On November 15, 2021, the city council of West Hollywood passed a comprehensive ordinance that implements the highest minimum wage in the country and new leave requirements for employees in the city.

Most requirements under the ordinance take effect for hotel employers, defined as owning, controlling, or operating a hotel in the city or owns, controls, and/or operates any contracted, leased, or sublet premises connected to or operated in a hotel, on January 1, 2022.

For other employers in the city of West Hollywood, many of the requirements become effective July 1, 2022.

Minimum Wage

Under the West Hollywood Ordinance, the city starts a stair-step climb, which includes two increases per year until July 2023.

1/1/2022 7/1/2022 1/1/2023 7/1/2023
Hotel Employers $17.64 $18.31* No change $18.77*
Employers with 50 Employees or more $15.50 $16.50 $17.50 $18.77*
Employers with Less than 50 Employees $15.00 $16.00 $17.00 $18.77*

*This is an estimate, the actual wage will be determined by the cost-of-living adjustment for that year.

Paid Leave

The ordinance also implements a hybrid leave which provides that both full and part-time employees are provided paid time off for sick leave, vacation, or personal necessity.

Employees must be eligible to use accrued paid time off after the first 6 months of employment or consistent with company policies whichever is sooner.

Full-time employees, defined as working at least 40 hours a week or as defined by the employer shall be provided 96 compensated hours.  Full-time employees shall accrue at least 96 compensated time off hours per year.

A part-time employee, defined as an employee who works less than 40 hours per week shall accrue compensated time off in increments proportional to that accrued by someone who works forty hours in a week.

After the employee reaches the maximum accrued time off, an employer shall provide a cash payment once every 30 days for accrued compensated time off over the maximum. An employer may provide an employee with the option of cashing out any portion of the accrued compensated time off under the maximum, but the employer may not require the employee to cash out any accrued time off.

Unpaid Leave

Under the new ordinance, West Hollywood employers must permit full-time employees to take at least 90 additional hours per year of uncompensated time to be used for sick leave for the illness of the employee or a member of the employee’s immediate family when the employee has exhausted his or her compensated time off for the year.

Jackson Lewis continues to track employment regulations across the state. If you have questions about compliance with the new West Hollywood ordinance or related questions, contact a Jackson Lewis attorney to discuss.