California Legislature Passes Bill to Increase Minimum Wage to $10 per Hour over the Next 10 Years

On September 12, 2013, the California Legislature approved Assembly Bill 10 (Alejo; D-Salinas), which will increase the minimum wage for California workers from the current $8 per hour to $10 per hour by 2016.  AB 10 will now go to Governor Jerry Brown, who has already indicated that he will sign the Bill into law.  This will be the first increase in the State’s minimum wage in six years. More after the break.

AB 10 provides for a $1 increase in California’s minimum wage in July, 2014, and another $1 increase in January, 2016.  This increase would move California past Washington, which now leads all states with a minimum wage of $9.19 per hour.  Cities in California, like San Jose ($10 per hour) and San Francisco ($10.55 per hour), have enacted their own minimum wage ordinances.

In a press release, the California Chamber of Commerce asserts that this Bill is a “job killer,” causing the State’s minimum wage to increase beyond any predicted rate of inflation.  The California Chamber of Commerce also states that the increase in minimum wage may jeopardize California’s economic recovery.

For an additional article on AB 10, click here.

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