Find Out the 2025 California Minimum Wage by City and Industry

Starting January 1, 2025, California’s minimum wage will rise to $16.50 per hour, marking a 50-cent increase from the current rate of $16. This change comes as part of a statutory adjustment linked to inflation, with the increase based on the U.S. Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).

The California Department of Finance calculated a 3.18% rise in the CPI-W from July 2023 to June 2024 compared to the previous year, triggering this adjustment. The new rate applies to all employers statewide. Additionally, the salary threshold for exempt employees will rise from $66,560 annually ($1,280 per week) to $68,640 annually ($1,320 per week) beginning January 1, 2025.

Beyond the statewide increase, certain sectors will see even higher minimum wages. For example, fast-food workers are required to earn at least $20 per hour, based on state law. The California Fast Food Council has the authority to raise this rate further as of January 1, 2025, but has yet to do so. Healthcare workers must also earn at least $23 per hour through June 30, 2025, with that rate set to increase to $24 per hour and then $25 per hour by July 1, 2026.

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In addition to the statewide increases, many California cities will implement their own local minimum wage hikes. The following cities have specific increases taking effect on January 1, 2025:

• Belmont: $18.30 per hour
• Cupertino: $18.20 per hour
• Daly City: $17.07 per hour
• East Palo Alto: $17.45 per hour
• El Cerrito: $18.34 per hour
• Foster City: $17.40 per hour
• Half Moon Bay: $17.47 per hour
• Hayward: $17.36 per hour for employers with 26+ employees; $16.50 per hour for employers with 25 or fewer employees
• Los Altos: $18.20 per hour
• Mountain View: $19.20 per hour
• Novato: $17.27 per hour (larger employers pay more)
• Oakland: $16.98 per hour
• Palo Alto: $18.20 per hour
• Petaluma: $17.97 per hour
• Redwood City: $18.20 per hour
• Richmond: $17.77 per hour
• San Carlos: $17.32 per hour
• San Diego: $17.25 per hour
• San Jose: $17.95 per hour
• Sunnyvale: $19.00 per hour
• West Hollywood: $19.65 per hour

Employees in these areas should expect to see increases specific to their city’s requirements.

California workers who believe their employer is not paying the minimum wage can file a complaint with the Labor Commissioner’s Office for assistance in recovering unpaid wages.

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