LOCAL MINIMUM WAGE INCREASE
Employers located within the City and County of Los Angeles City should mark their calendars to implement the upcoming minimum wage increase, effective July 1, 2024.
LOS ANGELES CITY
On February 1, 2024 Los Angeles City announced that the City’s minimum wage will increase to $17.28 per hour on July 1, 2024.
Minimum Wage & PSL Requirements
The City of Los Angeles minimum wage and paid sick leave requirements include the following:
- All employers must pay non-exempt employees with at least an hourly wage that meets the increased minimum wage rate.
- All employers must provide all employees with paid sick leave if they employee works at least 2 hours in any week within the Los Angeles City limits for the same employer for 30 days or more.
- Employers must post the Office of Wage Standards Wage and Sick Time Notice in a conspicuous place at any workplace or job site in English and any other language(s) spoken by at least five percent (5%) of the Employees at the workplace or job site.
- Employers must keep payroll records for four (4) years.
- Employers must provide employees with the Employer’s legal name, address, and telephone number in writing at the time of hire.
Additional information and links to the required posters are available on the City’s website here.
LOS ANGELES COUNTY
The County of Los Angeles maintains its own minimum wage, and the County recently announced that as of July 1, 2024, its minimum wage will increase to $17.27 per hour.
As in the City of Los Angeles, the Los Angeles County ordinance applies to employees who perform at least two hours of work in a particular week within unincorporated areas of Los Angeles County.
To determine if work is done in an unincorporated area of L.A. County, enter the address of the place of business at the County Registrar-Recorder’s website. If the employees perform work in the unincorporated areas of L.A. County, even if the business or non-profit is not located in an unincorporated area of L.A. County, then employers must comply with the LA County Ordinance and pay at least the County’s minimum wage.
The Los Angeles County’s website provides information and links to the minimum wage ordinance for the unincorporated Los Angeles County, along with Santa Monica wage ordinance and updated workplace posters is available here.
OTHER LOCAL MINIMUM WAGE RATES TO CHANGE
Many local jurisdictions have their own minimum wage rates, most of which will increase as of July 1, 2024. The attached chart details some of the local minimum wage rates.
EXEMPT SALARY THRESHOLD DOES NOT CHANGE
This increase in the local minimum wage ordinances does not impact the minimum salary threshold for exempt employees, which is based on the California minimum wage. Currently, based on California’s minimum wage, an employee must earn at least $66,560 per year (an increase from $64,480 per year in 2023.)
CALIFORNIA UPDATES NEW HIRE INFORMATION
Two California specific pamphlets were updated which must be provided to new hires.
Two California specific pamphlets were updated which must be provided to new hires.
The California Department of Industrial Relations Division of Workers Compensation has updated the “Time of Hire” Pamphlet, which must be provided to newly hired employees. The document explains what workers’ compensation is, how to file a claim in addition to navigating medical care.
The California Employment Development Department (EDD) has updated the “For Your Benefit” pamphlet, which also must be provided to new employees at the time of hire and at time of discharge details the state-provided benefits for employees when terminated or when they are on certain leaves. The document also discusses how to obtain unemployment insurance, tax requirements for unemployment benefits, a list of workers who are not eligible to obtain unemployment benefits, and information concerning eligibility for state disability insurance.
Both of these documents are available in Spanish and can be found below.
What Do I Do Now:
Employers should review their employees hourly wages to ensure that the appropriate minimum wages are being paid, and that all updated posters are displayed
This Newsletter is intended as a brief summary of employment law. While every effort has been made to ensure the accuracy of the information contained herein, it is not intended to serve as “legal advice,” or to establish an attorney-client relationship. If additional information is needed on any of the topics contained herein, please contact our office. All rights reserved. ©2024.