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California Minimum Wage 2022 and 2023 Changes
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Workforce Management

California Minimum Wage by City in 2022 and 2023

California doesn’t have just one minimum wage—it has many.

Employers in California don’t only have to worry about federal and state minimum wages, they’re also subject to dozens of local minimum wage ordinances. Many cities and counties across the state have legislated their own minimum wage laws that are even higher than federal or state minimum wage.

These local minimum wages typically increase on an annual basis (either in January or July) based on inflation as measured by the local Consumer Price Index (CPI). The state of California and many of its municipalities also specify a separate, smaller minimum wage law for small businesses with fewer than 26 employees.

What is Minimum Wage in California?

Minimum wage in California for 2022 for employers with 25 or fewer employees is $14 an hour. Employers with 26 or more employees pay $15 per hour. In 2023, the minimum wage rates for 25 or fewer employees will increase to $15 to match their larger counterparts, which will stay the same.

Local regulations add yet another layer of complexity to California’s labor laws. If you operate in more than one location, you could be subject to multiple different minimum wage levels in a single day. Get your calculations wrong and you face the prospect of wage and hour lawsuits.

Whether it’s minimum wage in San Jose or SF minimum wage, to help your organization stay compliant with the latest minimum wage requirements, Paycor has created this chart of California minimum wage by city and county. We will update 2023 minimum wage increases as they are announced.

County or City 2022 Minimum Wage 2023 Minimum Wage 2022 Minimum Wage for Small Businesses 2023 Minimum Wage for Small Businesses  
Alameda Co. $15.00$15.00 + CPI (not to exceed 5%)–  –  
Belmont $16.20 – –  –  
Berkeley $16.32 + CPI (effective 7/1) – –  –  
Cupertino $16.40 – – – 
Daly City $15.00 $15.00 + CPI (effective 1/1)–  –  
East Palo Alto$15.00 + CPI (effective 1/1)–  
El Cerrito $16.37 $16.37 + CPI (effective 1/1)–  –  
Emeryville $17.13 $17.13 + CPI (effective 7/1) –  –  
Fremont $15.25 $15.25 + CPI (effective 7/1) 
Half Moon Bay $15.56 $15.56 + CPI  –  –  
Hayward** $15.56 $15.56 + CPI $14.52 $15.00 
Los Altos $16.40 –  –  
Los Angeles $16.04 $16.04 + CPI (effective 2/1)
Los Angeles County $15.00 $15.00 + CPI (effective 7/1) 
Malibu $15.00 $15.00 + CPI (effective 7/1) 
Menlo Park $15.75 $15.75 + CPI capped at 3% (effective 1/1) –  –  
Milpitas $15.65 $15.65 + CPI (effective 7/1) –  –  
Mountain View $17.10 $17.10 + CPI (effective 1/1) –  –  
Novato** $15.53

$15.77 for businesses with 100+ employees 
$15.53 + CPI

$15.77 + CPI (effective 1/1)  
$15.00 
Oakland $15.06 $15.06 + CPI (effective 1/1) –  –  
Palo Alto $16.45 $16.45 + CPI (effective 1/1) –  –  
Pasadena $15.00 $15.00 $14.00 $15.00 
Petaluma $15.85 $15.85 + CPI  (effective 1/1)
Redwood City $16.20 16.20 + CPI (effective 1/1)–  –  
Richmond $15.54 $15.54 + CPI (effective 1/1) –  –  
San Carlos $15.77$15.77 + CPI capped at 3.5% (effective 1/1) –  –  
San Diego $15.00 $15.00 + CPI (effective 1/1)–  –  
San Francisco $16.32 $16.32 + CPI (effective 7/1) –  –  
San Jose $16.20 $16.20 + CPI (effective 1/1) –  –  
San Leandro $15.00 – – 
San Mateo $16.20 $16.20 + CPI (effective 1/1) –  –  
Santa Clara $16.40 $16.40 + CPI (effective 1/1) – – 
Santa Monica $15.00 $15.00 + CPI (effective 1/1) 
Santa Rosa $15.85 $15.85 + CPI (effective 1/1) 
Sonoma $16.00 $17.00 $15.00 $16.00 
South San Francisco $15.80 $15.80 + CPI (effective 1/1) –  –  
Sunnyvale $17.10 $17.10 + CPI (effective 1/1) –  –  
West Hollywood$15.50 increasing to $16.50 for large employers (effective 7/1)

$17.64 increasing to $18.40 for hotel employees (effective 7/1)
$17.50 increasing to $18.86 for large employers (effective 7/1/23)

$18.40 increasing to $18.86 for hotel employees (effective 7/1/23)    
$15.00 increasing to $16.00 (effective 7/1)$17.00 increasing to $18.86 (effective 7/1/23)

NB: In certain jurisdictions, nonprofits are exempted or subject to a lower minimum wage. Exemptions or reductions may also apply to younger employees classified as ‘learners’. Additionally, there may be higher minimum wage levels for employees of large hotels or airports. Unlike some states, California does not allow employers to take tip credits, and so there is no separate tipped minimum wage.

What is the minimum wage in California in 2022?

Minimum wage varies in California depending on the county and city of the employer.

How should small business owners prepare for minimum wage increases?

If a minimum wage increase is on the horizon, it’s important to look at your budget and financial records, such as operational costs, in preparation for the change. You will likely need to make some serious financial decisions, whether that means layoffs or increasing prices. You should also look at all your employees’ wages, not just the ones who will get the boost from an increase, as this might put their rate of pay close to some of your more senior staff who might make just above the new minimum wage rate. 

What is the minimum wage in L.A. county?

The minimum wage in Los Angeles County is $15.00.

Paycor is not a legal, tax, benefit, accounting or investment advisor. All communication from Paycor should be confirmed by your company’s legal, tax, benefit, accounting or investment advisor before making any decisions.

How Paycor Helps

The good news is, Paycor can help you stay compliant, wherever you are in the country. Even if employees work in multiple locations with divergent minimum wage levels, our system tracks all relevant legislation and will alert you if an employee’s pay is ever set below the allowed level for a given location.

To learn more about how Paycor can help you stay compliant, save time and make better business decisions, talk to a member of our team.