California employers need to review their practices and policies to ensure compliance with the various local minimum wage increases taking effect across California on July 1, 2023. Here are five items employers should consider prior to the July 1 deadline:
1. Ensure the company understands which city and county they are located within.
Many cities and counties provide resources to help companies determine which city or county’s jurisdiction they are located within. For example, the City of Los Angeles provides this resource.
2. Ensure employees who travel and work in other cities and counties are paid the appropriate minimum wage.
Many of the local ordinances that require a higher minimum wage than the state minimum wage specifically state when that city or county law will cover an employee who works within that jurisdiction. For example, Santa Monica and the City of Los Angeles assert jurisdiction over employees who work within their jurisdiction for a minimum of two hours a week:
- Santa Monica: Law applies to any employee working a minimum of two hours within Santa Monica in a given week (even if employer is located outside of Santa Monica).
- City of Los Angeles: Ordinance applies to “[a]n employee … who performs at least two hours of work in a particular week within the City of Los Angeles….”
Employers should review the various jurisdictions that their employees may travel into to ensure compliance with those requirements.
3.Ensure pay stubs reflect the increased...
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