Although there are some exceptions, almost all employees in California must be paid the minimum wage as required by state law. Effective January 1, 2022, the minimum wage for all industries was increased to $14/hour for employers employing 25 or fewer employees, and $15/hour for employers employing 26 or more employees. Effective January 1, 2023, the minimum wage will be increased to $15/hour for employers employing 25 or fewer employees and they will be the same for employers employing 26 or more employees.

The scheduled increases may be temporarily suspended by the Governor, based on certain determinations.

For more information and guidance on how to count employees for the purpose of determining whether an employer qualifies as an employer with 25 employees or less please access the link below.