California's new $25 healthcare minimum wage law: 5 things to know

A California bill will go into effect Oct. 16 requiring healthcare facilities, including ASCs, to meet certain wage requirements, law firm Buchalter wrote in JDSupra

Here are five things to know:

1. For Medicare-certified ASCs and physician groups with 25 or more physicians, the minimum wage will be $21 an hour when the law goes into effect. 

2. From July 1, 2026, to June 30, 2028, the minimum wage will be increased to $23. From July 1, 2028, to December 31, 2029, it will increase to $25, and then will be adjusted for inflation each year. 

3. The requirements are for covered healthcare employees, which includes those who provide patient care, healthcare services and services supporting the provision of healthcare, according to the report. 

4. According to the report, applicable employees include: nurse, physician, caregiver, medical resident, intern or fellow, patient care technician, janitor, housekeeping staff person, groundskeeper, guard, clerical worker, nonmanagerial administrative worker, food service worker, gift shop worker, technical and ancillary services worker, medical coding and medical billing personnel, scheduler, call center and warehouse worker and laundry worker. Covered healthcare employees also include contracted or subcontracted employees if certain elements are met.

5. Implementation of the bill was delayed in June after Gov. Gavin Newsom signed a bill last year to gradually increase the state's minimum wage for healthcare workers to $25 per hour by June 2033. 



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