Some of California’s lowest-paid healthcare workers have started receiving a pay raise under a new state law that gradually increases their minimum wage to $25 per hour. Workers at rural, independent healthcare facilities will see a starting salary of $18 per hour. At the same time, those at larger hospitals with at least 10,000 full-time employees will earn a minimum of $23 per hour. The law impacts around 350,000 workers and will progressively raise wages over the next decade, with different timelines for when the $25 rate takes effect. 

State Sen. Maria Elena Durazo authored legislation to support healthcare workers who have faced challenging working conditions. These workers often perform multiple roles in understaffed environments. Governor Gavin Newsom signed the law last year, although its implementation was delayed to address a $46.8 billion state budget shortfall.

 While the wage increase is seen as a victory for workers, healthcare providers express concerns about the financial burden on hospitals still recovering from the COVID-19 pandemic. Many hospitals have already begun implementing the wage increases despite these concerns, according to the Association of California Healthcare Districts. As with all things, the cost will eventually be passed down to the service users, or cuts will have to be implemented.