The fifth-largest economy in the world, California has long been at the forefront of minimum wage changes. Two years ago, the state enacted legislation that will push minimum wage to $15 statewide in 2023, regardless of how many employees a company has.
In the meantime, employers still must stay ahead of increases to minimum wage in California cities. Also note that:
- All minimum wage changes will require a posting update
- State law does not provide for a separate wage for tipped employees
- Some cities will update rates in the summer of 2020
Scroll down for a list of California cities whose minimum wage will increase at the start of 2020, as well as the new rates. (Keep scrolling for a list of updates coming in the summer of 2020.)
AT A GLANCE: 2020 CALIFORNIA CITY MINIMUM WAGE RATES
One thing about minimum wage in California: it’s high.
All cities with increasing rates in 2020 will be well above the federal minimum wage of $7.25. (The 2020 state rate for California will be $12 for small employers and $13 for large employers.)
Meanwhile, many cities will breach the $15 threshold — the level many lawmakers and activists want to see implemented nationwide as part of the “Fight for $15.”
Some cities will see small bumps of less than a dollar tied to the Consumer Price Index. Others will increase minimum wage by as much as $3 an hour.
Lastly, note that certain cities have separate rates tied to the type of job — hotel workers in Santa Monica, for example. Employers should check California jurisdictions where they have employees to ensure they are paying the correct rate.
JAN. 1, 2020 INCREASES
Cupertino
- Effective date: Jan. 1, 2020
- Increasing to $15.35, up from $15
Daly City
- Effective date: Jan. 1, 2020
- Increasing to $13.75, up from $12
El Cerrito
- Effective date: Jan. 1, 2020
- Increasing to $15.37, up from $15
Los Altos
- Effective date: Jan. 1, 2020
- Increasing to $15.40, up from $15
Menlo Park
- Effective date: Jan. 1, 2020
- Increasing to $15, up from the state rates
The Menlo Park City Council in September 2019 passed its new local minimum wage ordinance.
Mountain View
- Effective date: Jan. 1, 2020
- Increasing to $16.05, up from $15.65
Oakland
- Effective date: Jan. 1, 2020
- Increasing to $14.14, up from $13.80
Palo Alto
- Effective date: Jan. 1, 2020
- Increasing to $15.40, up from $15
Petaluma
- Effective date: Jan. 1, 2020
- Increasing to $15 for employers with 26 or more employees (up from $11)
- Increasing to $14 for employers with 25 or fewer employees (up from $12)
Petaluma recently updated its minimum wage ordinance.
Redwood City
- Effective date: Jan. 1, 2020
- Increasing to $15.38, up from $13.50
Richmond
Richmond was scheduled for an increase on Jan. 1, 2020. City officials told GovDocs there would be no increase, with the rate remaining at $15. However, if any change is made, this post will be updated.
San Diego
- Effective date: Jan. 1, 2020
- Increasing to $13, up from $12
San Jose
- Effective Date: Jan. 1, 2020
- Increasing to $15.25, up from $15
San Mateo
- Effective date: Jan. 1, 2020
- Increasing to $15.38, up from $15
The city previously had a different minimum wage rate for nonprofit businesses. In 2020 the rates will be the same for both.
Santa Clara
- Effective date: Jan. 1, 2020
- Increasing to $15.40, up from $15
Sonoma
- Effective date: Jan. 1, 2020
- Increasing to $13.50 for employers with 26 or more employees (up from $11)
- Increasing to $12.50 for employers with 25 or fewer employees (up from $12)
The city enacted a new minimum wage ordinance this summer.
South San Francisco
- Effective date: Jan. 1, 2020
- Increasing to $15, up from $12
South San Francisco also recently updated its ordinance.
Sunnyvale
- Effective date: Jan. 1, 2020
- Increasing to $16.05, up from $15.65
Summer 2020 Increases
The following cities in California have scheduled minimum wage increases coming in the summer of 2020. Some increases are tied to the CPI and aren’t known as of this writing.
Below are those cities and their current minimum wage rates.
- Alameda – $13.50
- Belmont – $13.50
- Berkeley – $15.59
- Emeryville – $16.30
- Fremont – $13.50
- Long Beach – Follows the state rates but will go up for hotel and concessionaire workers
- Los Angeles – $14.2
- Malibu – $14.25
- Milpitas – $15
- Pasadena – $14.25
- San Francisco – $15.59
- San Leandro – $14
- Santa Monica – $14.25
Source: GovDocs.com
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