California hopes to raise minimum wage to $15.50 an hour

How far will inflation climb in the US? 6:49 (CNN) — California’s minimum wage is expected to rise to $15.50 an hour next January due to the triggering of a state regulation regarding inflation, Gov. Gavin’s office said Thursday. Newson. Newsom’s office said in a statement that the state’s minimum wage law requires an accelerated increase when inflation exceeds 7%. The Consumer Price Index, which measures a basket of goods and services, rose 8.3% in the 12 months ending in April, the Bureau of Labor Statistics reported Wednesday. “The COVID-19 pandemic has caused persistent supply chain disruptions and labor market frictions, driving inflation to its highest rate in 40 years,” the statement said. “These conditions have been further aggravated by Russia’s war in Ukraine.” California currently requires $14 an hour for employers with 25 or fewer employees and $15 an hour for employers with 26 or more employees, according to the state Department of Industrial Relations. Employers with fewer than 26 employees were originally going to be required to raise the minimum wage to $15 starting Jan. 1, 2023, the department said. Under the newly activated provision, the governor’s office said the $15.50 minimum wage will be required for all workers. CNN’s Anneken Tappe contributed to this report