California has distinct wage and hour laws in place to ensure the proper pay of employees. Employers often need clarification on California wage and hour laws. Each industry is different but here is an overview of requirements in the state.
California Wage and Hour Laws
California’s minimum wage is set at $9.00 per hour. Unlike some states, California does not allow for tipped employees to be paid less than the state’s minimum wage.
Employers often ask when they need to pay overtime wages. Whether or not an employee is “salary” or “hourly” is not determinative of overtime pay entitlement, rather, it matters if the employee is “exempt” or “nonexempt.” “Nonexempt” employees are entitled to overtime at the rate of one and a half times their regular rate of pay for:
- All time worked in excess of 8 hours in a workday
- All time worked in excess of 40 hours in a workweek
- The first 8 hours of work performed on a seventh (or more) consecutive workday