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Beginning July 1, 2019, businesses located in the city of Los Angeles or in the unincorporated areas of Los Angeles county are now required to pay higher minimum wages - the amount of which depends on the number of employees as set forth in the charts provided by the City of Los Angeles and Los Angeles County.

It is important for affected businesses to understand the potential penalties that may arise if they do not adhere to the minimum wage schedule. First, failure to pay the mandated minimum wages may lead to lawsuits for unpaid wages and for liquidated damages. Second, employees who are exempt from payment of overtime wages must receive a flat guaranteed salary of at least two times the applicable minimum wage for full time employment. If an exempt employee receives less than the required amount, the exempt employee may have an actionable claim for unpaid overtime wages and other statutory penalties.

Please note that the information provided on this website is for general information purposes only and is not to be construed nor relied upon as legal advice nor the formation of an attorney-client relationship. For a free consultation with Attorney Thomas M. Lee, please contact us.