With the new year come new laws. Below is a rundown of a few of the state laws that took effect on Jan. 1 and how they will affect things locally.
Senate Bill 3: Minimum wage increase
Beginning Jan. 1, many employees statewide will be making a slightly higher wage. Companies with 25 employees or fewer will be required to pay $14 per hour, while companies with more than 26 employees will have to pay $15 per hour.
For many Santa Cruz businesses and their employees, the change won’t amount to much. Emily Ham, executive director for Santa Cruz County Business Council, told Lookout that she believes the hospitality and restaurant industries may be most impacted by the bill, but many businesses locally already pay above the new state minimum.
“They have to incentivize people to work here — we’re ahead in that sense,” she said.
For example, since July 1 of this year, the required living wage for companies that do business with the county is $18.10. If benefits are not provided, the wage increases to $19.74. That rate is the same for Santa Cruz and Capitola city contractors.
From an unofficial survey of the business council’s membership, Ham found that most employers felt the wage increase was both “long overdue” and “already in practice.”
“The minimum wage really impacts how we create a more competitive county for people to start a business in…regardless of the industry, you have to pay more to live here,” she said.
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