California cities are implementing new minimum wage rates starting July 1 to offset the effects of inflation and rising cost of living. The increases vary between cities, with some seeing significant changes.
Many Californian cities will introduce higher minimum wages as part of a move to raise wages for workers affected by inflation. Cities such as Alameda ($17.46), Berkeley ($19.18), Emeryville ($19.90), and Santa Monica ($17.81) will have the highest rates, while Fremont ($17.75) and Los Angeles ($17.87) will have lower rates.
The state’s statewide minimum wage increased to $16.50 per hour this year. However, some cities are introducing higher-than-statewide rates, with hotel workers seeing a significant increase to $20.22 an hour.
Industry differences affect various sectors, including fast-food workers, who will receive at least $20 per hour. The change also comes with other laws going into effect in California on July 1, such as bills targeting stolen goods and short-term rentals.
Experts predict that the minimum wage increases may have a limited impact on employment, with some areas potentially experiencing decreased competition for workers. However, others may see an increase in employment due to moderate wage hikes relative to prevailing wages.
As the federal minimum wage has not increased in a long time, California’s progressive policies and high wages in the state contribute to its decision to raise the minimum wage.
Source: https://www.newsweek.com/california-cities-minimum-wage-change-july-1-2089830