Minimum wage in California
The statewide minimum wage in California increased on January 1, 2026, to $16.90. The same minimum wage applies for both tipped and non-tipped employees. The minimum annual salary threshold for employees classified as exempt from overtime increased to $70,304 ($5,858.67 per month), calculated at twice the minimum wage for full-time employment. At least 38 California cities have a minimum wage higher than the state minimum. In 2023, the state increased the minimum wage for fast-food workers from $16 to $20 per hour, a 25% increase. The results were: a 13% increase in weekly earnings for workers, loss of 3% of fast-food jobs (while fast food employment grew by 0.8% nationwide), and an increase in fast food prices.
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