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Bartz Law Group

Employee Rights Advocates

California Salary Laws – What Workers Need to Know

California Salary Laws

As an employee in California, you should know the state’s laws and regulations regarding salary and compensation. These laws are designed to protect you and ensure you are paid fairly for your time and labor. By understanding these laws, you can advocate for your rights as an employee and ensure that you are being compensated fairly and equitably for your work.

California salary laws

California wage and hour laws apply to all employees who work in the state. Employees are classified as either exempt or non-exempt. Exempt employees are not entitled to overtime pay and must meet certain criteria. Non-exempt employees are entitled to overtime pay and must be paid at least the minimum wage for all hours worked.

California’s pay transparency laws require employers to provide job applicants with a pay scale for the position they are applying for upon request and prohibit employers from relying on an applicant’s salary history as a factor in determining their compensation. These laws are designed to promote pay equity and prevent employers from perpetuating pay disparities based on past compensation.

Minimum salary for non-exempt employees in California

As of January 1, 2023, the minimum wage in California is $15 per hour for employers with 26 or more employees and $14 per hour for employers with 25 or fewer employees. Some cities and counties in California may have higher minimum wage rates.

If an employer has violated California salaried employee laws, you can file a claim with the California Labor Commissioner’s Office to recover any unpaid wages, overtime pay, or other compensation that is owed.

Minimum salary for “white-collar” workers?

White-collar workers who are exempt from overtime pay must earn a monthly salary equivalent to at least two times the state minimum wage for full-time employment. This means that white-collar workers must earn a monthly salary of at least $5,040 for full-time employment with employers who have 26 or more employees, and $4,666.67 for employers with 25 or fewer employees.

Some white-collar employees may be entitled to overtime pay despite being classified as exempt if they do not meet the salary threshold or duty tests required under California law. Some cities and counties in California may have higher minimum wage rates that may impact the minimum salary threshold for white-collar workers.

Can my employer pay men and women different salaries?

Under California law, employers are prohibited from paying men and women differently for doing substantially similar work. This is known as the California Equal Pay Act and applies to all employers in the state. California’s Fair Pay Act also requires that employers provide equal pay for “substantially similar work” across gender, race, and ethnicity. California also has pay transparency laws under Senate Bill 1162, which require employers to provide employees with a pay scale for their position upon reasonable request.

Can my employer reduce my salary?

In California, an employer cannot reduce an employee’s salary without providing notice and obtaining the employee’s consent. However, there are some exceptions to this rule. For example, if the reduction is part of an overall reduction in the workforce or the employee’s duties or responsibilities have changed significantly.

For exempt employees, there are certain requirements that must be met in order to reduce their salary. If an employer reduces an exempt employee’s salary below the threshold amount, then the employee may no longer be exempt and may be entitled to overtime pay.

Suing an employer for violating California salary laws

You could sue your employer for California salary laws violation. You can file a claim with the California Labor Commissioner’s Office or file a lawsuit in court. If you decide to file a lawsuit, you may be able to recover unpaid wages, and interest. There are strict deadlines for filing claims and lawsuits related to wage and hour violations in California. It’s a good idea to consult with an employment law attorney to understand your rights and options under California law.

California has some of the most employee-friendly salary laws in the United States. These laws provide important protections for workers and help ensure that employees are paid fairly for their work. If an employer has violated California’s wage and hour laws, consult with an employment law attorney to understand your rights and options.