Legislative Update 2025 (Part Four): California Minimum Wage Developments
January 24, 2025 by Beeson Tayer & Bodine
California Minimum Wage Developments
By: Leo MeltonNew California Minimum Wage – California voters this past November rejected Proposition 32, which would have raised the California minimum wage to $18 per hour, but the California minimum wage will increase nevertheless. On January 1, 2025, the minimum wage increased to $16.50 per hour, up $.50 from the 2024 minimum. Employers must display the new rate on the employee’s paycheck and must post the Minimum Wage order in a worksite area accessible to employees.
Reminder About New Health Care Minimum Wage – A new minimum wage schedule went into effect for many health care workers as of October 2024.
The following minimum wage schedule is now in effect for employees of large hospitals, county health services and large health care systems:
• 10/16/24 to 6/30/25: $23 hour
• 7/1/25 to 6/30/26: $24 hour
• 7/1/26 to 12/31/27: $25 hour
• 1/1/28: Adjusted for inflation each year
For many clinic employees the schedule is:
• 10/16/24 to 6/30/25: $21 hour
• 7/1/25 to 6/30/26: $22 hour
• 7/1/26 to 12/31/27: $25 hour
• 1/1/28: Adjusted for inflation each year
For most other health care facility employees the schedule is:
• 10/16/24 to 6/30/26: $21 hour
• 7/1/26 to 6/30/28: $23 hour
• 7/1/28 to 12/31/29: $25 hour
• 1/1/30: Adjusted for inflation each year
Certain facilities classified as “Safety Net Hospitals” will not see the minimum wage increase to $25 per hour until 2033.
The material on this website is provided by Beeson, Tayer & Bodine for informational purposes only and does not constitute legal advice. Readers should consult with their own legal counsel before acting on any of the information presented. Some of the articles are updated periodically, and are marked with the date of the last update. Again, readers should consult with their own legal counsel for the most current information and to obtain professional advice before acting on any of the information presented.
