When California voters wend their way through the usually convoluted and complicated election ballot this November 5, whether they fill out their ballot at the kitchen table at home or actually go the few remaining polling places, one issue they will face will be whether or not to approve Proposition 32, (see second page of the Voter Information Guide) which raises the California minimum wage and indexes it to inflation in the future.

The wording of Proposition 32 could apply the new $17 minimum wage as early as the fifth day after the Secretary of State certifies the election results, as required by article II, Section 10(a) of the California Constitution. That means the minimum wage would rise to $17 on December 13 (superseding $16.50 on January 1, as previously certified to implement the existing Labor Code minimum wage inflation adjustment), followed by another increase to $18 on January 1, 2025.

Additionally, this unexpected rise in the minimum wage will have all sorts of knock-on effects:

• Some local minimum wage ordinances are tied to the state minimum wage, and will adjust accordingly;
• The minimum salary for white collar exempt employees will increase;
• The minimum 50% overtime premium and 100% double-time premium (payable after 12 hours in a workday);
• The hourly pay for a split-shift premium will also increase with the state minimum wage;
• The pay for rest breaks for piece rate employees will increase if the new minimum wages are higher that employees’ current hourly rate;

FELS will monitor the fate of Proposition 32 and its implementation if it is approved by the voters. Stay tuned!