California's minimum wage is currently $16 per hour. This measure increases that minimum, as follows:
Employers with 26 or more employees would pay $17 hourly for the remainder of 2024 and $18 hourly beginning on January 1, 2025.
Employers with 25 or fewer employees would pay $17 hourly beginning January 1, 2025, and $18 hourly beginning January 1, 2026.
Thereafter, as existing law provides, the minimum wage annually adjusts for inflation.
In addition to the generally applicable minimum wage described above, current laws establish a higher minimum wage in specified industries. This measure does not amend those laws.
SUMMARY OF LEGISLATIVE ANALYST'S ESTIMATE OF NET STATE AND LOCAL GOVERNMENT FISCAL IMPACT:
State and local government costs could increase or decrease. This change likely would not exceed the high hundreds of millions of dollars annually.
State and local tax revenues likely would decrease. This revenue loss likely would not exceed a few hundred million dollars annually.