Last summer, my colleagues and I proudly voted to raise the minimum wage in the City of Los Angeles. By 2020, wages will increase to $15.00 per hour, something that will put more money into the pockets of hundreds of thousands of hardworking Angelenos and increase consumer spending in our local economy.On July 1st, LA's first wage increase will go into effect, mandating a minimum wage of $10.50 for companies that have 26 or more employees. The wage will go up for small business employees one year later in 2017.
Earlier this year, in step with LA's historic move, Governor Jerry Brown signed legislation to increase California's statewide minimum wage to $15. The California legislation will raise the statewide minimum to $10.50 for large businesses on Jan. 1, 2017, one year after LA does it. This historic action will millions more Californians out of poverty and put tens of billions of dollars back into our communities by giving people more money to spend at local mom and pop businesses. Los Angeles is leading California and California is leading the nation by lifting up our state and its residents.
Beginning July 1, 2016, the minimum wage and paid sick leave in the City of Los Angeles will increase as follows:
Effective Date
Employers With 26 or more Employees
Employers with 25 or fewer Employees
7/1/2016
$10.50
$10.00 (CA State Minimum Wage)
7/1/2017
$12.00
$10.50
7/1/2018
$13.25
$12.00
7/1/2019
$14.25
$13.25
7/1/2020
$15.00
$14.25
7/1/2021
$15.00
$15.00
Effective Date
Paid Sick Leave
7/1/2016
At least 48 hours provided either at the beginning of each year of employment, calendar year, or 12 month period; or 1 hour of paid sick leave provided per every 30 hours worked.
The city's new Office of Wage Standards, which was created under the minimum wage ordinance, is helping prepare employers for the upcoming salary increase, informing employees of their rights and will be enforcing the law. In this year's budget, we allocated $2.6 million in funds for the city's new enforcement office to ensure a smooth transition and compliance with the new law and to combat wage theft.
Visit the city's Office of Wage Standards website at wagesla.lacity.org for more information, including FAQs, copies of the new laws and the yearly rate schedule. You can also call 844-WAGESLA (844-924-3752).