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California Enacts $25 Minimum Wage for Health Care Workers

The new law will gradually increase wages for 350,000 health care workers over the next decade, starting with immediate raises this week.

  • The law, signed by Gov. Gavin Newsom, begins with a wage increase to $18 per hour for rural health care facilities and $23 per hour for larger hospitals.
  • The wage hikes were delayed from June to October to address a $46.8 billion state budget shortfall.
  • The legislation aims to improve working conditions and reduce reliance on state safety net programs like Medi-Cal and CalFresh.
  • While unions support the measure, some hospitals express concerns about potential financial pressures and job cuts.
  • California's general minimum wage is currently $16 per hour, with a proposal to raise it to $18 by 2026 pending voter approval.
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