Minimum pay in unincorporated San Mateo County could exceed the state’s requirements next year, a measure meant to help residents making minimum wage keep up with the region’s soaring cost of living.
Without a minimum wage ordinance of its own, San Mateo County employers in unincorporated areas are expected to pay the state minimum wage — $14 an hour for businesses with fewer than 25 employees or $15 an hour for those with more.
By Jan. 1, that rate will increase to $15.50 for all employers across the state. But county officials are considering enacting a local wage rate in unincorporated San Mateo County to better account for the Bay Area’s high cost of living.
Under the county policy, employers, regardless of size, would be required to pay employees $16.50 per hour with an annual adjustment based on the Consumer Price Index that would be capped at 3.5%. If approved, the county would give employers a six-month grace period, allowing staff to conduct public outreach on the increase before it would take effect on July 1, 2023.
“We need to recognize that Bay Area living costs warrant a higher minimum wage. Currently, there are people in unincorporated San Mateo County that are suffering from the effects of wage stagnation coupled with rising inflation, forcing them to live paycheck to paycheck, become victims of predatory lending or forgo essential necessities for a quality of life many of us are privileged to have,” Lena Silberman, a legislative aide with board President Don Horsley’s office, said during Tuesday’s board meeting. “Raising the minimum wage in unincorporated San Mateo County can help close the gap of wage inequality and the escalator incorporated in the proposal is critical to protect against the effects of inflation.”
The move would align the county with other jurisdictions within its boundaries. Redwood City, San Mateo, South San Francisco, Daly City, Belmont, San Carlos and Half Moon Bay all have rates that exceed the state’s wage mandate.
Belmont Councilmember Charles Stone told supervisors, during their meeting Tuesday, that the city’s higher rate has proven to be successful while causing little to no frustrations among businesses with which he’s spoken.
Most recently, Redwood City adjusted its minimum wage ordinance after conducting its own informal outreach to businesses that reportedly pay employees between $19 and $21 per hour to remain competitive. Councilmembers unanimously decided to increase the city’s minimum wage to $17.10 beginning Jan. 1 and to adopt a 5% cap on how much wages can increase based on the CPI.
Jurisdictions have been lauded for pursuing higher wages by labor groups, community organizations and advocates who note pay, especially in the Bay Area, has not kept up with the rising cost of living.
During Tuesday’s meeting, Rita Mancera, executive director of the Pescadero-based nonprofit Puente de las Costa Sur, and Judith Guerrero, executive director of Coastside Hope in El Granada, encouraged the board to support the minimum wage hike.
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Both organizations largely serve low-income families, many of whom include farmworkers earning minimum wage. Mancera noted her clients often bring in about $60,000 annually between two working adults.
“I don’t know what we would do with that income. I don’t know what you would do with that income but it keeps them on this thin line that if something unexpected happens — and it happens to them — they are really at risk,” Mancera said. “They live with that sense of urgency living paycheck to paycheck. Usually, I talk a lot about the strengths of our community of farmworkers but this time I think it’s really important to stress the situation they have with these very low wages.”
Echoing Mancera, Guerrero said her mother, who has worked as a farmworker for more than 20 years, makes $14 an hour. Though she and other low-wage workers are making minimum wage, Guerrero said the area has become harder to live in as rents rise and the costs of goods spike.
“They work very hard. They were one of the groups that were most affected during the pandemic. As Rita mentioned, these are community members who don’t have a safety net because they’re not able to, not because they don’t want to,” Guerrero said. “They’re being paid minimum wage but they’re living in a community where it keeps getting more and more expensive to live.”
Supervisors shared support for the proposal with Supervisor David Canepa arguing the county should be more aggressive with its policy. Citing a report by the United Way of California, Canepa said working adults would need to make at least $21 an hour to afford to live in the state. He suggested the board consider adopting a minimum wage as high as $20 an hour or around $18.61 an hour, a wage recently adopted for county contract workers.
Other supervisors did not speak to Canepa’s suggestion but Horsley and Supervisor Carole Groom suggested county staff look into a system for enforcing the county’s minimum wage requirement if it’s adopted at a later date.
David Burruto, chief of staff for Supervisor Dave Pine’s office, said the county could consider establishing its own enforcement department as is done in Santa Clara County, an issue he said he has researched and on which he would be happy to advise the board. Jennifer Stalzer with the County Attorney’s Office also noted other jurisdictions, including Redwood City, contract with San Jose’s Office of Equity Assurances for enforcement services.
Burruto and Horsley both noted the issue has been one of concern in the county which saw District Attorney Steve Wagstaffe take action against the Castillo Seed Company farm in Half Moon Bay for withholding wages from multiple employees.
You can't live on these options in the Bay Area. The minimum wage should be able to provide for rent and a family's basic needs and in this area that's $40/hr. Otherwise we create problems, related to having to hold 2.6 jobs at 15.50 or two jobs at 21, which we barely solve for billions with affordable housing programs, family services, detention, etc..
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(1) comment
You can't live on these options in the Bay Area. The minimum wage should be able to provide for rent and a family's basic needs and in this area that's $40/hr. Otherwise we create problems, related to having to hold 2.6 jobs at 15.50 or two jobs at 21, which we barely solve for billions with affordable housing programs, family services, detention, etc..
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