By Laurie Nooren, SPHR, PHRca, SHRM-CP
Effective July 1, 2025, the Los Angeles city minimum wage will increase from $17.28 per hour to $17.87 per hour for employees who work at least two hours per week in the city of Los Angeles. The Los Angeles Office of Wage Standards (OWS) calculates the annual wage increase each year in January, based on the average monthly Consumer Price Index (CPI) for the Los Angeles metropolitan area for the prior calendar year. The memo regarding this minimum wage increase can be found here.
As a reminder, Paid Sick Leave (PSL) for employees working at least two hours per week in the city of Los Angeles remains higher than the state’s PSL, at 48 hours per year (if using the frontload method), rather than 40 hours per year as mandated by the state of California. If using the accrual method, then the state’s higher requirements (1 hour of PSL for every 30 hours worked with a maximum cap of 80 hours) must be followed.