Logo for Dept of industrial relations California state seal.
Release Number: 2020-110
December 31, 2020

California’s Minimum Wage to Increase to $14 per Hour for Large Employers, $13 per Hour for Small Employers

Oakland—California’s minimum wage will increase on January 1, 2021 to $14 per hour for employers with 26 or more employees and $13 for employers with 25 or fewer employees.

California is the first state in the nation to commit to raising the minimum wage to $15 per hour statewide by 2022 for large businesses, and by 2023 for small businesses. The 2016 law increases the minimum wage over time consistent with economic expansion, while providing safety valves to pause wage increases if negative economic or budgetary conditions emerge.

Schedule for California Minimum Wage Rate

Date Minimum Wage for Employers
with 26 or More Employees
Minimum Wage for Employers
with 25 or Fewer Employees
January 1, 2021 $14.00/hour $13.00/hour
January 1, 2022 $15.00/hour $14.00/hour
January 1, 2023 $15.00/hour $15.00/hour

State law requires that most California workers be paid the minimum wage. Some cities and counties have a local minimum wage that is higher than the state rate. Workers paid less than the minimum wage are urged to contact the Labor Commissioner’s Office in their area to file a wage claim.

Employers are required to post information on wages, hours and working conditions at a worksite area accessible to employees. Notices for the wage orders in English and Spanish can be downloaded and printed from the workplace postings page on the DIR website.

Employers must ensure that the wage rate is displayed on the employee’s pay stub, and that employees are paid at least the minimum wage even when employees are paid at piece rate.

The California requirement to provide Supplemental Paid Sick Leave (SPSL) for COVID-19 related reasons expired on December 31, 2020. Employees can file a wage claim for a violation of the law if it occurred prior to December 31. More information on the SPSL expiration is available on the Labor Commissioner’s webpage.

Employees with work-related questions or complaints may contact the Labor Commissioner’s Office Call Center in English or Spanish at 833 LCO-INFO (833 526-4636). Employees not being paid or provided paid sick leave can leave a confidential tip on the Labor Commissioner’s toll free number in English or Spanish at 855 LCO-SPSL (855 526-7775).

Contact: Erika Monterroza / Paola Laverde, Communications@dir.ca.gov, (510) 286-1161