States Enact Wage Increases

In addition to the wage increase in Florida approved through ballot initiative, two states have legislated wage increases.

  • Overtime Salary Thresholds Increasing in Washington State – Washington state’s minimum wage will rise by 19 cents per hour on Jan. 1, 2020. Employees age 16 and older must be paid at least $13.69 per hour, and those between 14 and 15 years of age must be paid at least $11.64 per hour. This increase will not affect employers operating in locations with higher wage rates. This will increase the salary threshold at which employees are exempted from overtime compensation requirements under the Minimum Wage Act. In addition, employees who are no longer exempt from the Minimum Wage Act will become eligible for paid sick leave and paid rest breaks under Washington law.
  • California Increases Compensation Threshold for Exempt Computer Professionals – Effective Jan. 1, 2021, employers must pay their California computer professional employees a salary of at least $98,907.70 annually ($8,242.32 monthly) or an hourly wage of $47.48 every hour worked in order to remain exempt from paying such employees overtime compensation. In addition, California computer professionals still must satisfy the duties test set forth under California Labor Code Section 515.5.

For more details regarding these regulations and to determine how this information affects your company lease consult your legal counsel.