Minimum Wage Increases Going Into Effect for California, Washington, New York, & More

December 19, 2017
By

Category: Payroll, Compliance

Minimum Wage Increases

Minimum wages are set to increase across a variety of states and jurisdictions in the new year. Arizona, California, and Washington will all see minimum wage increases on January 1, 2018, while New York will go into effect on December 31, 2017. Read on for further information on minimum wage increases in these states, and how Zenefits can help you comply with the new wage requirements in your location.

NOTE: Minimum wages will also be increasing in several localities, including New York City, Seattle, Oakland, and others. Employers should ensure that they are in compliance with state as well as local regulations when compensating their workforce in 2018.

New York

In addition to its Paid Family Leave Program, New York employers will also need to comply with a statewide minimum wage increase on December 31, 2017 to $10.40 per hour.

  • New York City: New York City will increase minimum wages for large employers (of 11 or more) to $13.00 per hour, and $12.00 per hour for small employers (10 or fewer).

Employer Notice Requirements: New York employers must place a minimum wage poster in their place of business, where it will be visible to workers and employees. Further information on posting requirements, wage calculations, and enforcement can be found here.

Arizona

Arizona’s Paid Sick Leave Law went into effect on July 1, 2017, increasing the state minimum wage from $8.05 to $10.00 per hour. Wages are set to increase again on January 1, 2018, to $10.50 per hour.

Employer Notice Requirements: Arizona employers must place a minimum wage poster in a conspicuous place where it is available to employees. Further information on posting requirements, wage calculations, and enforcement can be found here.

California

Minimum wage rates across the state of California are set to increase on January 1, 2018. Statewide, wages will increase to $10.50 per hour for employers with 25 or fewer employees, and $11.00 per hour for employers with 26 or more employees. Wages will also increase across a variety of California localities, including the ones listed below:

  • Oakland: $13.23 per hour
  • Palo Alto: $13.50 per hour
  • San Jose: $13.50 per hour

Employer Notice Requirements: California employers are required by the Department of Industrial Relations to post information related to wages, hours, and working conditions in an “area frequented by employees.” Further information on the minimum wage phase-in requirement can be found here.

Washington

Washington employers are required to comply with the state’s Paid Sick Leave Initiative and increased minimum wages as of January 1, 2018. The statewide minimum wage is set to increase to $11.50 per hour. Wages will also increase in certain Washington districts, including Seattle, SeaTac, and Tacoma as follows:

Seattle: Seattle will increase minimum wages for employers with 501 or more employees, who make payments toward an employee’s medical benefits to $15.00 per hour.

Employers with 501 or more employees who do not make payments toward employees’ medical benefits will be required to pay $15.45 per hour.

SeaTac: The 2018 minimum wage for the city of SeaTac is $15.64 per hour.

Tacoma: A minimum wage increase of $12.00 per hour will be phased in on January 1, 2018.

Employer Notice Requirements: Washington employers are required to post the Your Rights as a Worker poster, which provides information on minimum wage and other topics to employees. For further information on the statewide minimum wage and local ordinances, visit the Washington Department of Labor’s website here.

Minimum wages will be increasing in a number of other states and jurisdictions. For further information on which changes may apply to you, and how you can prepare your business, contact our HR Advisor team today!

About

Anagha Krishnan is a Regulatory Analyst at Zenefits. She is focused on developments in the HR, Benefits, and Payroll space, and helping small businesses get in compliance with new regulations. A Berkeley Law grad, Anagha enjoys pop culture podcasts, trying out new tea blends, and getting to the beach when she can.

Category: Payroll, Compliance


You might also like