Support San Mateo businesses during this transition.
Throughout 2016, the San Mateo City Council prioritized social equity and established an initiative to increase the city’s local minimum wage. Earlier this year city staff began researching the possibility of increasing the local wage to $15.00 per hour.
On August 15th, the City Council adopted an ordinance which will incrementally increase the minimum wage within San Mateo to $15 per hour by 2019. With the adoption of the ordinance, San Mateo will maintain a minimum wage that is higher than the State’s and the highest in San Mateo County.
When does the new minimum wage go into effect?
On January 1, 2017, employees working within San Mateo boundaries will receive the first increase. The current minimum wage is $10.00 per hour. In January employers are required to pay employees (any employee in San Mateo working at least two hours per calendar year) a rate of $12.00 per hour. In January 2018 the minimum hourly wage will increase to $13.50, and in January 2019 it will reach $15.00 per hour. Each following year, the rate increases by the Consumer Price Index (CPI).
The city recently sent notices outlining the requirements of the minimum wage ordinance to employers within San Mateo. Employers are required to pay employees the minimum wage and post the official notice in the workplace where employees will see it. The city is partnering with the San Jose Office of Equality Assurance to enforce the wage requirements, and will also supply outreach materials, translated into multiple languages to non-profits that serve low-wage workers and their families.
Which employers pay the new minimum wage?

Starting January 1, 2017 employers in San Mateo are required to pay employees the first step of minimum wage increase.
All companies regardless of size with employees that work within the geographic boundaries of the city are required to pay employees the higher minimum wage as established in San Mateo’s ordinance. 501(c)(3) non-profits must also meet this requirement but at a slower rate. The table below outlines the wage requirements for both for-profit and non-profits with a 501(c)(3) status.
Year | Citywide | 501(c)(3) Non-profit |
---|---|---|
Current | $10.00 | $10.00 |
January 2017 | $12.00 | $10.50 |
January 2018 | $13.50 | $12.00 |
January 2019 | $15.00 | $13.50 |
January 2020 | $15.00+CPI | $15.00+CPI |
January 2021 | CPI | CPI |
The city of San Mateo like all employers within the community is required to pay any employee, part-time or full-time, an adult or a minor, the increased hourly rate.
Support Local Businesses

Employees living and working in San Mateo will benefit from the minimum wage increase, but it’s an additional expense that business owners must incorporate into daily operations.
San Mateo is a community where many small independent businesses establish and grow successful companies. Restaurants, auto repair shops, hobby stores, groceries, florists, bakeries, and chocolatiers are examples of the local independent businesses that make up the vast majority of our business community. The increase in the minimum wage will benefit those living and working in San Mateo, but it is an additional expense to many local businesses. Continue to support, shop, and dine at your favorite local stores and restaurants as they transition to the new wage. For more information about San Mateo’s minimum wage, please visit www.cityofsanmateo.org/minimumwage.