February 21, 2013

Will The State’s Minimum Wage Go Up?

In President Barack Obama’s 2013 State of the Union address, he called on Congress to raise the Federal Minimum Wage to $9.00 per hour.  Currently, California’s Minimum Wage is $8.00 per hour with a few exceptions.  If this new Federal law is passed, all California employees will be entitled to earn the new national Minimum Wage of $9.00 per hour, representing an increase of 12.5%.

While it is unlikely that any minimum wage increase would be passed through a divided Congress, the President’s comments may prompt California’s Legislature, controlled by a Democratic super-majority, to seek a similar increase.  Currently, California has the lowest minimum wage of any state on the West Coast (though the City of San Francisco has a minimum wage of $10.24/hour).  Late last year, a bill was introduced in the Assembly which would raise the minimum wage to $9.25 per hour by January 1, 2016, but it has not been passed.  We will keep you posted on any developments at the state and federal level.


Category: Minimum Wage,