July is just around the corner, and with it comes several local minimum wage increases throughout California. Here’s a list of localities that will have minimum wage increases effective July 1, 2020:
- Alameda: $15/hour.
- Berkeley: $16.07/hour.
- Emeryville: $16.84/hour;
- Fremont: $15/hour for employers with 26 or more employees; $13.50/hour for employers with 25 or fewer employees.
- Los Angeles City: $15/hour for employers with 26 or more employees; $14.25/hour for employers with 25 or fewer employees.
- Los Angeles County (unincorporated areas): $15/hour for employers with 26 or more employees; $14.25/hour for employers with 25 or fewer employees.
- Malibu: $15/hour for employers with 26 or more employees; $14.25/hour for employers with 25 or fewer employees.
- Milpitas: $15.40/hour.
- Novato: $15/hour for employers with 100 or more employees; $14/hour for employers with 26-99 employees; $13/hour for employers with 25 or fewer employees.
- Pasadena: $15/hour for employers with 26 or more employees; $14.25/hour for employers with 25 or fewer employees.
- San Francisco: $16.07/hour.
- San Leandro: $15/hour.
- Santa Monica: $15/hour for employers with 26 or more employees; $14.25/hour for employers with 25 or fewer employees.
- (NEW) Santa Rosa: $15/hour for employers with 26 or more employees; $14/hour for employers with 25 or fewer employees.
Note: Eligibility rules may vary based on different locations
Santa Rosa’s City Council recently considered whether to delay the implementation of the city’s minimum wage ordinance due to businesses’ struggles amid the COVID-19 pandemic but, ultimately, decided to proceed as planned. Santa Rosa’s minimum wage rates will increase again on January 1, 2021, and will be $15/hour plus annual adjustments based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for both large and small businesses.
Minimum Wage Delays
Due to the economic burdens imposed on businesses due to COVID-19, two city councils did decide to delay implementation of their recently adopted minimum wage ordinances: Hayward and San Carlos. Initially slated to take effect on July 1, 2020, both localities’ minimum wage rates will increase beginning January 1, 2021.
San Francisco Paid Parental Leave Ordinance Expansion
San Francisco’s Paid Parental Leave Ordinance, which requires employers to provide supplemental compensation to employees collecting California Paid Family Leave wage replacement benefits, will increase paid supplementation from six weeks to eight weeks on July 1, 2020. This aligns the ordinance with the state’s expansion of Paid Family Leave benefits for all claim effective dates beginning on or after July 1, 2020. A new poster is anticipated.
Many of these local ordinances contain notice requirements, but, thankfully, the CalChamber store sells required posters that are compliant with various California city and county local ordinances. Check to see if your city or county has any required posters.
Employers should review their hourly wage rates for their employees working in any local jurisdictions listed above and make any necessary adjustments by July 1 to comply. Don’t forget to pay attention to where your remote employees are located, as they could be subject to local minimum wage and other ordinances they may not typically be when reporting to the worksite.
Bianca Saad, Employment Law Subject Matter Expert, CalChamber
CalChamber members can use the Local Ordinances Wizard to determine the local ordinances and labor law posters that apply to their business or location(s). Not a member? See how CalChamber can help you.
