’s MWO does not.
Employer Posting Requirements
Under the above MWOs, employers will be required to provide employee notices and follow record retention requirements. Employers in violation may be subject to local fines, penalties and civil actions.
CalChamber sells required local California city and county labor law posters that are compliant with various local ordinances. Check our store for your local labor law poster needs.
CalChamber members can use the Local Ordinances Wizard to determine if any local ordinances or labor law posters apply to your business or location(s). Not a member? See what CalChamber can do for you.