Effective on January 1, 2017, minimum wage increased to $10.50 per hour for employers with 26 or more employees, and $10 per hour for employers with 25 or fewer employees. Additionally, employers are also required to post the OWS’ Wage and Sick Time Notice posters in a conspicuous place at any job site in English and any other language(s) spoken by at least five percent of their employees. Minimum wage will continue to increase by $1 per year starting with $11.00 per hour effective on January 1, 2018.
As an employer in California, it’s crucial that you comply with all California and federal wage regulations and posting requirements. In addition, you must also keep track of all local laws that govern employee wages, leaves of absences, and other employment matters. It’s important for employers to follow these regulations because the penalties can be very costly.
For example, minimum wage ordinances of Los Angeles County demands the following when their regulations are violated:
Pay employees back for wages not properly paid to them.
Pay a fine of up to $120 to each employee whose rights were violated for each day that the violation occurred or colntinued.
Compensate up to $50 for each day, or part of a day, for each employee the employer failed to pay the minimum wage.
Pay up to $500 for failing to maintain payroll records, post any required notices, provide employees with mandatory information, and/or allow OWS access to records.
Pay up to $1000 if the OWS determines the employer retaliated against an employee.
In addition, the following local ordinance updates were effective on July 1, 2017.
Emeryville: $15.20/hour for businesses with 56 or more employees; $14/hour for businesses with 55 or fewer employees.
City of Los Angeles: $12/hour for employers with 26 or more employees; $10.50/hour for employers with 25 or fewer employees.
County of Los Angeles (unincorporated areas only): $12/hour for employers with 26 or more employees; $10.50/hour for employers with 25 or fewer employees.
Malibu: $12/hour for employers with 26 or more employees; $10.50/hour for employers with 25 or fewer employees.
Pasadena: $12/hour for employers with 26 or more employees; $10.50/hour for employers with 25 or fewer employees.
San Francisco: $14/hour.
San José: $12/hour.
Santa Monica: $12/hour for employers with 26 or more employees; $10.50/hour for employers with 25 or fewer employees.
Here at JH Consulting, we offer high-quality and valuable services to fit your company’s needs. Feel free to contact us if you need assistance with updating your employees’ handbook or your company’s policies to better complement these updated regulations.