California 2018 Minimum Wage Increases

You should know by now that the minimum wage in California is on track to reach $15 per hour by 2022, thanks to Governor Brown signing SB 3 in 2016. California is the first state in the nation to commit to raising the minimum wage to $15 per hour statewide. I am sending this notice now, so you can be prepared for the next minimum wage increase on January 1, 2018.

Here’s how the progressive minimum wage rolls out for the next couple years based on the number of employees you have:

Date                            25 or fewer                       26 or more 
01/01/2018                       $10.50                            $11.00
01/01/2019                       $11.00                            $12.00
01/01/2020                       $12.00                            $13.00

It will increase each year thereafter until it reaches $15. At that point, the minimum wage may increase up to 3.5% rounded to the nearest 10 cents.

Los Angeles County
Date                            25 or fewer                      26 or more 
07/01/2018                       $12.00                           $13.25
07/01/2019                       $13.25                           $14.25
07/01/2020                       $14.25                           $15.00

San Francisco City
01/01/2018                  All employees              $15 per hour

At Infinium, we will automatically increase any affected employees and can provide you with a written employee change notice so you can document the increase. We will also be delivering State and Federal Labor Law posters reflecting the wage increases.

If you have any questions, please don’t hesitate to contact our experts at info@infiniumhr.com.