California Announces New Minimum Wage for 2027

California’s statewide minimum wage will increase from $16.90 to $17.40 per hour effective January 1, 2027. The new rate reflects the annual inflation-based adjustment required under California law.

The increase will also affect the minimum salary threshold for employees classified as exempt under California’s executive, administrative, and professional exemptions. Effective January 1, 2027, exempt employees generally must earn a salary of at least $72,384 annually ($1,392 per week). This is an increase from the 2026 threshold of $70,304 annually ($1,352 per week).

Jackson Lewis:
California Announces State Minimum Wage Increase to Come in 2027