Employer Alert: Local Minimum Wage Increases on July 1st

Ervin Cohen & Jessup LLP
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Ervin Cohen & Jessup LLP

On July 1, 2022, a number of local municipalities will be raising their hourly minimum wage, based on changes to the consumer price index, and as required by their minimum wage ordinances. 

Beginning July 1, 2022, the following increases will apply to all employers in the designated areas:

Municipality

Current Minimum Wage

Increased Minimum Wage on
July 1, 2022

City of Los Angeles

$15.00

$16.04

County of Los Angeles (unincorporated areas)

$15.00

$15.96

City of Pasadena

$15.00 $16.11

City of Santa Monica

$15.00 $15.96

Additionally, on July 1, 2022, businesses in the City of West Hollywood with 50 or more employees will be required to raise the hourly minimum wage from the current $15.50 to $16.50.  Businesses with fewer than 50 employees will be required to raise the hourly minimum wage from the current $15.00 to $16.00.

Employers should also be aware of industry-specific wages rates set by local ordinances that are scehduled to increase on July 1st.  For example, on July 1, 2022, hotels in West Hollywood are required to raise their hourly minimum wage from the current $17.64 to $18.35.

In determining whether a given increase applies, employers should know that it is not where an employee lives, or where an employer is based, that determines the minimum wage that must be paid.  Rather, it is where the employee works that determines the minimum wage requirement that will be applied.  In many municipalities, if an employee works as few as two hours in the city in a week, that municipality’s minimum wage will apply to the time worked for that week.

The author would like to gratefully acknowledge the assistance of Joanne Warriner.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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