© 2025 American Payroll Institute, Inc.
July 21, 2025 Volume 27 Issue 14
Local Minimum Wage Rate Changes Effective July 1
Effective July 1, 2025, many localities updated their local
minimum wage rates. Local minimum wages often have
several rates for employers depending on the employer’s size,
industry, or the amount of business that the employer has.
In determining employer size, payroll professionals should
be aware of whether the locality considers the number of
employees working in the locality, or the employer’s total
workforce, regardless of location. Several localities have
minimum wage rates that increased July 1 or are otherwise
scheduled to increase mid-year (this updates Guide to State
Payroll Laws, §1.1).
On June 27, 2025, the Los Angeles, California city clerk
announced a referendum petition against Ordinance No.
188610 which was scheduled to raise the minimum wage
for hotel workers to $22.50 per hour from $20.32 per hour.
The city clerk is reviewing the petition to determine whether
there are enough signatures to suspend the ordinance. While
the ordinance is under review, the minimum wage for hotel
workers increased to $21.01 per hour, effective July 1, 2025. If
the city clerk determines that the petition is insufficient, then
the minimum hourly wage will increase to $22.50 under the
ordinance. See the city’s minimum wage notice.
Cook County, Illinois, announced a delay to its minimum
wage increase. The minimum wage increases yearly on July
1 for inflation or to the state or federal minimum wage,
whichever is higher. The city’s announcement does not state
a reason for the delay. The current minimum wage in Cook
County is $15 per hour.
In California, local minimum wage increases also impact
garnishment limits for employees working in those locations
(see Guide to State Payroll Laws, §7.1). In parts of California
without a local minimum wage, the state minimum wage
rate applies ($16.50 per hour).
The following chart provides city and county minimum
wage rates and tip credit amounts that changed effective July
1, 2025 (unless otherwise indicated). Definitions are included
in the footnotes. State minimum wage rates that increased
mid-year were published in PAYSTATE UPDATE, Issue 13,
Vol. 27.
Local Minimum Wage Increases Effective July 1, 2025
City/County Minimum Wage
Prior to July 1
Minimum Wage
Eff. July 1, 2025
Tip Credit
Prior to July 1
Tip Credit
Eff. July 1, 2025
Alameda, CA $17.00 $17.46 prohibited
Berkeley, CA $18.67 $19.18
Emeryville, CA $19.36 $19.90
Fremont, CA $17.30 $17.75
Glendale, CA $20.32
hotel employees1
$21.01
hotel employees1
Long Beach, CA $23.00
hotel employees
$25.00
hotel employees
Los Angeles, CA
city
$17.28 $17.87
$20.32
hotel employees2
$21.013
hotel employees2
Los Angeles, CA
county
$17.27 $17.81
Milpitas, CA $17.70 $18.20
Pasadena, CA $17.50 $18.04
San Francisco, CA $18.67 $19.18
$16.51
government-
supported employers4
$16.97
government-
supported employers4
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