California Minimum Wage Requirements

In April of 2016, California Governor Jerry Brown signed into law an increase to the state minimum wage from $10 to $15 per hour.

For businesses with over 25 employees, the law set a gradual increase starting January 1, 2018 until it reaches $15 per hour by January 1, 2022. Businesses with 25 or fewer employees will have an additional year to comply with the new minimum wage law. The first increase for smaller companies also began on January 1, 2018 and will continue until January 1, 2023. 

For employers with 26+ or more employees:

Jan. 1, 2018 — $11
Jan. 1, 2019 — $12
Jan. 1, 2020 — $13
Jan. 1, 2021 — $14
Jan. 1, 2022 — $15

For employers with 25 or fewer employees:

Jan. 1, 2018 — $10.50
Jan. 1, 2019 — $11
Jan. 1, 2020 — $12
Jan. 1, 2021 — $13
Jan. 1, 2022 — $14
Jan. 1, 2023 — $15

Minimum Wage By City

While the state minimum wage is currently $10.50 or $11, depending on the size of your business, cities across California have their own standards as well. Here are a list of cities with their current minimum wages:  

City Minimum Wage Notes
Berkeley $12.53 n/a
Cupertino $13.50 n/a
El Cerrito $13.60 n/a
Emeryville $14.00 (July 1, 2017) $15.00 (July 1, 2018) and $16.00 (July 1, 2019)
Los Altos $13.50 n/a
Los Angeles (city and county) – businesses with 26 or more employees: $12.00 $13.25 (July 1, 2018), $14.25 (July 1, 2019) and $15.00 (on July 1 2020)
Los Angeles (city and county) – businesses with 26 or less employees $10.50 $12.00 (July 1, 2018), $13.25 (July 1, 2019), $14.25 (July 1, 2020) and $15.00 (July 1, 2021)
Milipitas $12.00 $13.50 (July 1, 2018)
Mountain View $15.00 n/a
Oakland  $13.23 To be adjusted annually for inflation
Palo Alto $13.50 To be adjusted annually for inflation
Richmond $13.41 To be adjusted per the Consumer Price Index January 1, 2019
Sacramento – businesses with 40 or more employees $11 $11.75 on January 2019 and $12.50 on January 2020.
Sacramento – businesses with 39 or fewer employees $11 in July 2018 $11.75 in July 2019 and to $12.50 in July 2020.
San Francisco $15.00 on July 1, 2018 To be adjusted annually for inflation thereafter
San Jose $13.50 Annual cost of living increases
Santa Clara $13.00 Will increase annually based on the Consumer Price Index for the previous year beginning in January 2018
San Mateo $13.50, $12.00 (non-profit groups) n/a
Sunnyvale $15.00 n/a

It’s important to ensure your company’s wage and hour practices comply with California law. All California employers must display an approved California minimum wage poster in a prominent place. Free posters are available but it’s important to know the risks behind them.

Order your updated 2018 California Labor Law Poster from us today. We offer printable posters, PDFs, high-quality laminated posters and electronic posters, and have ensured labor law compliance for businesses of all sizes since 1999. If you want to avoid the leg work of staying up to date, sign up for our labor law poster subscription service and we’ll automatically send new posters when laws suddenly change to keep you compliant 365 days a year.

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