July 1 is right around the corner, and with it comes another round of local minimum wage increases across California. If you have employees working in multiple cities, remote workers, field staff, drivers, sales representatives, or technicians, now is the time to ensure you are paying the correct rate.

Many California employers assume the state minimum wage applies everywhere. In reality, many California cities and counties have their own local ordinances with higher rates.

For example, effective July 1, 2026:

• City of Los Angeles: $18.42 per hour
• Unincorporated Los Angeles County: $18.47 per hour

Keep in mind that employees who work at least two hours in a workweek within the geographic boundaries of the City of Los Angeles are generally entitled to the Los Angeles minimum wage for all hours worked in that week. This can create unexpected compliance issues for employees who travel for work. A driver, technician, or salesperson stuck in Los Angeles traffic could easily cross that two-hour threshold.

Los Angeles is not alone. Multiple cities and counties throughout California are increasing their local minimum wage rates on July 1. To see the complete list, visit this CalChamber HR Watchdog article.

This is a good opportunity to verify employee work locations, review pay rates, and update any required labor law posters. Many jurisdictions require updated postings when local minimum wage rates change.

Don’t forget payroll. Reach out to your payroll provider now to confirm that all July 1 minimum wage increases have been loaded into your system. A missed update can quickly turn into a wage-and-hour compliance issue.

If you’re unsure whether a local ordinance applies to your workforce, contact our team for assistance.