Reminder: California Healthcare Minimum Wage Increase Effective July 1, 2025


Employers in the healthcare industry in California are subject to a separate minimum wage from other employers.

Effective July 1, 2025, certain healthcare facilities will see an increase in their minimum wage rates. The following is a summary of the increases based on the type of employer.

Type of Healthcare EmployerCurrent RateIncreased Rate
Hospitals or Integrated Health Systems with 10,000 or more full-time employees, including skilled nursing facilities operated by these employers$23$24
Dialysis Clinics$23$24
Covered Health Care Facilities run by large counties with more than five million people as of January 1, 2023$23$24
Hospitals with 90% or more of their patients paid for by Medicare or Medi-Cal$18$18.63
Independent Hospitals with 75% or more of their patients paid for by Medicare or Medi-Cal$18$18.63
Rural Independent Covered Health Care Facilities$18$18.63
Covered Health Care Facilities run by small counties with fewer than 250,000 people$18$18.63

While several categories of healthcare employees will receive a minimum wage increase in July 2025. The following categories of healthcare employers will not have a minimum wage increase until July 2026:

Who is Covered?

The definition of “health care employee” is broad, encompassing a wide range of roles within healthcare facilities. This includes employees who provide patient care, health care services, or services supporting the provision of health care. Examples of covered roles include:


Jackson Lewis P.C. © 2025
National Law Review, Volume XV, Number 175