California now holds the title for the state with the highest minimum wage in the country.
Effective July 1, 2015, employers were required to pay employees at least $9/hr. Effective January 1, 2016, it increased again to $10/hr. This means several important things for you as business owners and managers, including but not limited to:
- Evaluate your current salary structure to determine how the increase will affect pay ranges for all positions.
- Exempt commission salespeople need to earn at least $15.00/hr. under wage order 4 and 7.
- White collar overtime exemption requires a minimum monthly salary of $3,466.67 (based on a 40-hour work week).
We recommend taking several steps to ensure compliance with the new law including assessing your wage, employee classification and timekeeping practices.
Remember: As a valued HR Business Partner, we are here to assist!
