MIDYEAR REMINDER OF NEW CALIFORNIA MINIMUM WAGE LAWS 2025
By Ward Heinrichs Esq., San Diego Employment Attorney
ON BIG BLEND RADIO: San Diego employment lawyer Ward Heinrichs discusses California’s minimum wage laws and the FAST Recovery Act. Watch here on YouTube or listen on Podbean.
FAST Recovery Act Update: In 2022, California passed the FAST Recovery Act. It allowed fast-food workers to earn as much as $22 per hour. In response, fast-food employers gathered enough signatures to put the FAST Recovery Act on the 2023 ballot for California voters to approve or disapprove.
While everyone was getting ready for the showdown, fast-food employers agreed to pull the ballot measure in exchange for a different law. As a result, Governor Newsom signed AB 1228 into law in 2023.
Under AB 1228, fast-food workers saw their minimum wage increase to $20 per hour. A fast-food council created by the new law will have the power to increase that minimum wage by 3.5 percent or by the increase in the Consumer Price Index, whichever is lower.
The law applies only to large fast-food chains which have at least 60 or more restaurants in the United States. To qualify as fast-food restaurants, the chains must require upfront payment, prepare food for immediate consumption, and provide little or no table service.
Minimum Wage & Salary – The minimum wage in California is $16.50 per hour for all employers. Many cities in California require a higher minimum wage than the state. For instance, the minimum wage in San Diego is $17.25.
Minimum salaries to qualify employees as exempt are twice the statewide California minimum wage. Accordingly, exempt employees must earn at least $68,640 per year ($16.50/hour x 2 x 2080 hours/year).
Based in San Diego, California the Employment Law Office of Ward Heinrichs represents both employers and employees in almost all areas of labor law. He and his firm litigate cases that have been filed in many different parts of California. Visit www.BestEmploymentAttorneySanDiego.com
