California is a dream to live in and we all enjoy our lives in this Sunshine State. But living in California can be expensive, especially for persons earning minimum wage. Fortunately, the minimum wage has increased this year to $10.00 per hour and will keep increasing for the next five years. 

On January 1, 2017, the minimum wage in California will increase to $10.50 per hour for workers that work in companies with 26 or more employees. 

The minimum wage will increase on average one dollar ($1.00) every January 1 until it reaches $15.00 per hour in the year 2022. What will this look like? It will look like this:

January 2017 – $10.50

January 2018 – $11.00

January 2019 – $12.00

January 2020 – $13.00

January 2021 – $14.00

January 2022 – $15.00

For a worker that works full-time and earns minimum wage, an increase of 50 cents will be an increase in approximately $1,000 more in wages per year. An increase of $1.00, therefore, will mean an increase in wages of more than $2,000 per year

Companies with 25 employees or less will have one more year to raise the minimum wage and will keep behind with the increase by one year until reaching $15.00 per hour in 2023. 

With the increase in minimum wages it is expected that businesses will spend less in other business areas. For example, there may be less replacements and attrition once employees earn more, and this may mean companies will have less expenses in looking for new workers and training and hiring them. 

Thanks to this increase in the minimum wage, we hope that life in California will be a little bit easier for families in the state. 
If for some reason you have not received an increase in minimum wage, an attorney can help you to get paid what you may be owed. Abogato can help, so please give us a call today.