On July 1, 2018 small businesses will have to pay a new minimum wage of $12.00 The current minimum wage is $10.50. What about disparities between jurisdictions that may or not be covered by the County minimum wage? Economic stimulus and a boost for small business:  Many economists argue that small businesses will benefit from a higher minimum wage, because raising the minimum wage will lead to a more stable and productive workforce by reducing turnover and lowering the costs of recruiting, training and retaining new employees. * Novato has a third category of minimum wage, for very large businesses with 100+ employees. California state law prohibits employers from counting tips toward wages, although “tip pooling” is allowed for “front and back of house” workers. Several hundred County contractors, and their unknown number of additional employees, could also be included. 40 years later, it is at least $10.50/hour in Los Angeles County and, in some locations, quite a bit higher. In addition, while some economists worry that businesses will flee to lower minimum-wage jurisdictions to cut payroll costs, others argue that such negative impacts would be more than offset by the most capable workers seeking higher pay and migrating to higher minimum wage jurisdictions, taking their consumer spending power with them. The City of Los Angeles is the largest of the County’s 88 cities, with nearly 40% of the County’s total population. Living Wage Calculation for Los Angeles County, California. As large employers know, keeping up new and changing labor laws is tough enough just at the state and federal level. Today, it would take $10.51 to purchase what could be purchased with the minimum pay for an hour 40 years ago, according to a Bureau of Labor Statistics inflation calculator . What is the argument for establishing a County minimum wage, apart from any city or state minimum wage? The major benefit is poverty alleviation among lowest wage earners, 70% of whom are women and many struggling to support their families. All proposals include a gradual phase-in over several years, along with careful monitoring so that implementation could be adjusted to minimize or offset any negative or disparate economic impacts as they might be identified. Beginning July 1, 2016, employers must display the new L.A. County Minimum Wage notice in a conspicuous place at any workplace or jobsite located in the unincorporated areas of the County where any employee works. About 2.7 million Angelenos live in poverty as defined by the Stanford University/Public Policy Institute of California – under $30,000 for a family of four. The federal minimum wage remains unchanged at $7.25. Future Minimum Wage Rates. For employers with 25 or fewer employees or non-Profit corporations with 26 or more employees with approval to pay a deferred rate, the wage is increased to $13.25 per hour. It’s a little known fact, however, that 62% of LA’s tipped workers make below $25,000 per person, including 70% of restaurant workers. Who would be covered under its provisions? Los Angeles County, one of California’s original 27 counties, was established on Feb. 18, 1850. Also, more than 56% of tipped workers are outside of the restaurant industry, in the hospitality, carwash, nail and beauty salon, and massage industries. Therefore, both as wage-setter for unincorporated areas, and as a responsible and important large employer, LA County’s minimum wage policy is important. A labor-funded report released by the Los Angeles County Federation of Labor and conducted by the Economic Roundtable concluded that the wage hike would result in … For the most part, it is. Since passage of the Los Angeles Citywide Minimum Wage, the County of Los Angeles adopted a minimum wage program with the same wage schedule. It is one of the nation’s largest counties with 4,084 square miles, and has the largest population of any county … They reached widely differing conclusions in terms of local and regional employment and economic impacts. Employers are required to pay the minimum wage set forth below for all hours worked. The OWS ensures that employers in the City comply with the appropriate minimum wage rates specified by the Ordinance through community outreach … Steady increases have been taking place every year since July 1, 2016. The Los Angeles County Board of Supervisors voted Tuesday to incrementally raise the minimum wage to $15 an hour in unincorporated areas of the county by 2020. Categories. The minimum wage for workers in the unincorporated areas of Los Angeles County will increase yearly starting July 1, 2016. Employees in the unincorporated areas of L.A. County must be paid the increased minimum wage, with few exceptions. The minimum wage in California is $13 an hour. 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