California Minimum Wage Increasing to $15.50

Inflation has been wreaking havoc on people and businesses nationwide. The effects of inflation can be seen on everything from ketchup to gas to rent. The only thing that does not seem to be inflating across the country is paychecks. With life expenses increasing by the day and incomes staying the same, a financial crisis is on the horizon. In an attempt to mitigate the negative impact of inflation on hard-working employees, California’s Department of Finance recently announced a 3.5% increase for minimum-wage-earners state-wide.

Minimum Wage Increase in California 

Inflation has reportedly increased by 9.1% in 2022, so a 3.5% wage increase does not match the pace of inflation, however, it will mitigate the impact of this sudden and drastic increase. The 3.5% increase will bring California’s minimum wage up to $15.50 per hour and will take effect on January 1, 2023. All employees in California who are currently receiving minimum wage will be eligible for the increase, and all employers will be required to pay the new minimum rate. This is relevant because previous legislation has allowed small business owners to pay a lower hourly wage to their employees if they have 25 or fewer employees total. Under this new legislation, both small and large businesses will be required to pay their employees the same minimum rate of $15.50 per hour. This increase in California is one of the first in the country, and labor experts hope that it will encourage other states to take action to help prevent a much larger financial crisis in the face of a recession. 

Things to Know About the Minimum Wage Increase 

• Both large and small businesses must pay the same minimum rate of $15.50 per hour. 
• The minimum hourly wage of $15.50 per hour may not be reduced based on the quantity or quality of work. 
• Some employees may be exempt if 50% or more of the employee’s duties are exempt duties. However, the burden of proving that an employee is exempt from receiving the hourly minimum wage rests on the employer. 

Are You Receiving Fair Pay?

The new minimum wage increase does not go into effect until January 1, 2023, however, many California employees are already receiving unfair wages. If you are not being paid for the hours you are working, are being deprived of overtime, or are receiving a lower salary than other employees in your same position and with similar experience levels, then an employment attorney may be able to help you get the salary that you deserve and recover the damages that you have incurred. In some cases, employers may also intentionally misclassify their employees as independent contractors to reduce the company’s liability. This deprives their employees of benefits that they are legally entitled to. If you have been misclassified as an independent contractor and suffered an injury at work, an employment lawyer can help. 

Contact a California Employment Lawyer Today 

If you need help getting fair wages from your employer, an experienced California employment attorney can help. Contact a California employment lawyer today to schedule a consultation.