Effective January 1, 2023, the state minimum wage will increase to $15.50/hr. Note that certain cities, including City of Los Angeles ($16.04 per hour) and Unincorporated County of Los Angeles County ($15.90 per hour) have a slightly higher minimum wage. 

Employers must pay their employees pursuant to whichever law affords employees the highest minimum wage. Also increases in the state minimum wage requires that exempt employees must be paid twice the state minimum wage for full-time employment (40 hours per week). Therefore, as of January 1, 2023, most exempt salaried workers must be paid no less than $64,480 to retain exempt status.

Employers who fail to properly classify and otherwise pay their employees at least the above described pay and minimum wage rates, will be subject to potential wage claims, penalties for unpaid overtime, missed meal and rest breaks, interest, and attorney’s fees. Click here to review prior posts regarding more new employment laws in California.

Should you have any questions regarding your company’s employment law concerns, contact our employment attorney, Scott Liner at [email protected].