SACRAMENTO, California — California voters have rejected a ballot measure that would have raised the state’s minimum wage to $18 an hour by 2026, the highest in the country.
Opponents, including the California Chamber of Commerce, said it would have raised costs, led to higher taxes and prompted companies to cut jobs.
“With the economy and costs top of mind for many voters this election, that message appears to have resonated,” said Jennifer Barrera, president and CEO of the chamber.
Supporters estimate the measure would have benefited 2 million workers, including hotel and supermarket workers.
“The failure of Proposition 32 is disappointing for all Californians who believe that everyone who works should earn enough to support their families,” said Kathy Finn, president of UFCW 770, a Southern California union representing nearly 30,000 workers across industries .
The current minimum wage for most workers is $16 per hour $20 in fast food. The healthcare industry will eventually see this minimum wage reaches $25 per hour under a law that Democratic Gov. Gavin Newsom signed last year and took effect in October.
Hawaii passed a law in 2022 to gradually increase the minimum wage statewide $18 per hourbut this will not come into effect until 2028.
In 2016, California became the first state to adopt one Minimum wage of $15 per hour under a law signed by then-Gov. Jerry Brown, also a Democrat. About 40 cities and counties already have a minimum wage higher than the national rate, and six of them will require a minimum wage of more than $18 per hour starting this year.