The minimum wage applicable to California food restaurants increases to $20 per hour on April 1, 2024. This amount is higher than the generally applicable One of several States with minimum wage rates higher than the Federal minimum wage of $7.25 per hour, California minimum wage, which rose $16.00 per hour (or the higher locally mandated rate) for all employers on January 1, 2024. Employers should confirm their practices and budget forecasts are updated to comply with these and other federal, state or local wage and hour law changes.

Under California Assembly Bill AB 1228, beginning April 1, 2024:

• The minimum wage for covered “fast food restaurant employees” increases to $20/hour; and
• Employers covered by the fast-food minimum wage must post the supplemental fast food minimum wage notice in English, Spanish and Simplified Chinese.

Because AB 1228 did not increase the allowed tip credits for fast food employers, fast food employers still may only claim the tip credit amounts otherwise allowed by the statewide minimum wage.

Employers can be subject to minimum wage requirements under Federal, state and local laws. The current Federal minimum wage is $7.25 per hour. California is among several States with minimum wage rates set above the federal minimum wage of $7.25 per hour. The U.S. Department of Labor Wage & Hour Division State Minimum Wage Law Table provides a list of currently applicable State minimum wage rates. The generally applicable minimum wage in California is $16 per hour. California and some other states also allow cities and counties to enact higher minimum wage rates for employees working within their local jurisdiction. See e.g., UC Berkeley List. California and some other States also mandate employers to credit certain break or other times as hours worked not required to be counted under the federal minimum wage rules. Employers must count all hours of work and pay a minimum hourly wage for nonexempt employees that meets or exceeds all of these applicable requirements.

A slew of recent U.S. Department of Labor Wage and Hour Division (WHD) high dollar recoveries alert restaurant and other hospitality industry employers to clean up their Fair Labor Standards Act (FLSA) wage and hour, H-2B and other workforce compliance. These and other public and private federal and state enforcement actions show the high cost employers face for violating these and other wage laws.

For More Information

We hope this update is helpful. For more information about these or other health or other legal, management, or public policy developments, please get in touch with the author Cynthia Marcotte Stamer via e-mail or via telephone at (214) 452 -8297. 

Solutions Law Press, Inc. invites you to receive future updates by registering on our Solutions Law Press, Inc. Website and participating and contributing to the discussions in our Solutions Law Press, Inc. LinkedIn SLP Health Care Risk Management & Operations Group, HR & Benefits Update Compliance Group, and/or Coalition for Responsible Health Care Policy

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About the Author 

Recognized by her peers as a Martindale-Hubble “AV-Preeminent” (Top 1%) and “Top Rated Lawyer” with special recognition LexisNexis® Martindale-Hubbell® as “LEGAL LEADER™ Texas Top Rated Lawyer” in Health Care Law and Labor and Employment Law; as among the “Best Lawyers In Dallas” for her work in the fields of “Labor & Employment,” “Tax: ERISA & Employee Benefits,” “Health Care” and “Business and Commercial Law” by D Magazine, Cynthia Marcotte Stamer is a practicing attorney board certified in labor and employment law by the Texas Board of Legal Specialization and management consultant, author, public policy advocate and lecturer widely known for 35 plus years of health, employ benefits, insurance, hospitality, retail, construction and other industry management work, public policy leadership and advocacy, coaching, teachings, and publications.

A Fellow in the American College of Employee Benefit Counsel, Co-Chair of the American Bar Association (“ABA”) International Section Life Sciences and Health Committee and Vice-Chair Elect of its International Employment Law Committee, Chair-Elect of the ABA TIPS Section Medicine & Law Committee, Past Chair of the ABA Managed Care & Insurance Interest Group, Scribe for the ABA JCEB Annual Agency Meeting with HHS-OCR, past chair of the ABA RPTE Employee Benefits & Other Compensation Group and current co-Chair of its Welfare Benefit Committee, and Chair of the ABA Intellectual Property Section Law Practice Management Committee, Ms. Stamer has decades of experience advising and defending employers on wage and hour and other labor and employment laws.

Ms. Stamer’s work throughout her career has focused heavily on working with health care and managed care, life sciences, health and other employee benefit plan, insurance and financial services and other public and private organizations and their technology, data, and other service providers and advisors domestically and internationally with legal and operational compliance and risk management, performance and workforce management, regulatory and public policy and other legal and operational concerns. Her experience includes extensive involvement advising clients about preventing, investigating and defending EEOC, DOJ, OFCCP and other Civil Rights Act, Section 1557 and other HHS, HUD, banking, and other federal and state discrimination; EBSA, IRS, and PBGC employee benefit; WHD, CAS, Davis-Bacon and other federal and state wage and hour and other compensation; OSHA and other investigations, audits, lawsuits and other enforcement actions as well as advocacy before Congress and regulators regarding federal and state equal opportunity, equity and other laws. 

For more information about Ms. Stamer or her health industry and other experience and involvements, see www.cynthiastamer.com or contact Ms. Stamer via telephone at (214) 452-8297 or via e-mail here. 

About Solutions Laws Press, Inc.™

Solutions Law Press, Inc.™ provides human resources and employee benefit and other business risk management, legal compliance, management effectiveness and other coaching, tools and other resources, training and education on leadership, governance, human resources, employee benefits, data security and privacy, insurance, health care and other key compliance, risk management, internal controls and operational concerns. If you find this of interest, you also be interested in reviewing some of our other Solutions Law Press, Inc.™ resources available here, such as:

• Manage Health Plan HIPAA, ERISA & Other Exposures From Change Healthcare Ransomware Attack
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NOTICE: These statements and materials are for general informational and educational purposes only. They do not establish an attorney-client relationship, are not legal advice or an offer or commitment to provide legal advice, and do not serve as a substitute for legal advice. Readers are urged to engage competent legal counsel for consultation and representation in light of the specific facts and circumstances presented in their unique circumstances at any particular time. No comment or statement in this publication is to be construed as legal advice or an admission. The author and Solutions Law Press, Inc.™ reserve the right to qualify or retract any of these statements at any time. Likewise, the content is not tailored to any particular situation and does not necessarily address all relevant issues. Because the law is rapidly evolving and rapidly evolving rules make it highly likely that subsequent developments could impact the currency and completeness of this discussion. The author and Solutions Law Press, Inc.™ disclaim, and have no responsibility to provide any update or otherwise notify anyone of any such change, limitation, or other condition that might affect the suitability of reliance upon these materials or information otherwise conveyed in connection with this program. Readers may not rely upon, are solely responsible for, and assume the risk and all liabilities resulting from their use of this publication. Readers acknowledge and agree to the conditions of this Notice as a condition of their access to this publication. 

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©2024 Cynthia Marcotte Stamer. Limited non-exclusive right to republish granted to Solutions Law Press, Inc.™

This entry was posted on Tuesday, March 19th, 2024 at 6:25 AM and is filed under Child Labor, compensation, compliance, Corporate Compliance, Employer, Employers, Employment, Employment Policies, Fair Labor Standards Act, Workforce. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.