California Minimum Wage to Increase to $17.40 an Hour in 2027, Newsom Announces
The new rate keeps California among the nation’s highest, while the federal minimum wage remains $7.25 after no increase since 2009.
- On Friday, Governor Gavin Newsom announced California's statewide minimum wage will rise to $17.40 per hour starting January 1, 2027, establishing the highest baseline wage in the nation.
- The increase occurs automatically under state law, which adjusts base pay annually to match inflation, building upon the current $16.90 hourly rate and continuing a climb from the $12 rate in place when Newsom took office.
- California's new baseline is nearly two-and-a-half times the federal minimum wage of $7.25, which has remained unchanged since 2009, while state officials noted a 3.7% annualized real GDP growth rate in early 2026.
- Criticizing federal inaction, Newsom contrasted state policies with Republicans for blocking wage increases, following California's 2024 implementation of a separate $20-an-hour minimum wage for fast-food workers at major chains.
- Business groups warn that rising labor costs may lead to higher consumer prices or reduced hiring, while other states including Alaska and Rhode Island are also implementing wage increases effective in 2027.
22 Articles
22 Articles
California announces minimum wage increase as governor taunts Trump
Gavin Newsom says new pay floor of $17.40, set to become highest of any US state, will go into effect on 1 January California governor Gavin Newsom announced that the state’s minimum wage will rise to $17.40 next year, a ay floor set to become the highest of any US state. The pay bump will [...]
Hanford Sentinel
Newsom boasts of California's upcoming minimum wage increase, criticizes Trump for ignoring workers
LOS ANGELES — California's statewide minimum wage is set to rise next year. Starting on Jan. 1, 2027, the statewide minimum wage will rise to $17.40 an hour, an increase Gov. Gavin Newsom boasted about on Friday. Newsom
Calif.: Statewide minimum wage will increase to $17.40 per hour — starting Jan. 1, 2027
California’s statewide minimum wage will increase to $17.40 per hour starting January 1, 2027. California Governor Gavin Newsom announced the upcoming rate adjustment, which reflects a 50-cent increase from the 2026 baseline of $16.90 per hour.
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