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Minimum Wage Increase for Businesses within City of Santa Clarita on January 1st, 2023.

Are you confused about the minimum wage increases? You’re not alone! The Santa Clarita Valley is in an especially unique situation in that the City of Santa Clarita and the County of Los Angeles have two different minimum wage increase schedules which has caused confusion and challenges for many of our local employers and residents alike.

The City increases its wages in keeping with the State of California’s schedule (January - December), while the County of Los Angeles has adopted a wage increase schedule based on their fiscal calendar (July - June).

City of Santa Clarita

The California Director of Finance must annually determine and certify to the governor and Legislature whether the minimum wage must be adjusted for inflation and calculate the increase, which is the lesser of 3.5 percent or the rate of change in inflation. The minimum wage in California was set to increase each year until it reached $15/hr in 2022. However, on July 27, 2022, a new minimum wage of $15.50 was set to go into effect due to the high inflation rate in the past year. In keeping with the State, minimum wage for businesses within the City limits of Santa Clarita has increased to $15.50 per hour for ALL employers as of January 1, 2023.

Unincorporated LA County

On July 1, 2023 businesses in unincorporated Los Angeles County (LAC), those primarily located on the west side of the I-5 freeway, will increase their minimum wage to $16.90 per hour. The “unincorporated” areas of LA County include neighborhoods outside of incorporated cities. This increase applies to companies with up to 25 employees, as well as those with 26 or more employees. Beginning in 2022, and continuing each year thereafter, on January 1 the CEO determines the adjusted rates which shall take effect on July 1 of that year.

For frequently asked questions about minimum wage for businesses in unincorporated LAC you can visit the Department of Consumer and Business Affairs' (DCBA) website at: https://dcba.lacounty.gov/minimum-wage-for-businesses/. To determine if work is done in an unincorporated area of L.A. County, enter the address at the County Registrar-Recorder’s website. Follow the DCBA's guide for step-by-step instructions. You also can call the DCBA at or email them at info@dcba.lacounty.gov .

If you have questions about the minimum wage increase give us a call. Our business assistance team is a one-stop resource for local companies. From obtaining workforce training at low or no cost to learning about local, state, and federal tax incentives, from expediting business issues resolution to managing local business coalitions, the SCVEDC is the focal point in delivering the support local companies need.

The Santa Clarita Valley Economic Development Corporation (SCVEDC) is a unique private / public partnership representing the united effort of regional industry and government leaders. The SCVEDC utilizes an integrated approach to attracting, retaining and expanding a diversity of businesses in the Santa Clarita Valley, especially those in key industry clusters, by offering competitive business services and other resources.