Governor Gavin Newsom announced Friday that California’s statewide minimum wage will increase to $17.40 per hour beginning January 1, 2027.
The rate is higher than any current statewide minimum wage in the nation and nearly two-and-a-half times the federal minimum wage of $7.25 an hour.
Governor Gavin Newsom announced Friday that California’s statewide minimum wage will increase to $17.40 per hour beginning January 1, 2027. Carlin Stiehl for CA Post
Many California healthcare workers already saw another scheduled increase on July 1. Getty Images
The increase is already automatic under California law, which adjusts the minimum wage annually to keep pace with inflation.
Newsom, who is expected to run for president in 2028, contrasted himself against President Trump in announcing the increase.
“For years, Donald Trump and Republicans have blocked efforts to raise the federal minimum wage while handing tax breaks to billionaires and big corporations,” the governor said in a statement.
“California has chosen a different path — one that rewards work, grows the economy, and puts working families first. We believe if you work hard, you deserve a decent paycheck. They think $7.25 an hour is enough. We don’t.”
Scott Meyer who is running for told The Post, “Governor Gavin Newsom pointlessly references the low federal minimum wage in an effort to display his own virtue of raising our minimum wage to $17.40.
He cleverly omits that the federal minimum wage has zero relevance in the state of California. Moreover, from Taco Bell, all the way up to Whole Foods, businesses will adjust and have customers interact increasingly with self service checkouts as they have already done. The more the minimum wage is, the less entry-level employees there will be. This helps nobody. It actually harms. Gavin knows this.”
Many California healthcare workers already saw another scheduled increase on July 1, pushing minimum wages to between $19.28 and $25 an hour depending on the type of facility.
Newsom has had a history of trying to push wages up. He and fellow state Democrats helped push for a $20 per hour minimum wage for fast food workers, which reportedly has devastated some companies.
“Governor Newsom wants a badge of honor for announcing the highest statewide wage mandate in the country. But his track record of wage hikes–including the $20 fast food wage–put workers dead last, with tens of thousands of lost jobs, shuttered businesses and higher prices for Californians,” said Rebekah Paxton, research director at the Employment Policies Institute.
State Republicans blasted Newsom for playing politics with the wage announcement.
“Every Californian deserves a raise. The problem is Sacramento keeps raising the cost of living right along with it,” the California Assembly GOP Caucus said in a statement to The Post. “Instead of celebrating another wage increase, the governor should explain why California keeps getting more expensive.”
State Sen. Tony Strickland (R) told The Post that businesses in the state will suffer even more.
“California is already about as anti-business as it gets, and now another minimum wage increase is set to take effect next year. Small, family-owned fast-food operators are already feeling the squeeze and have seen the serious harm this policy has caused,” he said.
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