January 3, 2019

CA & AZ State Minimum Wage Increase Now in Effect

California’s SB 3 requires an increase in minimum wage each year between 2017 and 2022, until the minimum wage reaches $15 an hour. As of January 1, 2019, California’s minimum wage has gone up from $11 per hour to $12 for employers with 26 or more employees. For employers with 25 employees or fewer, the minimum wage has gone up from $10.50 to $11.00 per hour. This, in turn, will raise the California exempt employee minimum salary requirement to $49,920 for large employers, and $45,760 for small employers (25 employees or fewer).

Due to the passage of The Fair Wages and Healthy Families Act (Proposition 206) in 2016, Arizona’s minimum wage has risen from $10.50 to $11 an hour, effective January 1, 2019. The minimum wage will increase each year until it reaches $12 in 2020.