Several states, cities and municipalities in the United States will experience an increase in the minimum wage starting in July 2025. The state that will appreciate this increase the most is California.
This increase will come about thanks to the entry into force of a new package of laws encompassed by the National Employment Law Project.
Some of the states that will notice this increase are Fremont, Milpitas, Pasadena, Berkeley, Alameda or San Francisco. In Los Angeles, the annual salary amount is $68,640. Hotel and airport workers will experience a $22.50 or $21.01 increase, pending a referendum, while in Santa Monica, the same measure will be adopted after a vote.
National Employment Law Project
The National Employment Law Project (NELP) is a U.S.-based nonprofit organization dedicated to protecting workers’ rights. It promotes policies and programs that create decent jobs, promote upward social mobility and improve workers’ rights. It is important to them that the labor supply be made up of jobs that are dignified, fair, with benefits and with secure conditions. The presence of this key organization in the struggle for labor rights and the creation of a fair economy for workers. As of January 1, 2025, several states experienced an increase in the total minimum wage.
However, seven months later, on July 1, 2025, more than a dozen cities and states will receive a new increase due to the implementation of new laws. Of the states benefiting, it will be California that will notice those changes the most, according to the National Employment Law Project. To ensure that this new measure is implemented correctly, both employees and employers must review local wage laws, post the necessary notices and proceed with the corresponding raises for each employee.
List of benefited states
In January 2025, the minimum wage in California was set at $16.50 per hour. However, several cities and counties have agreed to a higher minimum income than that determined by the state, so employers will be required to follow the higher applicable wage rate. Some of the counties and cities that fall under the list of wage increases are:
- Alameda: $17.46 per hour.
- Berkeley: $19.18 per hour.
- Emeryville: $19.90 per hour.
- Fremont: $17.75 per hour.
- Los Angeles (city): $17.87 per hour.
- Los Angeles County (unincorporated areas): $17.81 per hour.
- Milpitas: $18.20 per hour.
- Pasadena: $18.04 per hour.
- San Francisco: $19.18 per hour.
- Santa Monica: $17.81 per hour.
Specific increases in California
In addition to adjusting the wage increase according to the amount determined by the state or local authorities, some cities have decided to establish increases in specific labor sectors. This is the case of the city of Los Angeles, California. It has been decided that workers in hotels with more than 60 rooms, considered large, as well as workers at the Los Angeles airport, will be paid a minimum of $22.50.
This figure is pending approval by a local authority. This figure is pending approval by a referendum, which may reduce it to $21.01.
The city of Santa Monica is also awaiting the outcome of the referendum, as it will adopt the same rate as Los Angeles. On the other hand, the minimum wage for hotel workers in West Hollywood will increase over a one-year period (July 2025-June 2026), totaling $68,640 annually.
Are there any exempt jobs?
The answer to that question is yes. Those workers in executive, professional or administrative jobs are exempt, so they must receive a minimum annual salary of $68,640. How is this figure obtained? From a multiple of the state minimum salary.
That is why any modification in it, will also affect this amount. However, any other modifications set by cities or specific sectors have no effect whatsoever.
