In 2025, California’s minimum wage increased to $16.50 per hour on January 1st, and there are also new laws impacting fast food and healthcare workers, as well as changes to paid family leave and workplace meetings.
Here’s a breakdown of the key changes:
Minimum Wage:
- Statewide:
The minimum wage for all employers in California increased to $16.50 per hour on January 1, 2025.
- Fast Food:
The minimum wage for fast food workers at national fast food chains (defined as a set of limited-service restaurants consisting of more than 60 establishments nationally) increased to $20 per hour starting on April 1, 2024.
- Healthcare:
Minimum wage increases for California healthcare workers went into effect on October 16, 2024.
- Local Ordinances:
Some cities and counties may have higher minimum wages than the state’s rate, so employers should check local ordinances.
Other Key Changes:
- Paid Family Leave (AB 2123):
Employers are no longer permitted to require employees to exhaust up to two weeks of employer-provided vacation before they start receiving paid family leave benefits.
- Workplace Meetings:
California law prohibits employers from holding mandatory meetings during working hours to discuss political or religious matters, including union organizing, starting January 1, 2025.
- Minimum Salary Exemption:
The salary threshold for exempt employees (administrative, executive, and professional) will increase to $68,640 per year.
- Crime Victim Leave:
There are changes to crime victim leave, allowing employees to take time off for mental health services, safety planning, or providing care to a family member who is a victim of crime.
