California $18 Minimum Wage Initiative (2024)
| California $18 Minimum Wage Initiative | |
|---|---|
 | |
| Election date November 5, 2024 | |
| Topic Minimum wage | |
| Status Qualified for the ballot | |
| Type State statute | Origin Citizens |
The California $18 Minimum Wage Initiative has qualified for the ballot in California as an initiated state statute on November 5, 2024.
A "yes" vote supports increasing the state minimum wage to $18 per hour by 2026 for all employers and thereafter adjusting the rate annually by increases to the cost of living. |
A "no" vote opposes this ballot initiative, thereby maintaining the existing law which was designed to increase the minimum wage to $15 per hour for all employers by January 2023 and increasing it annually according to inflation. |
Overview
What would the ballot measure change about the minimum wage?
In March 2016, the California State Legislature passed Senate Bill 3 (SB 3) to increase the state's minimum wage to $15 an hour. Gov. Jerry Brown (D) signed the legislation on April 4, 2016. SB 3 required an annual increase in the minimum wage until the amount reached $15 on January 1, 2022, for employers with 26 workers or more and January 1, 2023, for employers with 25 workers or less. Thereafter, SB 3 provides that the minimum wage increases based on changes in the U.S. Consumer Price Index (CPI-W).[1]
The ballot initiative would increase the state minimum wage to $18 an hour over several years. Like SB 3, the ballot initiative would increase the minimum wage at different speeds depending on whether an employer has 26 or more workers or 25 or less workers. For employers with 26 or more workers, the minimum wage would reach $18 on January 1, 2025. For employers with 25 or less workers, the minimum wage would reach $18 on January 1, 2026. Also like SB 3, the minimum wage would be tied to the CPI-W after reaching $18.[1]
| Increases to minimum wage under Initiative 21-0043 | ||
|---|---|---|
| Year | Employers of 26 or more workers | Employers of 25 or less workers |
| 2023 | $16.00 | $15.00 |
| 2024 | $17.00 | $16.00 |
| 2025 | $18.00 | $17.00 |
| 2026 | $18.00 | $18.00 |
| 2027 | $18.00 + CPI-W adjustment | $18.00 + CPI-W adjustment |
Who supports and opposes the initiative?
- See also: Support and Opposition
Yes on California Living Wage Act, also known as the Working Hero Action for the Living Wage Act PAC, is leading the campaign in support of the ballot initiative. The campaign has received $10.8 million. Joe Sanberg, an investor who filed the ballot initiative, said, "The time is now, because the pandemic has heightened the people’s understanding of the realities so many Californians face. Cost of living is rising faster and faster... but wages haven’t increased commensurately."[2][3]
Ballotpedia has not identified a committee registered in opposition to the initiative. John Kabateck, state director of the National Federation of Independent Business, opposes the initiative and said, "Market, not politicians and bureaucrats, ought to be dictating the financial growth and success of working men and women in California. Let the market dictate this and let’s stop sending the message that mediocrity is a pathway to professional success in California."[4]
How many minimum wage ballot measures have been approved in the U.S.?
- See also: Minimum wage ballot measures
From 1996 to 2022, there were 28 minimum wage increase measures on the ballot. Voters approved 26 (92.86%) and rejected two (7.14%). The last states to approve minimum wage measures were Nebraska and Nevada in November 2022. The last time that voters rejected a minimum wage increase measure was in 1996, when measures were defeated in Missouri and Montana.
Text of measure
Ballot title
The ballot title is as follows:[5]
| “ |
Raise Minimum Wage. Initiative Statute.[6] |
” |
Petition summary
The summary provided for inclusion on signature petition sheets is as follows:[5]
| “ |
Existing law requires annual increases to California’s minimum wage until it has reached $15.00 per hour for all businesses on January 1, 2023. This measure extends these annual increases ($1.00 per year) until minimum wage—currently, $15.00 per hour for businesses with 26 or more employees, and $14.00 per hour for smaller businesses—reaches $18.00 per hour. Thereafter, as existing law requires, the minimum wage will annually adjust for inflation. In periods of decreased economic activity, or General Fund deficit, the Governor may suspend annual increase up to two times, thereby extending timeline for reaching $18.00 per hour.[6] |
” |
Fiscal impact
The fiscal impact statement is as follows:[5]
| “ |
Unclear change in annual state and local tax revenues, likely between a loss of a couple billion dollars and a gain of a few hundred million dollars. Increase in annual state and local government costs likely between half a billion dollars and a few billion dollars.[6] |
” |
Full text
The full text of the ballot measure is below:[1]
Support
Yes on California Living Wage Act, also known as the Working Hero Action for the Living Wage Act PAC, is leading the campaign in support of the ballot initiative.[2]
Supporters
- Asm. Lorena Gonzalez Fletcher (D-80)[7]
Arguments
- Joe Sanberg, an investor who filed the ballot initiative, said, "The time is now, because the pandemic has heightened the people’s understanding of the realities so many Californians face. Cost of living is rising faster and faster... but wages haven’t increased commensurately."[8]
- Saru Jayaraman, director of the Food Labor Research Center at UC Berkeley, stated, "Thousands of restaurants nationwide are already raising wages to try to recruit staff, but many are finding that workers will not come back to the industry until these wage increases are permanent. This ballot measure is critical to allow service workers to come back to work in restaurants and to allow California restaurants to fully reopen."[8]
Opposition
Arguments
- John Kabateck, state director of the National Federation of Independent Business, said, "Market, not politicians and bureaucrats, ought to be dictating the financial growth and success of working men and women in California. Let the market dictate this and let’s stop sending the message that mediocrity is a pathway to professional success in California."[8]
Campaign finance
The Working Hero Action for the Living Wage Act PAC was registered to support the ballot initiative. The PAC received $10.8 million. Joseph Sanberg provided 99.98% of the PAC's total contributions received.[3]
| Cash Contributions | In-Kind Contributions | Total Contributions | Cash Expenditures | Total Expenditures | |
|---|---|---|---|---|---|
| Support | $10,005,602.00 | $875,000.00 | $10,880,602.00 | $10,135,816.16 | $11,010,816.16 |
| Oppose | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
Support
The following table includes contribution and expenditure totals for the committee in support of the measure.[3]
| Committees in support of $18 Minimum Wage Initiative | |||||
|---|---|---|---|---|---|
| Committee | Cash Contributions | In-Kind Contributions | Total Contributions | Cash Expenditures | Total Expenditures |
| Working Hero Action for the Living Wage Act | $10,005,602.00 | $875,000.00 | $10,880,602.00 | $10,135,816.16 | $11,010,816.16 |
| Total | $10,005,602.00 | $875,000.00 | $10,880,602.00 | $10,135,816.16 | $11,010,816.16 |
Donors
The following was the top donor to the committee.[3]
| Donor | Cash Contributions | In-Kind Contributions | Total Contributions |
|---|---|---|---|
| Joseph N. Sanberg | $10,000,000.00 | $875,000.00 | $10,875,000.00 |
Background
Senate Bill 3 (2016)
Senate Bill 3 (SB 3) was a legislative compromise passed in 2016. SB 3 was designed to incrementally increase the statewide minimum wage until it reached $15 in 2022 and adjust it annually by inflation. Businesses with fewer than 25 employees did not have to meet the $15 per hour minimum wage until 2023. The bill was also designed to allow the governor to delay minimum wage hikes in the event of an economic decline. It passed in the state senate by a vote of 23-15 with two senators absent or not voting. It passed in the state house by a vote of 48-26 with four members absent or not voting.[9]
SEIU-United Healthcare Workers West, the sponsoring group behind a $15 minimum wage initiative, which qualified for the November 2016 ballot on March 22, 2016, was involved with negotiations surrounding the approved legislation. After Gov. Jerry Brown (D) signed SB 3, SEIU-UHW West withdrew its initiative on June 23, 2016. A second initiative sponsored by the state council of SEIU stopped circulating its petition and withdrew it on April 1, 2016.[10]
2023 minimum wages
- See also: Minimum wage increases in 2023
The average state minimum wage in 2023 was $10.47, up from $9.85 in 2022 and $9.59 in 2021.
The top five highest 2023 statewide minimum wages were set to be as follows:
- $16.10 in Washington, D.C.;
- $15.74 in Washington;
- $15.50 in California,
- $15.00 in Massachusetts and Connecticut.
The lowest minimum wages based on state law were $5.15 in Georgia and Wyoming, which were lower than the federal government's requirement. When the state rate is lower than the federal rate, the federal minimum wage of $7.25 supersedes state law for most types of employees. Twenty (20) states used the federal minimum wage rate of $7.25.
The map below shows state minimum wages in 2023.
Minimum wage ballot measures
- See also: Minimum wage on the ballot
From 1996 to 2022, there were 28 minimum wage increase measures on the ballot. Voters approved 26 (92.86%) and rejected two (7.14%).[11]
As of 2022, the last time that voters rejected a minimum wage increase measure was in 1996, when measures were defeated in Missouri and Montana.
The following chart shows election outcomes for minimum wage increase ballot measures from 1996 to 2022.
| Measures to increase state minimum wages (1996-2022) | |||||||
|---|---|---|---|---|---|---|---|
| Year | State | Measure | Wage | Type | Yes votes (%) | No votes (%) | Outcome |
| 2022 | Nebraska | Nebraska Initiative 433 | $15.00 (2026) | Initiative | 58.66% | 41.34% | 
|
| 2022 | Nevada | Amendment 2 | $12.00 (2024) | Referral | 55.18% | 44.82% |
|
| 2020 | Florida | Amendment 2 | $15.00 (2026) | Initiative | 60.82% | 39.18% |
|
| 2018 | Arkansas | Issue 5 | $11.00 (2021) | Initiative | 68.46% | 31.54% |
|
| 2018 | Missouri | Proposition B | $12.00 (2023) | Initiative | 62.34% | 37.66% |
|
| 2016 | Arizona | Proposition 206 | $12.00 (2020) | Initiative | 58.33% | 41.67% |
|
| 2016 | Colorado | Amendment 70 | $12.00 (2020) | Initiative | 55.36% | 44.64% |
|
| 2016 | Maine | Question 4 | $12.00 (2020) | Initiative | 55.50% | 44.50% |
|
| 2016 | Washington | Initiative 1433 | $13.50 (2020) | Initiative | 57.42% | 42.58% |
|
| 2014 | Alaska | Measure 3 | $9.75 (2016) | Initiative | 69.35% | 30.65% |
|
| 2014 | Arkansas | Issue 5 | $8.50 (2017) | Initiative | 65.94% | 34.06% |
|
| 2014 | Nebraska | Initiative 425 | $9.00 (2016) | Initiative | 59.47% | 40.53% |
|
| 2014 | South Dakota | Measure 18 | $8.50 (2015) | Initiative | 55.05% | 44.95% |
|
| 2013 | New Jerseu | Question 2 | $8.25 (2014) | Referral | 61.26% | 38.74% |
|
| 2006 | Arizona | Proposition 2022 | $6.75 (2007) | Initiative | 65.37% | 34.63% |
|
| 2006 | Colorado | Initiative 42 | $6.85 (2007) | Initiative | 53.30% | 46.70% |
|
| 2006 | Missouri | Proposition B | $6.50 (2007) | Initiative | 75.94% | 24.06% |
|
| 2006 | Montana | I-151 | $6.50 (2007) | Initiative | 72.69% | 27.31% |
|
| 2006 | Nevada | Question 6 | $6.15 (2006)[12] | Initiative | 68.71% | 31.29% |
|
| 2006 | Ohio | Amendment 2 | $6.85 (2007) | Initiative | 56.65% | 43.35% |
|
| 2004 | Florida | Amendment 5 | $6.15 (2005) | Initiative | 71.25% | 28.75% |
|
| 2004 | Nevada | Question 6 | $6.15 (2006)[12] | Initiative | 68.4% | 31.6% |
|
| 2002 | Oregon | Measure 25 | $6.90 (2003) | Initiative | 51.3% | 48.7% |
|
| 1998 | Washington | Initiative 688 | $6.50 (2000) | Initiative | 66.1% | 33.9% |
|
| 1996 | California | Proposition 210 | $5.75 (1998) | Initiative | 61.45% | 38.55% |
|
| 1996 | Missouri | Proposition A | $6.75 (1999)[13] | Initiative | 28.70% | 71.30% | 
|
| 1996 | Montana | I-121 | $6.25 (2000) | Initiative | 43.53% | 56.47% |
|
| 1996 | Oregon | Measure 36 | $6.50 (1999) | Initiative | 56.85% | 43.15% |
|
Path to the ballot
Process in California
In California, the number of signatures required for an initiated state statute is equal to 5 percent of the votes cast in the preceding gubernatorial election. Petitions are allowed to circulate for 180 days from the date the attorney general prepares the petition language. Signatures need to be certified at least 131 days before the general election. As the verification process can take multiple months, the secretary of state provides suggested deadlines for ballot initiatives.
The requirements to get initiated state statutes certified for the ballot:
- Signatures: 623,212 valid signatures were required.
- Deadline: The deadline for signature verification was 131 days before the general election, which was around June 30, 2022. However, the process of verifying signatures can take multiple months and proponents are recommended to file signatures at least two months before the verification deadline.
Signatures are first filed with local election officials, who determine the total number of signatures submitted. If the total number is equal to at least 100 percent of the required signatures, then local election officials perform a random check of signatures submitted in their counties. If the random sample estimates that more than 110 percent of the required number of signatures are valid, the initiative is eligible for the ballot. If the random sample estimates that between 95 and 110 percent of the required number of signatures are valid, a full check of signatures is done to determine the total number of valid signatures. If less than 95 percent are estimated to be valid, the initiative does not make the ballot.
Initiative #21-0043
Joe Sanberg filed the ballot initiative on December 3, 2021.[14] Sanberg said he would finance the signature-gathering phase of the ballot initiative.[15] He stated, "This is an issue that speaks to people’s everyday lives. It’s easy to explain and easy to understand and I expect we’re going to win. We’re planning this to win."[8]
On May 12, 2022, the sponsors of the initiative announced that they had collected more than 1 million signatures for verification.[16]
The signature verification process for the 2022 ballot was not completed by the June 30, 2022, verification deadline. The measure was moved to 2024.[5]
On July 7, 2022, the California Secretary of State reported that the initiative had qualified for the 2024 ballot. The final random sample count concluded that 738,449 of the 1,062,568 signatures submitted were valid.[5]
Lawsuit
| Lawsuit overview | |
| Issue: Whether the initiative should be placed on the 2022 ballot | |
| Court: Superior Court of Sacramento County | |
| Plaintiff(s): Joe Sanberg, sponsor of the initiative | Defendant(s): California Secretary of State Shirley Weber (D) |
Source: Bloomberg Law
On July 14, 2022, Joe Sanberg, the primary sponsor of the initiative, filed a lawsuit in Superior Court of Sacramento County arguing that the secretary of state should have instructed counties to finish the signature verification process by June 30, 2022, the deadline for the 2022 ballot. The lawsuit says, "If not for the failure of the Secretary of State to fulfill her duty and inform counties of the June 30, 2022 submission deadline, the Initiative would have qualified and been certified for the November 2022 ballot."[17]
On July 22, 2022, Sacramento County Superior Court Judge James P. Arguelles ruled in favor of the secretary of state keeping the initiative off the November 2022 ballot. Judge Arguelles wrote, "The burden was on Sanberg (and all others proposing statutory initiatives) to conform to the June 30 deadline if he wished to place the initiative on the November 2022 ballot. Sanberg’s failure to do so did not somehow reallocate the burden to Weber."[18]
How to cast a vote
- See also: Voting in California
Click "Show" to learn more about voter registration, identification requirements, and poll times in California.
| How to cast a vote in California | |||||
|---|---|---|---|---|---|
Poll timesAll polls in California are open from 7:00 a.m. to 8:00 p.m. Pacific Time. An individual who is in line at the time polls close must be allowed to vote.[19] Registration
To vote in California, an individual must be a U.S. citizen and California resident. A voter must be at least 18 years of age on Election Day. Pre-registration is available at 16 years of age. Pre-registration automatically registers voters when they turn 18.[20] On October 10, 2015, California Governor Jerry Brown (D) signed into law Assembly Bill No. 1461, also known as the New Motor Voter Act. The legislation, which took effect in 2016, authorized automatic voter registration in California for any individuals who visit the Department of Motor Vehicles to acquire or renew a driver's license.[21][22] Automatic registrationCalifornia automatically registers eligible individuals to vote when they complete a driver's license, identification (ID) card, or change of address transaction through the Department of Motor Vehicles. Online registration
California has implemented an online voter registration system. Residents can register to vote by visiting this website. Same-day registrationCalifornia allows same-day voter registration. Californians must be registered to vote at least 15 days before Election Day. If the registration deadline has passed for an upcoming election, voters may visit a location designated by their county elections official during the 14 days prior to, and including Election Day to conditionally register to vote and vote a provisional ballot. The state refers to this process as Same Day Voter Registration.[23] Residency requirementsTo register to vote in California, you must be a resident of the state. State law does not specify a length of time for which you must have been a resident to be eligible. Verification of citizenshipCalifornia's constitution requires that voters be U.S. citizens. When registering to vote, proof of citizenship is not required. Individuals who become U.S. citizens less than 15 days before an election must bring proof of citizenship to their county elections office to register to vote in that election.[23] Verifying your registrationThe site Voter Status, run by the California Secretary of State's office, allows residents to check their voter registration status online. Voter ID requirementsCalifornia does not require voters to present photo identification. However, some voters may be asked to show a form of identification when voting if they are voting for the first time after registering to vote by mail and did not provide a driver license number, California identification number, or the last four digits of their social security number.[24][25] The following list of accepted ID was current as of March 2023. Click here for the California Secretary of State page to ensure you have the most current information.
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See also
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External links
Footnotes
- ↑ 1.0 1.1 1.2 California Attorney General, "Initiative 21-0043," December 3, 2021
- ↑ 2.0 2.1 Yes on California Living Wage Act, "Homepage," accessed May 4, 2022
- ↑ 3.0 3.1 3.2 3.3 Cal-Access, "Homepage," accessed May 4, 2022
- ↑ The Sacramento Bee, "An $18 minimum wae? California entrepreneur kicks off initiative to raise workers' pay," accessed January 19, 2023
- ↑ 5.0 5.1 5.2 5.3 5.4 California Secretary of State, "Initiatives and Referenda Cleared for Circulation," accessed February 9, 2022
- ↑ 6.0 6.1 6.2 6.3 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
- ↑ Politico, "What’s the absolute minimum?" December 8, 2021
- ↑ 8.0 8.1 8.2 8.3 The Sacramento Bee, "An $18 minimum wage? California entrepreneur kicks off initiative to raise workers’ pay," December 7, 2021
- ↑ Open States, "California Senate Bill 3," accessed April 1, 2016
- ↑ Monterey Herald, "California union halts minimum wage drive with law pending," April 1, 2016
- ↑ Note: In 2014, voters approved an advisory question on increasing the minimum wage in Illinois. As this question was nonbinding, the measure is not counted here.
- ↑ 12.0 12.1 Question 6 provided that employers to compensate employees $5.15 per hour when the employer provides health benefits or $6.15 per hour when the employer does not provide health benefits.
- ↑ Proposition A would have also added 15 cents to the minimum wage each year beginning in 2000.
- ↑ California Secretary of State, "Initiatives," accessed December 3, 2021
- ↑ Los Angeles Times, "Should California have a $18 minimum wage? Voters may get to decide," December 6, 2021
- ↑ Fox40, "$18 minimum wage proponents say they’ve gathered enough signatures for initiative to be on the ballot," May 12, 2022
- ↑ Bloomberg Law, "Blue Apron Investor Sues to Get Minimum Wage on 2022 Ballot (1)," July 15, 2022
- ↑ Cal Matters, "Want to vote on raising California’s minimum wage? Judge says not until 2024," July 22, 2022
- ↑ California Secretary of State, "Section 3: Polling Place Hours," accessed April 4, 2023
- ↑ California Secretary of State, "Voter Registration," accessed April 4, 2023
- ↑ The Los Angeles Times, "Gov. Brown approves automatic voter registration for Californians," October 10, 2015
- ↑ The Sacramento Bee, "California voter law could register millions–for a start," October 20, 2015
- ↑ 23.0 23.1 California Secretary of State, "Registering to Vote," accessed April 4, 2023
- ↑ California Secretary of State, "What to Bring to Your Polling Place," accessed April 4, 2023
- ↑ BARCLAYS OFFICIAL CALIFORNIA CODE OF REGULATIONS, "Section 20107," accessed April 4, 2023
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