An increase in the minimum wage for California healthcare workers is finally taking effect

California healthcare workers are finally getting a long-promised minimum wage increase.

It will go into effect this month and outline a process that will trigger the raise, according to a letter state health officials sent to the Legislature on Tuesday.

“The health care minimum wage increases will become effective 15 days after the date of this notice, on October 16, 2024, unless a later effective date is specified,” Michelle Baass, the director of the California Department of Public Health, wrote in the letter.

The state Department of Labor Relations confirmed the implementation date on its website.

Gov. Gavin Newsom signed a law last year, SB 525, that would phase out wage increases for the state's lowest-paid health care workers to $25 an hour over several years.

The law was originally scheduled to take effect June 1, but Newsom asked lawmakers for a delay due to concerns about the state budget. The law is expected to cost the state $1.4 billion in the first six months of its implementation, according to Treasury Department estimates.

Newsom's deal to postpone the wage hike had an uncertain start date. It stated that the increases could begin sometime between October 15th and January 1st. The rollout date depended on whether the state brings in at least 3% more tax revenue than the government expected or whether the state begins collecting data to secure federal funding that will help provide some of the to offset costs associated with the law.

The letter from the Ministry of Health informs lawmakers that the latter is now in force.

Some employers stuck to the original deadline of June 1st and already provided a salary increase. But most workers waited patiently.

Health workers set to benefit from the law welcomed news that wage increases would begin.

“We deserve this. We deserve to be recognized. We deserve more than what we get,” said Yvonne Martinez, a housekeeper at Doctors Medical Center in Modesto.

She has been doing this work for 14 years and earns just over $20 an hour. The job is physically demanding — cleaning toilets, disinfecting surfaces, changing linens, taking out trash — but also mentally and emotionally demanding, she said.

She lives paycheck to paycheck and many of her colleagues work two jobs to make ends meet. The work they do is vital but is often not recognized with a livable wage, she said.

As planned, the increase in the minimum wage should not occur all at once. Workers will reach the $25 hourly wage over several years, some sooner than others depending on the type of facility in which they work.

For example, there will be an increase to $23 an hour for workers in large hospital systems. But workers in rural hospitals and so-called safety net hospitals start at $18. The Department of Industrial Relations lists the pay scale for each type of employer covered by the law. Some workers won't reach $25 until 2033.

The bill was authored by Sen. Maria Elena Durazo (D-Los Angeles) and sponsored by the SEIU California union.

“As patient care suffers from a staffing shortage caused by low wages and exacerbated by COVID-19, nursing assistants, medical assistants, clinical staff, hospital janitors and other essential healthcare workers have come together to address this crisis head-on,” Durazo said in a written statement. She credited the change to workers, but also to employers and the governor, who had committed to wage increases.

The UC Berkeley Labor Center estimates that about 426,000 workers are expected to benefit from the law. This includes medical assistants, front office staff, medical billing staff, patient technicians, janitors and food service workers.

Newsom's minimum wage increase for health care workers is the state's second for a specific industry. In April, fast food workers began making $20 an hour. For all other workers, the minimum wage in California is $16 per hour.

CalMatters is a nonpartisan, nonprofit news organization that brings Californians stories that examine, explain and explore solutions to quality of life issues while holding leaders accountable. This article is supported by the California Health Care Foundation, which works to ensure people have access to the care they need, when they need it, at a price they can afford.