Although many employers are aware of the upcoming change to the California state minimum wage, here is one last reminder. The California state minimum wage will increase to $9.00 an hour starting July 1, 2014 and up to $10.00 per hour by January 1, 2016.
In July 2014, the minimum salary test for the Executive, Administrative, and Professional overtime exemptions will increase from $33,280 to $37,440 annually. In January 2016, the minimum salary test will increase to $41,600 annually for those exemptions.
Employers with collective bargaining agreements with different overtime premiums than authorized by the Wage Orders should verify if their union employees are earning at least 30 percent more than the new California state minimum wage. Please make sure you have looked into these issues for your organization.