Minimum Wage

Federal and California Minimum Wage

On the federal level, the Fair Labor Standards Act (FLSA) necessitates minimum wage payment to employees who work in any workweek. On the state level, the California Wage Orders insist that every employee must receive at least the minimum wage per hour for all hours worked. According to a California appeals court, it is unlawful to average the hourly rate of the California and federal minimum wages.

Minimum wage has been increasing over the last decade. As of July 24, 2009, the federal minimum wage is $7.25 per hour. Effective January 1, 2008, the minimum wage in California is $8.00 per hour. Employers must comply with the higher minimum wage, which is California’s in this case.

Local “living wage” ordinances vary; therefore, employers may have to pay more than the minimum wage in certain cities and counties. A “living wage” is defined as “a wage sufficient to provide the necessities and comforts essential to an acceptable standard of living.”

In San Francisco, the minimum wage is higher than the state minimum wage. The hourly minimum wage is $9.92 per hour, which was effective January 1, 2011. The city minimum wage became indexed and will increase from year to year based on increases in the Consumer Price Index (CPI). It is important to note that the San Francisco minimum wage only applies to non-exempt workers, which are employees who are paid on an hourly basis.


Free Consultation- No Attorney Fees Unless You Recover Compensation

Employers who violate minimum wage laws are subject to penalties. If your employer is paying you less than the federal or California minimum wage, you are entitled to file a claim for all money owed to you. Contact Blumenthal, Nordrehaug & Bhowmik for a free consultation about your claim.