Protecting your rights in the workplace.

Latest Increase in Minimum Wage Accompanied by an Increase in Overtime Pay and Wages for Certain Salaried Employees

The latest minimum wage increase for hourly employees in California occurred in July 2014, raising the minimum wage from $8 to $9 per hour. Along with the increase in the minimum hourly wage for hourly employees in California came an increase in minimum overtime pay and the minimum salary requirement for certain exempt (salaried) employees in California.

Minimum Overtime Pay is now $13.50

Before the July 1 increase in minimum wage, employees in California who were earning minimum wage were entitled to time and a half, or $12 per hour, when working more than eight hours in one day or 40 hours in one week. Since the new minimum wage is $9 per hour and overtime pay is calculated as one and a half times an employee’s hourly wage, the minimum overtime pay in California for hourly employees is now $13.50 per hour.

Minimum Salary for Certain Salaried Employees is now $37,440 Per Year

Also beginning on July 1, 2014, executive, administrative, and professional employees in California who are paid a yearly salary rather than hourly pay are entitled to at least $37,440 per year or at least twice the minimum wage. This is calculated by multiplying the minimum wage, $9 per hour, by 40 hours per week by 52 weeks per year and doubling that amount.

If you are an hourly employee in California that is not being paid at least $9 per hour or $13.50 in overtime pay when you work more than eight hours in one day or 40 hours in one week, or an executive, administrative, or professional employee who is not being paid at least $37,440 per year, you should contact an experienced California employment law attorney to determine if you have a possible wage claim against your employer.