Local minimum wage earners will see a jump in pay of more than $1 an hour later this year.
Pasadena Now has learned the city’s minimum wage will increase to $16.11 in July.
The increase has left some concerned about the impact on small businesses.
The minimum wage is the starting hourly wage an employer can pay an employee for work.
Locally, the Pasadena City Council adopted a Minimum Wage Ordinance on March 14, 2016.
The wage increased on July 1, 2016 to $10.50 and increased by $1.25 every year on that date until it reached $15 in 2020.
Businesses with 25 or fewer employees and qualifying non-profits have an additional year to comply with the sequential wage increases.
The increase to $16.11 is based on a provision that increases the wage based on the Consumer Price Index (CPI). Inflation has slammed local consumers.
The CPI measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.
Inflation has slammed local consumers.
“Inflation affects all of us but has the greatest impact on lower wage workers,” said Vice-Mayor Andy Wilson. “So while I appreciate increases in the minimum wage often put additional pressure on small businesses and restaurants especially as they look to recover from pandemic challenges, I believe they are better able to absorb these increases than low wage workers who often struggle to make ends meet.”
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