As of 2025, California state minimum wage is $16.50 per hour and the state minimum salary for exempt workers now $68,640.00.
2025 Local City Minimum Wages
In 2025, multiple cities have increased their minimum wages:
- San Jose: $17.95 per hour
- Sunnyvale: $19.00 per hour
- Menlo Park: $17.10 per hour
- Foster City: $17.39 per hour
- Mountain View: $19.20 per hour
- Redwood City: $18.20 per hour
- San Mateo: $17.95 per hour
- Santa Clara: $18.20 per hour
- Burlingame: $17.43 per hour
- Daly City: $17.07 per hour
- Palo Alto: $18.20 per hour
- San Carlos: $17.32 per hour
- Milpitas: $17.70 (July 1, 2024)
As an Attorney who advises employers, it is critical that employer check on the minimum wage not just at the California state level, but also the minimum wage for local cities who may enact their own minimum wage pay which can be higher than the state minimum wage.
Navigating multiple minimum wage requirements across different jurisdictions can be complex. A knowledgeable business attorney can help ensure your payroll practices comply with all applicable state and local wage laws.
New Exempt Salary for California
For workers that are not paid by the hour, but on a salary, then new exempt wage is $68,640. This exempt wage amount does not change based on the local minimum wage laws of a city.
What happens if you don’t pay the minimum wage?
If an employer fails to pay the minimum wage, then any shortfall will be unpaid wages. In addition to the unpaid wages an employee may also be entitled to twice the unpaid minimum wage under California Labor Code 1194.2.
How will employees seek to enforce their rights from an employer?
- Employees may communicated directly with the employer.
- Employees may file a wage claim the Department of Labor Standards and Enforcement.
- Employees may file a lawsuit.
- Employees may also join or be represented in a class action lawsuit for back wages, unpaid minimum wages or other unpaid wages.
As an attorney who represents employers involving wage and hour lawsuits, Nick Heimlich as experience in handling these claims and helping employers to make their payroll more compliant before and after a lawsuit.
Facing wage and hour claims can be costly and time-consuming. An experienced business lawyer can help you defend against these claims and implement compliant payroll practices to prevent future disputes.
Ensure Your Business Stays Compliant with 2025 Wage Laws
With varying minimum wage requirements across California cities and significant penalties for non-compliance, staying current with wage and hour laws is critical for employers. Don’t risk expensive lawsuits, penalties, or class action claims due to payroll mistakes.
Contact Nick Heimlich Law to review your payroll practices and ensure compliance with 2025 minimum wage laws. Our experienced employment law team can help you navigate complex wage requirements, defend against claims, and implement systems to keep your business compliant and protected.