California Governor Gavin Newsom has signed a bill raising the minimum wage for healthcare workers in the state to $25 an hour, according to an Oct. 14 report from The Hill.
Gov. Newsom signed the bill on Oct. 13. His decision was celebrated by the Service Employees International Union.
California currently has 848 ASCs, all of which could begin to see changes from the new bill. At some ASCs, non-clinical staff members, especially in rural areas, earn less than $25 an hour. The bill could cause increased financial pressure on ASCs, who will have to give those staffers higher comepnsation moving forward.
Since the beginning of 2022, minimum wage in the state for all workers has sat at $15 an hour, but this bill will establish five separate wage increases, depending on the nature of the employer.
The bill will raise wages for 455,000 healthcare employees, according to a report from the University of California Berkeley Labor Center. Three out of four impacted employees are women and 76% will be workers of color.
While California registered nurses already earn an average of $64.10 an hour, this bill could drive up wages statewide, which could cause nurses to see pay bumps for facilities to remain competitive.
Medical assistance, certified nursing assistants, aides, technicians, maintenance workers, janitorial or housekeeping staff, groundskeepers, security officers and food service workers all will benefit from the bill, according to the report.