The Daly City (the city) enacted a minimum wage ordinance (the MWO) that requires you to pay any employee who works at least two hours in one calendar week within the geographic boundaries of the city at the local minimum wage rate (the Daly City minimum wage).1

Read about the January 1, 2026, minimum wage increase.

You can find more information regarding the MWO on the city's website. You may also contact the city by phone at (650) 991-8127 or by email at MinimumWage@dalycity.org.

Minimum Wage Rate

  • Effective January 1, 2026, the Daly City minimum wage for most employees is $17.50 per hour, up from the 2025 rate of $17.07 per hour.2 This increase and future annual increases are tied to the Regional Consumer Price Index, up to 3.5 percent.
  • The Daly City minimum wage is higher than the standard California state minimum wage but not the state minimum wage rates for the fast food and health care industries, effective April 1, 2024, and October 16, 2024, respectively. You must pay the higher minimum wage to employees eligible for it. For more information on the state minimum wage rates, see the HR Library’s Minimum Wage.

You can find the current Daly City minimum wage on the city's website.

Coverage and Eligibility

A covered employee (employee) under the MWO is any employee who:

  • Performs at least two hours of work in one calendar week in Daly City, whether full or part-time; and
  • Is entitled to payment of a California minimum wage.

You must pay employees at least the Daly City minimum wage for each hour worked in Daly City, not including tips and gratuities.3 The Daly City minimum wage applies to employees working in Daly City, regardless of where the employer is located or whether the employee is a Daly City resident.

You do not need to pay the Daly City minimum wage to individuals who are not entitled to the state minimum wage.4 For more information on these types of employees, see the HR Library's Minimum Wage page.

You can find additional information regarding application of the MWO on the Daly City website.

Posting, Notice and Recordkeeping Requirements

The MWO requires you to post the official, city-provided notice specifying the minimum wage and describing employee rights under the MWO. The city has issued the notice in English, Spanish, Tagalong and Chinese. The notice must be posted prominently in areas of the work site where it will be seen by all employees.5

In addition, you must display the California Minimum Wage Order, which can be found on CalChamber’s California and Federal Labor Law posters.

State law also requires you to provide Wage and Employment Notice to Employees (Labor Code section 2810.5) at the time of hire to all nonexempt employees that includes this information and meets the obligation under the MWO.6 More information about the notice can be found on the HR Library's New Employee Orientation page.

You also are required to retain records of each employee's name, hours worked and pay rate for a period of three years. Employees must be provided these records upon reasonable request.7

Enforcement

The MWO is enforced by the city,8 which may impose administrative and criminal penalties to enforce the MWO.9

In addition, aggrieved employees may file a civil lawsuit for any violation of the MWO.10

Remedies for violations may include: reinstatement; back pay, penalties of $40 owed to each employee for each day that the violation occurred, interest on wages owed, reimbursement of the city’s administrative costs of enforcement, and attorneys’ fees and costs. The city may also issue a civil penalty, payable to the city, in the amount of up to $100 for the first violation, up to $200 for a second violation in the same year, and up to $500 for each additional violation in the same year. Each day of a violation of the MWO is treated as a separate violation. This is in addition to the penalties payable to employees.11

The California Labor Commissioner also has the authority to investigate and enforce local minimum wage and overtime provisions, including such provisions in the MWO, and to issue citations and penalties against employers for violations. However, the Labor Commissioner and the city cannot both cite the employer for the same violation.

Retaliation

Employees who assert their rights under the MWO are protected against retaliation.12 For example, employees have the right to complain to their employer that they are not being paid the Daly City minimum wage; file formal complaints; inform other employees of their right to the Daly City minimum wage; or to assist other employees in asserting their rights.


1. Daly City Mun. Code secs. 8.76.010(c)(1), 8.76.020(a)

2. Daly City Mun. Code sec. 8.76.020(b); see Daly City Minimum Wage Ordinance webpage for additional information.

3. Daly City Mun. Code secs. 8.76.010(c), 8.76.020(a), (c)

4. Daly City Mun. Code secs. 8.76.010(c)(2), 8.76.020(a)

5. Daly City Mun. Code sec. 8.76.030; see Daly City Minimum Wage Ordinance webpage for additional information.

6.Lab. Code sec. 2810.5

7. Daly City Mun. Code sec. 8.76.050(d)

8. Daly City Mun. Code sec. 8.76.050(a)

9. Daly City Code Mun. sec. 8.76.050(a), 1.12

10. Daly City Mun. Code sec. 8.76.050(b)

11. Daly City Mun. Code secs. 8.76.050(c), 1.12

12. See Daly City Minimum Wage Ordinance webpage for additional information.