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Reminder: Hourly Wages Set to Go Up on July 1 for Los Angeles Area Employees


Los Angeles area employers and employees likely are aware that in less than a month, a raise in the minimum wage rate will occur.  For those that are not aware or simply forgot, take note!

On July 1, 2016, Los Angeles City or County employers with 26 or more employees will be required to pay an hourly rate of $10.50.  For those employers with 25 or fewer employees (or non-profits with 26 or more employees that have approval to pay a deferred rate), the minimum wage increase will be deferred for a year.  The hourly rate will continue to rise every July 1 thereafter for several years until it reaches $15.00/hour.  

Of course, the question arises of what kind of penalties will be put in place for a violation of this new ordinance.  An employer who violates the ordinance is liable to the employee for payment of back wages and an additional penalty of $100/each day the violation occurred (or continued).  Note, there are also administrative fines that will apply to each violation as well.

In addition, there are also notice requirements that employers must follow.  The Ordinance requires that employers post in a clearly visible at any workplace or job site where employees work, a notice published every year by the Los Angeles Wage Enforcement Division.  (See the link below for a copy of the most recent notice).  As many would expect, notices must be translated if at least 5% of the workplace or job site speaks a different language.  (Again, the link below includes copies of the notice in several languages).

It is important for employers (and employees) to stay up to date and track any changes that might occur as a result of this new Ordinance.  With minimum wage at the forefront of a lot of employment law related discussion recently, I would expect enforcement of this Ordinance to be strong.


For additional information:  http://wagesla.lacity.org/#information

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