Airport and hotel employers should take note of industry-specific increases in three cities, including Los Angeles
On July 1, 2025, minimum wage increases will go into effect in a number of cities and counties in California. To ensure compliance, employers with workers in the state should review their applicable local wage laws, post the necessary notifications, and implement increases for their employees when appropriate.
State and County Wage Increases Effective July 1, 2025
California's statewide minimum wage is currently set at a rate of $16.50 per hour. However, many cities and counties have enacted ordinances that establish minimum wages rates that are higher than the statewide requirement. In these localities, employers must always pay employees the highest applicable wage rate.
The following is a list of the cities and counties that have enacted local minimum wage increases that will take effect on July 1:
See a full list of all California city and county minimum wage rates as of January 1, 2025, compiled by the UC Berkeley Labor Center.
Industry-Specific Wage Increases Effective July 1, 2025
Additionally, the following cities have enacted ordinances that require industry-specific wage increases that become effective July 1:
- City of Los Angeles: The Los Angeles City Council recently approved a wage increase to $22.50 per hour for hotel workers at hotels with over 60 rooms and airport employees, effective July 1, 2025, through June 30, 2026. However, a referendum petition has been filed which could suspend this amendment. If the referendum petition is certified by the city clerk, the minimum wage rate increase will remain consistent with the city's typical yearly adjustment and will be $21.01 per hour.
- Santa Monica: Santa Monica's hourly wage for hotel workers is required to match that of the City of Los Angeles.[1] Thus, it will increase to $22.50 per hour on July 1, unless the City of Los Angeles' amendment is suspended, in which case the rate will be $21.01 per hour.
- West Hollywood: The minimum wage for hotel employees will increase to $20.22 per hour, effective July 1, 2025, through June 30, 2026.
DWT will continue to monitor these minimum wage rates and provide updates as developments arise.
[1] The term "hotel workers" includes those who work for businesses operating on hotel property.
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