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California Wage Increases In 2023

Employment laws in California are constantly evolving, and it’s important for both employers and employees to stay up-to-date on the latest changes. In 2023, there are several significant employment law changes taking place in California that will affect minimum wage amounts, overtime pay, and more.

First, let’s start with the minimum wage. In California, the minimum wage is set to increase on January 1, 2023, from $14 per hour to $15 per hour for businesses with 26 or more employees. For businesses with 25 or fewer employees, the minimum wage will increase from $13 per hour to $14 per hour. This minimum wage increase applies to all non-exempt employees, including part-time and temporary workers.

In addition to the minimum wage increase, there are also changes to overtime pay rules in California. Currently, non-exempt employees are entitled to overtime pay (1.5 times their regular rate of pay) for any hours worked over 8 hours in a day or 40 hours in a week. Starting in 2023, the overtime pay rules will change so that non-exempt employees will be entitled to overtime pay for any hours worked over 9 hours in a day or 45 hours in a week. This change will help ensure that employees are fairly compensated for their hard work and time spent on the job.

Effective Changes to California Family Rights Act (CFRA)

Another important change that is set to take effect in 2023 is the expansion of the California Family Rights Act (CFRA). The CFRA is a state law that gives employees the right to take unpaid, job-protected leave for certain family and medical reasons. In 2023, the CFRA will be expanded to cover all employers with five or more employees, regardless of whether the employees work full-time or part-time. Previously, the CFRA only applied to employers with 50 or more employees. This expansion will provide more employees with the ability to take time off for family and medical reasons without fear of losing their jobs.

California Fair Employment and Housing Act (FEHA)

Finally, there are also several changes to employment discrimination laws in California that will take effect in 2023. One of the most significant changes is the expansion of the California Fair Employment and Housing Act (FEHA), which prohibits employers from discriminating against employees based on certain protected characteristics, such as race, religion, and sexual orientation. In 2023, the FEHA will be expanded to include additional protections for employees, including protections against discrimination based on hairstyles and natural hair. This change will help ensure that all employees are treated fairly and with respect, regardless of their appearance.

In summary, there are several significant employment law changes taking place in California in 2023, including an increase in the minimum wage, changes to overtime pay rules, the expansion of the CFRA, and additional protections against employment discrimination. It’s important for both employers and employees to stay informed about these changes and to ensure that they are fully compliant with the new laws.

If you think you have been the victim of wrongful termination, wage discrimination or theft, or other employment law violations in California, please contact us for a free confidential strategy session with a Human Resources Specialist to know your rights.

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