- Highlights notable rate-related developments in the first half of 2025
- Identifies minimum wage rate increases for non-exempt (including tipped) employees
- Lists increases to exempt employee pay resulting from minimum wage increases
Summer is upon us. Beaches, barbecues, and wage increases for non-exempt, exempt, and tipped employees! While some might not be as thrilled about the last item, we are excited to help employers across the United States understand their upcoming wage obligations. So lotion up (we don’t want you to get burned) and let’s talk numbers.
Notable Post-January 1, 2025 Rate-Related Developments
California (Los Angeles): On May 27, 2025, Los Angeles Mayor Karen Bass signed into law Ordinance No. 188610, which, among many other things, increases the minimum wage applicable to workers at hotels with 60 or more rooms. On July 1, 2025, the minimum wage will be $22.50, and will increase on July 1 in future years to $25.00 (2026), $27.50 (2027), and $30.00 (2028), with annual adjustments based on inflation occurring on July 1, 2029 and on July 1 in subsequent years. The ordinance also revises the monetary amount of health benefits an employer must provide workers on an hourly basis. Notably, the amendments will reach beyond the geographic boundaries of Los Angeles, as the rates are incorporated by reference in hotel minimum wage ordinances in neighboring Glendale and Santa Monica.
California (Malibu): Although Malibu was scheduled to adjust its minimum wage...
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