California has taken legal action against several high-profile companies, including JPMorgan Chase, after failing to submit the required data, the LA Times reported. SB 1162 would allow the state to fine companies for failing to comply.
The California Chamber of Commerce are among the business groups who oppose the bill, arguing that publicly sharing payroll data would lead to lawsuits. As a result of potential legal costs, employers’ ability to raise wages would be limited.
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As of May, California holds the highest statewide minimum wage in the country with $14 an hour for employers with 25 or less employees and $15 an hour for employers with 26 or more employees. There are certain Californian cities and counties who offer their own minimum wages such as Berkeley with a minimum wage of $16.32, San Francisco with $16.32, and San Jose with a minimum wage of $16.20. If the Californian city or county has a higher minimum wage than the state’s, then the employer must pay the higher minimum wage.
However, the minimum wage of California is set to increase soon. According to The Los Angeles Times, anti-poverty activist and entrepreneur Joe Sanberg filed the Living Wage Act of 2022, which seeks to raise the state’s minimum wage to $18 an hour by as soon as 2025. Meanwhile, Governor Gavin Nelson announced on May 12, 2022 that California’s minimum wage is projected to increase to $15.50 per hour for all employees and workers starting January 1, 2023. The increase is covered by Section 246 of the California Labor Code.
Source: hcamag.com
