For questions about employer wage laws or other matters, reach out to our experienced Labor & Employment Department at must provide each employee earned sick leave. If the salary level is not satisfied, the employer should consider increasing compensation to meet the minimum, or reclassify the employee as nonexempt.īerliner Cohen, LLP advises and represents employers on wage compliance within the state of California. Licensed physicians and surgeons: $91.07 per hour.Įmployers should review compensation for their exempt employees to ensure that the appropriate minimum salary level is satisfied.Employers with 26 or more employees: $62,400 per year.Employers with 1-25 employees: $58,240 per year.Effective January 1, 2022, the minimum salary threshold for these exemptions are: The minimum annual salary is based on the current state minimum wage, calculated as follows: (minimum wage x 2) x 2,080 hours. Only one minimum wage rate will apply.Ģ022 California Exempt Employees Minimum Salary Increasesįor workers to qualify as exempt employees, California requires that they perform exempt duties more than 50 percent of their work time and that exempt executive, administrative, and professional employees earn a salary of no less than two times the state minimum wage for full-time employment. *As of July 1, 2021, the city will make no distinction between smaller and larger businesses. ($15.77/hour for employers with 100+ employees) Employers must comply with the local minimum wage rate if the local rate exceeds the state minimum wage rate.Ģ022 California Local Minimum Wage Rate OrdinancesĪdditionally, the following cities and counties have enacted their own local minimum wage rates increases that go into effect on January 1, 2022, or went into effect on Jand are differentiated by employer size. But note, as explained below, some local ordinances have a higher minimum wage than the state law and some local ordinances remove any distinction in minimum wage based on employer size. These changes make California one step closer to achieving the statewide minimum wage goal of $15.00 per hour, which was enacted in the “Fair Wage Act of 2016.”Įffective January 1, 2022, California's statewide minimum wage will increase to $15.00 per hour for employers with 26 or more employees, and $14.00 per hour for employers with 25 or fewer employees. Berliner Cohen, LLP advises and represents employers on wage compliance within the state of California.Ĭalifornia employers should note upcoming changes to state and local minimum wage laws-many of which take effect on January 1, 2022-that will impact both nonexempt and exempt employees.
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