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Over the past several years, California has gradually increased the state’s minimum wage rate, resulting in the most recent increase, effective January 1, 2023, to $15.50 per hour for all employers. This minimum wage rate applies to all employees, subject to a few limited exceptions. This increase also affects the minimum annual salary requirement for exempt employees. Under California law, exempt employees must be paid a threshold annual salary of two times the state minimum wage for full-time employment. Accordingly, effective January 1, 2023, the minimum salary for otherwise exempt employees increased to $64,480.00 a year.
Many cities and counties in California have adopted their own local minimum wage rates above the California state minimum wage. If a locality provides a higher minimum wage rate than the state rate, the employer must pay the higher local wage rate. The following California jurisdictions maintain minimum wage rates for nonexempt employees separate from and above the state rate as of January 1, 2023:
| City/County | Applies To | Minimum Wage Rate Per Hour | Effective Date |
| Alameda | All employees | $15.75 | 7/1/2022 |
| Belmont | All employees | $16.75 | 1/1/2023 |
| Berkeley | All employees | $16.99 | 7/1/2022 |
| Burlingame | All employees | $16.47 | 1/1/2023 |
| Cupertino | All employees | $17.20 | 1/1/2023 |
| Daily City | All employees | $16.07 | 1/1/2023 |
| East Palo Alto | All employees | $16.50 | 1/1/2023 |
| El Cerrito | All employees | $17.35 | 1/1/2023 |
| Emeryville | All employees | $17.68 | 7/1/2022 |
| Foster City | All employees | $16.50 | 1/1/2023 |
| Freemont | All employees | $16.00 | 7/1/2022 |
| Half Moon Bay | All employees | $16.45 | 1/1/2023 |
| Hayward | 26 or more employees | $16.34 | 1/1/2023 |
| 25 or fewer employees | $15.50 | ||
| Los Altos | All employees | $17.20 | 1/1/2023 |
| Los Angeles | All employees | $16.04 | 7/1/2022 |
| Los Angeles-unincorporated county | All employees | $15.96 | 7/1/2022 |
| Malibu | All employees | $15.96 | 7/1/2022 |
| Menlo Park | All employees | $16.20 | 1/1/2023 |
| Milpitas | All employees | $16.40 | 7/1/2022 |
| Mountain View | All employees | $18.15 | 1/1/2023 |
| Novato | 25 or fewer employees | $15.53 | 1/1/2023 |
| 26-99 employees | $16.07 | ||
| 100 or more employees | $16.32 | ||
| Oakland | All employees | $15.97 | 1/1/2023 |
| Palo Alto | All employees | $17.25 | 1/1/2023 |
| Pasadena | All employees | $16.11 | 7/1/2022 |
| Petaluma | All employees | $17.06 | 1/1/2023 |
| Redwood City | All employees | $17.00 | 1/1/2023 |
| Richmond | All employees | $16.17 | 1/1/2023 |
| San Carlos | All employees | $16.32 | 1/1/2023 |
| San Diego | All employees | $16.30 | 1/1/2023 |
| San Francisco | All employees | $16.99 | 7/1/2022 |
| San Jose | All employees | $17.00 | 1/1/2023 |
| San Mateo | All employees | $16.75 | 1/1/2023 |
| Santa Clara | All employees | $17.20 | 1/1/2023 |
| Santa Monica | All employees | $15.96 | 7/1/2022 |
| Santa Rosa | All employees | $17.06 | 1/1/2023 |
| Sonoma | 26 or more employees | $17.00 | 1/1/2023 |
| 25 or fewer employees | $16.00 | ||
| South San Francisco | All employees | $16.70 | 1/1/2023 |
| Sunnyvale | All employees | $17.95 | 1/1/2023 |
| West Hollywood | 49 or fewer employees | $17.00 | 1/1/2023 |
| 50 or more employees | $17.50 |
California employers should monitor the locations where they have employees for specific eligibility rules and potential new minimum wage rates or changes.
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