States generally may not pass laws that are more favorable to employers than their federal counterparts, but they are allowed to pass laws that are more employee-friendly. California is known throughout the country for its progressive employment laws.

Many employers bemoan these laws, arguing that they make it more difficult to conduct business in the state, but the protections they provide to employees are essential. They also make California a leader in employment law on the national landscape; in fact, many companies with operations in multiple states base their policies on California employment laws.

There are several areas in which California employment laws outpace those in other states:

• Minimum wage: California’s minimum wage is currently $10.50 for employers with 25 or less employees and $11.00 for employers with 26 or more employees, in contrast with the federal minimum wage of $7.25. In addition, a recent change in law requires the state’s minimum wage to reach $15 January 2023 for all employers. Also note, many California cities have enacted higher minimum wage requirements. .
• Meal and rest breaks: Unlike federal law, California requires employers to provide both meal and rest breaks to employees.
• Hours worked: In California, employers are required to pay nonexempt workers for any travel required outside regular hours. They also must pay commission and piece-rate workers for all work, including unproductive tasks.
• Overtime: Employers all over the country are required to pay nonexempt workers overtime for any hours worked in excess of 40 per week. In California, employers are also required to pay daily overtime for hours worked in excess of eight. In addition, overtime rules apply to middle managers, pharmacists and nurses, who are often exempt in other states.
• Anti-discrimination laws: California’s protections against discrimination apply to more workers than their federal counterparts. Learn more about protected classes in California.