California’s minimum wage will increase to $17.40 per hour beginning January 1, 2027, a 50-cent rise from the current 2026 rate of $16.90 per hour.
The adjustment fulfills a legal requirement to update the minimum wage each year in line with inflation. With the increase, California will have the highest state minimum wage in the country. Since Governor Newsom took office, the state minimum wage will have risen $5.40 in total, from $12.00 to $17.40 per hour.
Who Benefits
All employers in California, regardless of size, must comply with the state minimum wage, meaning workers across the state whose pay is set at the base rate will see a higher paycheck. The increase is expected to have the most direct impact on employees in lower-wage sectors including retail, restaurants, services, agriculture, and cleaning.
Workers in cities and counties that already set a higher local minimum wage, such as Los Angeles, San Francisco, and Emeryville, are not directly affected by the statewide change, as they already earn above the new floor.
How to Check Your Rate
Workers can confirm the minimum wage that applies to them by asking their employer or human resources department, or by consulting the California Department of Industrial Relations, which publishes the state minimum wage and official notices.
Workers who believe they are being paid below the applicable minimum wage can seek legal advice or contact the Labor Commissioner’s office to file a complaint.
