New minimum wage increase starts for CA health care workers this week after months of delay

SAN FRANCISCO (KGO) -- Nearly half a million healthcare workers are expecting to get a raise this week, as the state increases the industry's minimum wage.

State budget issues delayed the pay boost by several months.

Gov. Gavin Newsom signed a law last year that would gradually phase in pay increases for the lowest-paid health care workers, who will eventually earn $25 an hour.

John Logan, SFSU professor of Labor and Employment explained how it works.

"It's creating a minimum wage between $18-$23 per hour for various health care-related workers. And not just medical staff -- (but also) workers such as janitors, groundskeepers and cooks that work in health care facilities," Logan said.

MORE: How CA's minimum wage hikes for fast food, health care workers could impact economy

The wage increases will impact about 426,000 workers.

"My mother had a hip replacement last year. She was cared for by these workers beautifully. But, you know, they don't make much money," said Rosanne Chloupek, a Bay Area resident.

The minimum wage boost for health care workers was supposed to go into effect June 1, but it was delayed because of budget concerns.

Back in April, fast food workers saw their minimum wage increase to $20 per hour.

"Both fast food and health care are very different industries, but employment has been growing in both of these industries, particularly in health care," Logan said.

MORE: Silicon Valley minimum wage going up in 2024. But will it be enough for high cost of living?

Logan says this wage increase will help the health care industry retain and recruit workers.

"It's a way of providing something approaching a living wage for hundreds of thousands of workers that didn't have it before," Logan said.

Some question what the higher minimum wage will do -- if it will create more jobs, or if it will mean people lose their jobs.

"It's unlikely to result in significant job losses. But it may change job patterns in other ways," Logan said.

Logan believes that the wage increases -- first for California fast food workers and now health care workers --will definitely pave the way for changes in other industries and in other states.