California Minimum Wage Update for 2025

If your employer has failed to pay you the minimum amount required under California law, you can file a lawsuit against them. An experienced San Bernardino wage and hour lawyer at Skapik Law Group can work to hold your employer accountable.

Every year, the minimum wage in California increases based on calculations made by a state agency. The minimum amount that your employer is obligated to pay you goes up each year. Accordingly, the minimum wage across the state increased on January 1 of this year. In addition, there are other increases that apply in either certain jurisdictions or to labor categories.

If you believe that you have been underpaid, whether it is because you have not received the minimum wage, or you deserve overtime, schedule a free initial consultation with a San Bernardino employment lawyer at Skapik Law Group by calling us at (909) 398-4404. We fight for the rights of individual employees on a daily basis.

Minimum Wages in California Are Adjusted Annually

When you are a statutory employee in California, there are strict rules for how your employer pays you and how much. They are obligated to pay you a minimum wage. If they do not, you can sue them to receive the full payment that you deserved under the law.

The minimum wage in California is higher than the amount mandated by federal law. Under the law that set an increase in the minimum wage, it rose in phases to $15 per hour by 2023 for large employers and in 2025 for small employers. Once the minimum wage reached $15, the law then provides that it is increased annually based on the rise in the overall national Consumer Price Index.

Accordingly, the California Department of Industrial Relations annually calculates the state’s minimum wage, and it goes into effect on January 1 of every year. For 2025, the minimum wage across all of the state has been increased to $16.50. This minimum wage applies regardless of the size of the employer. Anyone who is a legal employee of a company is entitled to at least this much in hourly payment if they are not exempt under federal or state law.

Other Minimum Wages in the State Have Also Increased

There are individual minimum wage requirements in certain jurisdictions across the state. The statewide annual minimum only applies if there are no higher requirements in an individual area. For example, the minimum wage in Los Angeles County rose to $17.81 per hour on July 1, 2025. Employers in the county must comply with this amount, since it is higher than the minimum wage mandated by state law. These local minimum wages are also recalculated every year and increased based on higher costs of living.

There are also increased minimum wages in individual areas of employment based on state law. For example, there is a minimum wage for fast food workers that is rising to $20.70 per hour in 2025. There is also a scheduled increase in minimum wages for certain types of healthcare workers. Employers must track these increases frequently to ensure that they are correctly paying their employees.

The Impacts of the Increased Minimum Wage in California

The increase in the minimum wage also has impacts in other areas. For example, one of the key pillars of the test for exempt workers under both the Fair Labor Standards Act and California labor law is that an employee earns twice the state’s minimum wage on an annual basis. Accordingly, the salary floor for determining whether a worker is exempt from the requirements to be paid time and a half overtime and allowed to take meal breaks is rising to $68,640 based on the increase in the minimum wage.

Employers can face significant legal consequences if they fail to pay their workers the minimum wage. You can hold them legally liable under either the Fair Labor Standards Act or California law. You can file a wage and hour lawsuit, seeking compensation for the amount that you were underpaid when your employer has failed to pay you the minimum wage. Depending on the circumstances surrounding your employer’s underpayment, you may even be eligible for additional penalties that the defendant would need to pay. Your employer’s failure to keep track of yearly updates to minimum wages is not a sufficient excuse to avoid liability for potential penalties in a lawsuit.

Contact a San Bernardino Wage and Hour Law Firm Today

Speak to a San Bernardino wage and hour attorney at Skapik Law Group to learn more about your legal rights as to how you are paid as an employee. You can schedule a free initial consultation with one of our employment law attorneys by visiting our website or by calling us today at (909) 398-4404.