California’s minimum wage increase may affect how the Associated Students pays its salaried employees.
The state’s minimum wage will increase to $9 in July after State Assembly Bill 10 passed last September. In 2016, the minimum will increase to $10.
At a Board of Directors meeting Monday, A.S. Executive Director David Buckley presented how the bill would affect overtime eligibility for the organization’s workforce.
One factor that determines eligibility is the employee’s pay, Buckley said. If the pay is equivalent to twice the minimum wage or more, A.S. is not obligated to provide overtime compensation.
However, when the bill goes into effect in July, some workers who were not previously eligible for overtime will be under that policy, Buckley said.
Giving pay increases to these employees in response to the increased pay threshold may be seen as unfair to other workers, he said.
It’s important that any changes implemented this year are done in the same way for the 2016 increase, Buckley said.
Enrique Raymundo can be reached at [email protected] or @ERaymundoCV on Twitter.