While California’s minimum wage will rise to $16.50 per hour starting January 1, 2025, the rate in West Hollywood will jump to $19.25 per hour, the highest in the state.
This increase comes despite voters rejecting Proposition 32 in the recent election, which if approved, would have raised the state’s minimum wage to $18 per hour by 2026. Proposition 32, which failed by a narrow margin, would have increased the minimum wage to $17 for large employers in 2025 and $18 for all businesses in 2026. Supporters argued it would provide much-needed relief for workers in a high-cost state, while critics warned it could lead to job losses and hurt small businesses. Although the proposition didn’t pass, existing state law ensures that wages will continue to rise in response to inflation.
Businesses must also account for updated salary thresholds for exempt employees. In California, exempt workers must earn at least twice the state minimum wage for full-time employment, meaning their minimum salary will rise alongside the statewide wage increase.
Specific industries face additional requirements. Fast food workers are already guaranteed a $20 hourly minimum under separate regulations, while healthcare workers will see their wages rise to $25 per hour under legislation passed in 2024. These increases do not apply to all businesses within the industry; for example, dental offices are excluded from the healthcare sector’s wage requirements.
California law mandates that employers comply with the highest applicable minimum wage, whether state or local. Provisions exist for economic emergencies, allowing the governor to delay wage hikes under specific circumstances, but such pauses are rare.
Last summer, West Hollywood City Council delayed the planned increase to the wage rate after significant pushback from local businesses struggling under the added costs.
The next highest minimum wage rate in California will belong Mountain View at $19.20/hr., followed by Sunnydale’s $19-per-hour rate — both cities in Silicon Valley. The highest minimum wage in the country will be $21.16/hr. in Seattle-adjacent Burien, Washington.
Adult immigrants are now doing the jobs I did as a teenager and college student. And they’re raising families on that wage. Thus, the increase in wages.
I can’t think of a faster way to close existing businesses and to assure no new businesses open here. Those responsible for this idiocy have no right to complain about inflation and unaffordable everything. I wonder how many businesses will close. And no assurance not a single remaining worker benefiting from this lunacy even lives or shops in West Hollywood.
This is going to effect us :\ get ready for $25 cocktails and $30 pizzas 🙂
Have you been out of your cocoon lately? We’re already there.
Start a business in West Hollywood it won’t last and you’ll be losing all the money you put in to start it !
Add more of our businesses will close. More empty storefronts, more businesses doing business elsewhere. Some jobs are being phased out or replaced with automation or hours are being cut back. Cost of goods and services have skyrocketed. So while low wage workers are getting more money in this city, they cannot afford to buy anything here or live in West Hollywood. The middle class who got no raise are even more screwed. Sounds like a good deed but it has devastating consequences. The way out of poverty has always been education or learning a trade. Jobs that require very… Read more »
If I had a business here, the first thing inwoukd try to figure out is how to fire all the employees and get overseas workers or online workers or automation that doesn’t complain about “low” $18 an hour for menial unskilled work. Or I would just close and leave more blight here.