Californians Reject Highest Minimum Wage Proposal in the Nation

California voters have turned down a proposal to raise the state's minimum wage to $18, citing concerns over increased costs and job cuts. Opposition came from groups like the California Chamber of Commerce, while proponents claimed it would benefit two million workers across various sectors.

California voters have rejected a significant ballot measure that sought to raise the state minimum wage to $18 by 2026, making it the highest in the country. The decision comes amidst concerns over increased operating costs and potential job cuts, voiced by opponents including the California Chamber of Commerce.

'With the economy and costs being top priorities for many voters, the opposition's message clearly resonated,' said Jennifer Barrera, President and CEO of the chamber. Proponents of the measure believed it could have positively impacted about two million workers, especially those in hotel and grocery sectors.

Despite the setback, the current minimum wage stands at $16 per hour for most workers, with the health care sector set to see a rise to $25 eventually. This follows previous state moves to increase wages, such as the 2016 law setting a $15 hourly minimum, and aligns California's ongoing efforts with other states like Hawaii, which plans to increase its wage to $18 by 2028.

(With inputs from agencies.)