Navigating the mire of regulations affecting employers is difficult and one often overlooked area is local ordinances. Employers need to be aware of their city and county’s minimum wage ordinances. On July 1, 2019, several local minimum wage rates will increase, and two new local minimum wage ordinances will go into effect.
Minimum wage ordinances generally apply to employees performing at least two hours of work in a calendar or particular for an employer within the geographic boundaries of the specific county or city.
New Minimum Wage Ordinances
Three Bay Area cities have enacted a new minimum wage ordinance that is effective July 1, 2019:
Alameda: $13.50/hour.
Daly City: $12/hour (effective February 13, 2019)
Fremont: $13.50/hour for employers with 26 or more employees; employers with 25 or fewer employees will continue to pay the state minimum wage rate until July 1, 2020.
Minimum Wage Increases
The following cities and counties increased their minimum wage on July 1, 2019 to:
Berkeley: $15.59/hour.
Emeryville: $16.30/hour for businesses of all sizes except the City’s definition of Small Independent Restaurants.
City of Los Angeles: $14.25/hour for employers with 26 or more employees; $13.25/hour for employers with 25 or fewer employees.
County of Los Angeles (unincorporated areas only): $14.25/hour for employers with 26 or more employees; $13.25/hour for employers with 25 or fewer employees.
Malibu: $14.25/hour for employers with 26 or more employees; $13.25/hour for employers with 25 or fewer employees.
Milpitas: $15/hour.
Pasadena: $14.25/hour for employers with 26 or more employees; $13.25/hour for employers with 25 or fewer employees.
San Francisco: $15.59/hour.
San Leandro: $15/hour.
Santa Monica: $14.25/hour for employers with 26 or more employees; $13.25/hour for employers with 25 or fewer employees.
It is important to note that each jurisdiction may have certain eligibility and applicability rules so employers should reach each City’s ordinance that affects their business.
Posting Requirements
Many of the cities and counties require specific posters that state the local minimum wage requirements and the notice must be posted in a common area in the workplace.
For questions on how these ordinances affect your work place contact Christine Long, Partner at Berliner Cohen at 408.286.5800 or by email at Christine.Long@berliner.com.