Perspective
Jul. 23, 2014
With wage hikes, consider the big picture
Employers should be wary of considerable hidden costs that can arise if plaintiffs fail to respond to California's recent minimum wage increase carefully. By Wendy Lane
On July 1, California's minimum hourly wage increased from $8 to $9 per hour. In January 2016, the hourly rate will increase again to $10 per hour. Undoubtedly, many employers will seek to reduce overhead to offset these increased costs. However, employers should also be wary of considerable hidden costs that can arise if they fail to respond to the minimum wage increase carefully.
Most employers realize that overtime rates necessaril...
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