Are You Ready for the New Minimum Wage Increase in California?
By Luiza Manuelian
As of July 1, 2025, the minimum wage for the City of Los Angeles will be $17.87 for all employees covered by the Minimum Wage Ordinance. Specifically, those employees who perform at least two hours of work for an employer within the geographic boundary of the City of Los Angeles are entitled to earn the minimum wage. The Ordinance applies to all employers who are subject to the City of Los Angeles Minimum Wage Ordinance, including non-profits, regardless of size.
Additionally, as of July 1, 2025, the minimum wage for the County of Los Angeles for unincorporated cities will be $17.81. Specifically, those employees who perform at least two hours of work for an employer within unincorporated areas of Los Angeles County are entitled to earn the minimum wage. Employers are required to pay the minimum wage set forth above for all hours worked, regardless of immigration or work status.
Below is an updated list of minimum wage increases based on cities:
- Emeryville: $19.90 per hour (previously $19.36).
- Berkeley: $19.18 per hour (previously $18.67).
- San Francisco: $19.18 per hour (previously $18.67).
- Milpitas: $18.20 per hour (previously $17.70).
- Fremont: $17.75 per hour (previously $17.28).
- Santa Monica: $17.81 per hour (previously $17.27).
- Pasadena: currently $17.50 per hour (adjustment pending, subject to inflation update).
- Alameda: currently $17.00 per hour, subject to annual increases of up to 5%.
Employers are required to post the Official Notices, which include the current minimum wage rate, in a conspicuous place at any workplace or job site where an employee works. These notices must be posted in English and any other language spoken by at least five percent of the employees at the workplace or jobsite.
Many employers in Los Angeles County are uncertain whether their workplace is in the unincorporated area of Los Angeles County. It is important to understand the distinction between incorporated and unincorporated areas of Los Angeles County. Within the county, there are certain cities that are incorporated, which means they have their own local government, usually city council. Examples of incorporated cities include the City of Los Angeles, City of Glendale, City of Pasadena, Long Beach, Beverly Hills, City of West Hollywood, City of Malibu.
There are 88 “incorporated” cities within the County of Los Angeles. But there are many areas within the county that are unincorporated, which means they are not part of any official city. In fact, more than 65% of Los Angeles County is unincorporated. These unincorporated areas are governed by the Los Angeles County Board of Supervisors, which is equivalent to a city council. To understand which ordinance applies to you, it is necessary to determine the location of the workplace or jobsite. If the workplace is within the unincorporated areas of Los Angeles County, then the minimum wage will need to be $16.90.
To determine whether a workplace is within the boundaries of the unincorporated areas of County of Los Angeles, the County’s website has a list of areas published as unincorporated areas: 1129281_UnincorporatedAreas.pdf (lacounty.gov). There are approximately 125 unincorporated areas within the Los Angeles County. Examples of unincorporated areas include Marina Del Rey, East Pasadena, Universal City, Topanga Canyon. If the workplace or jobsite is not within the unincorporated areas of the County, then you need to check if there are any specific ordinances that apply to the town/area where the workplace is located. Incorporated cities may have their own minimum wage requirements, so I recommend checking for those city-specific ordinances, if there are any.
As such, it is important to understand that the location of the workplace or jobsite determines the requirements for the minimum wage for non-exempt employees.
Employers need to ensure that their payroll system is updated with the new minimum wage requirements before July 1, 2025, to make sure they do not violate minimum wage laws. Additionally, employers must update their posters with the new minimum wage requirements.
If you have any questions or need guidance on wage and hour compliance in California, please contact us.
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