California Raises Minimum Wage for Healthcare Employees

new law has been passed in California that increases the minimum wage for a majority of healthcare workers in the state to $25 per hour, regardless of whether they receive a salary or get paid by the hour. The law also disregards whether an employee works full or part-time. 

The wage increase will be executed incrementally over the subsequent years in five separate schedules for covered healthcare employees, depending on the “nature of the employer.” By June 1, 2025, all covered healthcare workers will receive a minimum wage of $25 per hour. 

The law defines a “covered health care employee” as a healthcare facility employee who provides patient care, health care services, or services supporting the provision of health care, including both contracted or subcontracted employees. 

The law applies to a variety of workers in a healthcare facility, including janitors, housekeeping staff, groundskeepers, guards, clerical workers, nonmanagerial administrator workers, food services workers, gift shop workers, and other staff “supporting the provision of healthcare,” regardless of formal job title. Roughly 450,000 healthcare workers in California are expected to be impacted by the increase. 

This law will come into effect on June 1, 2024, giving employers time to ensure compliance.