Wage and Hour Laws in California

Key Takeaway:

California’s 2025 wage and hour laws set a $16.50 minimum wage, raise exempt salary thresholds to $68,640, and adjust rates for certain industries. Employees have the right to fair pay, breaks, and overtime, while employers must comply to avoid violations. Freeburg & Granieri, APC, can help protect your rights.

Minimum Wage

California's minimum wage sets the baseline for how much employers must pay their workers. Here's a breakdown of the rates effective January 1, 2025:

• General Minimum Wage: $16.50 per hour for most employees in the state, according to Laner Muchin.
• Minimum Wage for Fast Food Workers: Starting April 1, 2024, fast food restaurant employees covered by the new law are entitled to a minimum wage of $20.00 per hour.
• Minimum Wage for Healthcare Workers: The minimum wage for many healthcare workers increased to $24.00 per hour on July 1, 2025. However, this does not apply to all healthcare workers or healthcare facilities.

Minimum Wage Variations by City and County

Some California cities and counties have established even higher minimum wages than the state standard.

Exceptions to Minimum Wage

California's minimum wage is subject to a few exceptions, such as apprentices and students in certain work-study programs. It's important to check whether these exceptions apply to your situation.

Exempt Salary Thresholds for 2025

• Executive, Administrative, and Professional Exemptions: Employees in these categories must earn at least $68,640 per year to be classified as exempt from overtime requirements.
• Highly Compensated Exemption: The salary threshold for the highly compensated exemption will also increase in 2025.
• Automatic Increases: California law may include automatic increases to wage and salary thresholds—such as adjustments every three years—to reflect economic changes.

Overtime

Overtime pay ensures you're adequately compensated for working longer hours. Here's what you need to know about overtime in California:

Overtime Eligibility in California

Generally, non-exempt employees who work more than eight hours a day or 40 hours a week qualify for overtime pay.

Overtime Pay Rates

Overtime is calculated at one and a half times your regular pay rate for hours exceeding eight in a workday or 40 in a workweek. If you work more than 12 hours daily, you're entitled to double time, which is twice your regular rate.

Daily Overtime vs. Weekly Overtime

California law considers both daily and weekly overtime. You could qualify for overtime pay even if your workweek doesn't exceed 40 hours but you worked more than eight hours in a day.

Seventh-Day Pay Premium

If you work more than six days in a workweek, you're entitled to time-and-a-half pay for the first eight hours worked on the seventh day and double time for any hours exceeding eight on that day.

Meal and Rest Breaks

California mandates meal and rest breaks to ensure employee well-being and prevent burnout. Here's a closer look at these requirements:

Meal Period Requirements

Employees who work more than five consecutive hours must be provided with a 30-minute unpaid meal break. Employers must relieve you of all work duties and allow you to leave the premises during this break. You are entitled to a second meal period if you work more than 10 hours in a day.

Rest Break Requirements

You're entitled to a 10-minute paid rest break every four hours of work, which should be spread out throughout your workday.

Employer Responsibilities During Meal and Rest Breaks

Employers must refrain from interrupting your meal or rest breaks for work purposes. They must also provide a suitable area for you to take these breaks.

Wage Payment

Understanding how and when you get paid is crucial.

• Frequency of Paychecks: Employers must pay you at least twice a month, with some exceptions for certain industries. Your employer should have a posted pay date and/or payroll schedule.
• Acceptable Forms of Payment: Wages can be paid through direct deposit, check, or another legal form of payment with your consent.
• Itemized Pay Stubs: You should receive a detailed pay stub with each paycheck outlining your gross wages, deductions, net pay, and any accrued sick time.

What Should Be Included on a Pay Stub

A proper pay stub should include your name, pay period, regular wages earned, overtime pay, pre-tax deductions, post-tax deductions, and net pay.

Withholding of Wages

Employers can make certain lawful deductions from your paycheck, such as taxes, Social Security, and Medicare. Deductions for uniforms, tools, or meals are allowed only under strict conditions. If you suspect unlawful deductions, consult an employment attorney at Freeburg & Granieri, APC or contact the California Department of Industrial Relations (DLSE).

Recordkeeping Requirements

California law mandates that employers maintain specific employee records. Here's what you need to know:

• Employer Responsibilities for Maintaining Employee Records: Employers must keep accurate records of employee hours worked (including meal periods), wages paid, and any fringe benefits provided.
  
• Required Information on Employee Records (hours worked, wages paid, etc.): These records should include your name, address, job title, rate of pay, hours worked each day, total wages earned, and any deductions made.
  
• How Long Must Employers Keep Records? Employers must retain employee records for at least four years after the last day of employment.

Employee Rights and Protections

California prioritizes worker well-being and fair treatment. Here are some key employee rights under California's Wage and Hour Laws:

• Right to Minimum Wage and Overtime Pay: You have the right to be paid at least the minimum wage and receive overtime pay for eligible hours worked.
  
• Right to Meal Periods and Rest Breaks: California law mandates that you be entitled to designated meal periods and rest breaks.
  
• Protection from Wage Theft: California protects employees from wage theft, which includes any violation of wage and hour laws, such as not paying minimum wage, denying overtime pay, or making illegal deductions from your pay.

How Freeburg & Granieri, APC Can Help

At Freeburg & Granieri, APC, we specialize in exceptional employment law services in Pasadena, California. Attorneys with over a decade of experience handle each case, ensuring personalized and effective representation. Throughout your case, you will have direct contact with your attorney.

We treat clients like family, building lasting relationships and delivering attentive, compassionate legal support from start to finish. Many clients return for future legal needs and refer others to us.

Choose Freeburg & Granieri, APC, for dedicated and compassionate legal representation. Contact us now.