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Multiple Minimum Wage Increases and Salary-Related Ordinances Scheduled to Take Effect on July 1, 2018

In the immortal words of Mao Zedong:  “Let a hundred flowers blossom!”

Multiple cities and hamlets throughout California have enacted slightly differing and, of course, maddeningly confusing non-uniform minimum wage laws.  Not surprisingly, no one in Sacramento seems at all concerned about the administrative burden to California employers in having to monitor and comply with the so many different rules.

For those of you keeping track at home, here’s the current state of affairs:

Minimum Wage Increases

The following cities’ and county minimum wages are slated to increase:

City # of Employees Minimum Hourly Wage Beginning July 1, 2018 Minimum Hourly Wage Before July 1, 2018
Emeryville 56 or more employees

 

55 or fewer employees

$15.69

 

 

$15.00

$15.20

 

 

$14.00

Los Angeles (city) 26 or more employees

 

25 or fewer employees

$13.25

 

 

$12.00

$12.00

 

 

$10.50

Los Angeles (county) (unincorporated areas only) 26 or more employees

 

25 or fewer employees

$13.25

 

 

$12.00

$12.00

 

 

$10.50

Malibu 26 or more employees

 

25 or fewer employees

$13.25

 

 

$12.00

$12.00

 

 

$10.50

Milpitas $13.50 $12.00
Pasadena 26 or more employees

 

25 or fewer employees

$13.25

 

 

$12.00

$12.00

 

 

$10.50

San Francisco $15.00 $14.00
San Leandro $13.00 $12.00
Santa Monica** 26 or more employees

 

25 or fewer employees

$13.25

 

 

$12.00

$12.00

 

 

$10.50

** Hotel workers’ minimum wage will be indexed, meaning that their rates will be adjusted annually based on changes in the Consumer Price Index (CPI).

Most of these jurisdictions’ minimum wages are slated to increase again on July 1, 2019.

Belmont adopted an ordinance to establish its own minimum wage at $12.50/hour beginning July 1, 2018, with another increase set to go into effect on January 1, 2019.

Salary History Ordinance

San Francisco’s new Consideration of Salary History ordinance (also known as the Parity in Pay ordinance) will go into effect on July 1, 2018, and will prohibit employers from considering applicants’ current or past salaries when determining whether to extend an offer of employment and what salary to offer.  The ordinance also prohibits employers from asking applicants about their current or past salary, or disclosing a current or former employee’s salary history without that employee’s authorization (assuming that salary history is not publicly available).

However, it is important to remember that salary inquiry prohibitions are not unique to San Francisco – California recently enacted its own slightly different, statewide legislation that went into effect on January 1, 2018.

Employers should take care to review whether these ordinances impact their work force and ensure that they are compliant by the beginning of next month.

© 2018 Proskauer Rose LLP.

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About this Author

Anthony J Oncidi, Employment Attorney, Proskauer Rose Law Firm
Partner

Anthony J. Oncidi heads the Labor & Employment Law Group in the Los Angeles office. Tony represents employers and management in all aspects of labor relations and employment law, including litigation and preventive counseling, wage and hour matters, including class actions, wrongful termination, employee discipline, Title VII and the California Fair Employment and Housing Act, executive employment contract disputes, sexual harassment training and investigations, workplace violence, drug testing and privacy issues, Sarbanes-Oxley claims and employee raiding and trade secret protection....

310.284.5690
Elaine Lee, Proskauer Law Firm, Labor and Employment Attorney
Associate

Elaine Lee is an associate in the Labor & Employment Law Department. Her practice focuses on representing and counseling management on all aspects of employment law.

Elaine’s litigation work includes defending employers and supervisors against single-plaintiff claims for unlawful discrimination, harassment, whistleblowing, retaliation, and wrongful termination, as well as class action wage and hour disputes. In addition, Elaine advises clients on compliance with state and federal employment laws and develops company policies ranging from hiring to firing and everything in between. She counsels clients from a wide variety of industries, including telecommunications, entertainment, retail, health care and finance.

Prior to attending law school, Elaine was a Certified Public Accountant and worked at a Big Four accounting firm for four years.

310-284-5694