2008 California Employment Laws
California Minimum Wage Increased
On January 1, 2008, the minimum wage in California will be increased from $7.50
per hour to $8.00 per hour. As a result of this increase, the salary requirement for the ex-
ecutive, administrative, and professional exemptions will also be increased from $2,600 per
month ($31,200 per year) to $2,733.33 per month ($32,280 per year).
Use of Social Security Numbers on Itemized Wage Statements Prohibited
Also effective January 1, 2008, California employers are prohibited from printing
more than the last four digits of an employee’s Social Security Number on the itemized
wage statements required by California Labor Code section 226. Employers may place ei-
ther the last four digits of the Social Security Number, or establish new employee identifica-
tion numbers to place on the itemized wage statements.
Employers Must Provide Military Spouses Unpaid Leave
All California employers with 25 or more employees must provide up to 10 days of
unpaid leave to qualified spouses of military personnel as of October 1, 2007. In order to
qualify for such a leave, employees must work an average of 20 or more hours per week and
may not be independent contractors. Employees are entitled to leave when the employee’s
spouse is a member of any branch of the United State’s Armed Forces (i.e., Army, Navy,
Air Force, Marines, Coast Guard), National Guard or Armed Forces Reserves, who is on
leave from deployment during a period of military conflict. The law specifically prohibits
retaliation against employees who assert their rights under this law.
Employers Must Notify Employees of Eligibility for Tax Credits
Effective January 1, 2008 all California employers are required to provide all em-
ployees with written notice of their potential right to an Earned Income Tax Credit (EITC)
on their federal income tax returns. The notice must be provided within one week of when
an employer distributes annual wage summaries (IRS Form