• San Francisco Employers: Get Ready for More Wage Increases
  • May 13, 2015 | Authors: Katherine A. Hren; Richard S. Rosenberg
  • Law Firm: Ballard Rosenberg Golper & Savitt LLP - Glendale Office
  • In November 2014, San Francisco voters passed a "Minimum Wage Ordinance" that "not-so-gradually" increases the minimum wage for all employees working in the City and County of San Francisco over the next several years. The Minimum Wage Ordinance took effect on January 1, 2015, increasing the minimum wage from $10.74 per hour to $11.05 per hour. It will continue to increase the minimum wage in increments, as follows.

    May 1, 2015: $12.25 per hour.
    July 1, 2016: $13.00 per hour.
    July 1, 2017: $14.00 per hour.
    July 1, 2018: $15.00 per hour.

    Thereafter, further increases will occur, the amounts of which will be tied to "cost of living increases" in San Francisco.

    The wage increases apply to any person who performs at least two hours of work in a particular week for an employer within the geographic boundaries of the City or County. However, the wage increases do not apply to certain employees who are already exempt from the state minimum wage. Additionally, the Minimum Wage Ordinance may be waived by a collective bargaining agreement that meets certain requirements. To be effective, the waiver must be contained in a collective bargaining agreement, must be express, and must be in clear and unambiguous terms. Before relying on this exemption, employers should consult with labor counsel to ensure the exemption applies.