Minimum Wage

What is Minimum Wage?

Minimum wage is the lowest hourly amount that an employee may be paid for their work. Minimum wage is determined by both state and federal labor laws in the United States.

Under the Federal Fair Labor Standards Act, states and localities are permitted to set their own minimum wage rates, which will take precedence over the federal minimum wage rate if they are higher.

In California, in 2022 the state minimum wage is $14.00/hour for employers with up to 25 employees and $15.00/hour for employers with 26 or more employees.

Starting on January 1, 2023, in California, the state minimum wage will be $15.50/hour (regardless of the number of workers employed by an employer).

In Santa Clara County, some cities have their own Wage Ordinances that have higher minimum wage rates than the state.