California Raises Minimum Wage to $10…. but not until 2016

Fast Food Workers-Pay Minimum Wage

Good news for McDonald’s employees of California – they only have to work TWO jobs now to get by! The state of California is set to raise its minimum wage to $10 an hour.

But not until 2016… The current minimum wage is $8, but it will rise to $9 in July 2014, and to $10 by January 2016. Better late than never?

An hourly rate of $10 is still below Canadian standards but well above the U.S. federal minimum wage of $7.25. And, once the wage hike takes effect, California will have the highest minimum wage out of all the states. Washington state has the highest at $9.19 an hour, followed by Oregon at $8.95 and Vermont at $8.60. And the lowest? Georgia and Wyoming tie for the win at $5.15 an hour! Yikes.

The Democrat-control state Senate passed the bill and Governor Jerry Brown has pledged to sign it. The 25% increase is the first minimum-wage hike in California in five years and according to Jerry Brown, it’s about time.

“The minimum wage has not kept pace with rising costs,” Brown said in a statement. “This legislation is overdue and will help families that are struggling in this harsh economy.”

Republicans have been critical of the bill, which they say will hurt small business/Wal-Mart owners. The California Chamber of Commerce is equally unimpressed, calling the wage hike a “job killer”.

“A 25% increase in labor costs will result in fewer job opportunities for Californians looking to get back on their feet,” the group said on its website.

Maybe so, but with an extra $2 an hour, those McDonald’s employees will definitely be able to maintain their budget journal! Maybe they can use it to up their heating costs from $0 to something.

Via: The Los Angeles Times

No comments yet.

Leave a Reply