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2024 California minimum wage rates

Posted by Eric Kingsley | Aug 05, 2024 | 0 Comments

Breakdown of California minimum wage in 2024 on legal plaque

Navigating California's employment laws can be tricky, especially when it comes to the minimum wage. 2024 California minimum wage rates are a hot topic as new unpaid wage laws bring changes for some industries. Whether you are an employer trying to understand California minimum wage laws for 2024, or an employee in California seeking more than just a job, this information is important for you.

Table of Contents:

Understanding California's Minimum Wage Laws

California is known for having one of the highest minimum wages in the US. This is important to note when you are trying to calculate what the 2024 California minimum wage rates are for you. However, the minimum wage can vary depending on your location and industry.

California State Minimum Wage 2024

The minimum wage in California for 2024 is $16.00 per hour for most employees. This rate applies to hourly employees regardless of company size. Many cities and counties have local ordinances mandating even higher wages. You can check out this helpful resource that tracks these local minimum wage ordinances from UC Berkeley's Labor Center.

California's minimum wage is not one-size-fits-all. Let's take a look at industries and locations that have a higher minimum wage.

2024 Industry-Specific Minimum Wage Rates in California

The standard California minimum wage is $16.00 per hour. However, there are several industries operating with different minimum wage rates in 2024. It is critical to remember this fact when understanding 2024 California minimum wage rates.

Here's a closer look at industries with specialized minimum wages:

Fast Food Restaurants

Starting April 1, 2024, the fast-food minimum wage in California will increase to $20.00 per hour. This change is thanks to AB 1228, which was signed by Governor Gavin Newsom.

The wage increase only applies to establishments meeting a specific definition of "fast food restaurant." For example, those serving food in disposable containers and having limited table service will need to pay their workers the new rate.

Healthcare

The healthcare industry also received a minimum wage increase. Thanks to the passing of SB 525, certain health care employees saw an increase starting May 1, 2024.

The new minimum wage depends on a number of factors, so it is not a straightforward number. The actual rate will depend on the type of healthcare facility and its size. The care minimum wage can vary.

2024 Minimum Wage by City: Your Guide to Higher Local Rates in California

Here is where those city and county differences we mentioned come into play. The California minimum wage is $16.00 an hour, but many local governments set a higher minimum wage. Here are a few examples of those rates (accurate as of November 2024):

City

 

Minimum Wage Rate

 

Rate Effective Date

 
Alameda, CA  $16.52/hour  7/1/2023 
Belmont, CA  $17.35/hour  1/1/2024 
Berkeley, CA  $18.07/hour   7/1/2023 

The LA Times recently reported that West Hollywood has the highest minimum wage, with businesses required to pay workers at least $19.08 an hour. San Francisco is not far behind, at $18.07 per hour.

These higher local minimum wage requirements mean businesses have to be extra careful about paying their workers correctly. Businesses in San Francisco must pay the city's minimum wage of $18.07/hour. Additionally, San Francisco labor ordinances state that businesses must display official posters with the current minimum wage for all employees to see.

What Does This Mean for California Employers in 2024?

If you own or manage a business in California, staying updated on both state and local minimum wage changes is required by law. Keeping track of who to pay what can be confusing. It is important to stay updated on local ordinances and state-mandated minimum wage increases.

The California Labor Commissioner's website offers a wealth of information for employers about the minimum wage law and employment laws in general. This website can help ensure your business is following all the rules.

Conclusion

Understanding the 2024 California minimum wage rates is more complex than you might think. Keeping track of these details is crucial to ensure everyone receives a fair wage. It's important to be aware of the statewide base rate, the specialized figures for certain industries, and the higher local ordinances in many cities.

About the Author

Eric Kingsley

Eric B. Kingsley is a 2023 "Best In Law" Award winner and has litigated over 150 class actions. He is also an AV peer rated attorney and a prolific speaker at various seminars on employment law.

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