On December 11, 2024, the Los Angeles City Council approved proposed changes to the city’s Living Wage Ordinance (LWO) and Hotel Worker Minimum Wage Ordinance (HWMO) that, if implemented, would incrementally increase the minimum wage for certain tourism workers, namely airport employees and employees of hotels with more than 60 rooms. The proposal would raise the hourly wage for covered workers as follows:
$22.50 an hour on July 1, 2025
$25.00 an hour on July 1, 2026
$27.50 an hour on July 1, 2027
$30.00 an hour on July 1, 2028
The ordinance would also provide for a health payment of $8.35 per hour to eligible employees beginning July 1, 2025, with annual increases starting the following July 1. If an employer’s hourly health benefit payment is less than the required amount, the difference must be paid to the employee’s hourly wage.
Employees who contend that their rights have been violated would be required to provide written notice to the employer of the alleged violations and allow the employer 30 days to take action to cure the violations before filing a civil action for violation of the LWO or filing a complaint or civil action alleging a violation of the HWMO.
While the ordinance changes have not yet received final approval, employers should monitor for developments in 2025, take note of the additional increases to California’s minimum wage as described here, and contact experienced counsel with questions.
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