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What's New in 2027
California Minimum Wage
Increases January 2027
California’s Department of Industrial Relations has announced an increase in the state minimum wage from $16.90 to $17.40/hour, effective January 1, 2027, for non-exempt workers, i.e., those whom employers must pay overtime and provide meal and rest breaks.
Compensation for exempt employees, i.e., those who do not receive overtime and need not be provided those meal and rest periods, also changes on January 1. Salaries to people qualified for the professional, administrative, and executive exemptions must equal at least double the new minimum wage, or $34.80/hour, multiplied by 40. This is $1,392/week, $6,032/monthly and $72,384/year.
The minimum wage increase also necessitates new postings.
Some local minimum wages will also change on January 1. A December blog will provide details.
Take-Aways:
Employers should prepare to implement the higher minimum wage amounts on January 1, 2027.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Helena Kobrin
August 28, 2026
If you are an employer facing possible litigation, or have an employee issue on which you need immediate guidance, call us to set up a consultation, or submit your message.
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