Starting October 16, healthcare workers in California will gradually see increases in their pay. Originally set to take effect on June 1, the raise was delayed due to the state’s financial difficulties. However, with funding now secured, the salary increase will roll out, eventually reaching $25 per hour. This move is expected to benefit approximately 426,000 workers, including medical assistants, administrative staff, janitors, and food service workers.
Michelle Baass, director of the California Department of Health Care Services, sent a letter to the legislature on October 1, confirming that, barring any unforeseen circumstances, the pay increase plan for healthcare workers will begin in 15 days. Salaries will gradually increase based on the position and hospital.
In 2023, Governor Gavin Newsom signed Senate Bill 525, approving the gradual salary increase for healthcare workers to $25 per hour. The initial implementation date was postponed due to financial challenges, as the state would need to allocate $1.4 billion for the first six months. However, Newsom assured that once federal funding was secured, the plan could be put into action, prompting the announcement of the October 16 start date.
While some facilities began the pay increase on June 1, most had to wait for the state’s official announcement. Once the pay raise takes effect, staff at large hospitals can expect their salaries to start at $23 per hour, while workers at smaller and rural facilities will begin at $18. Some will not reach the $25 per hour mark until 2033.
Senator Maria Elena Durazo, who helped draft the bill, expressed gratitude for the support received and emphasized that low wages, compounded by the impacts of the COVID-19 pandemic, posed significant challenges for patient care. It will require dedication from caregivers, medical assistants, clinic staff, hospital janitors, and other essential workers to tackle the issue of low wages.
According to estimates from the UC Berkeley Labor Center, around 426,000 individuals will benefit from this wage increase. This marks the second major pay increase for specific industry workers during Newsom’s administration; fast-food employees saw their hourly wage rise to $20 in April, while other industries are set at a minimum of $16 per hour.
Yvonne Martinez, a hospital cleaner at Doctors Medical Center in Stanislaus County, shared her thoughts with CalMatters, stating, “The pay raise is long overdue. I’ve been living paycheck to paycheck for 14 years, and $20 an hour is hardly enough to get by. Many of my colleagues still have to take on second jobs.”