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San Mateo County’s Living Wage Ordinance (LWO)

The Living Wage Ordinance sets a minimum wage contractors are required to pay employees providing services under County contracts. The living wage is a pilot program, beginning January 1, 2017, and ending on June 30, 2022.

  • Beginning January 1, 2017, all amendments to existing contracts must comply with the Ordinance.
  • Beginning April 1, 2017, all new contracts must comply with the Ordinance.
  • Existing contracts are not affected until or unless they are amended.
  • Between January 1, 2017, and April 1, 2017, certain nonprofit contractors may voluntarily comply with the Ordinance and receive a monetary incentive (an “Enhancement”) from the County.

Background

In December 2015, the San Mateo County Board of Supervisors held a study session on living wage ordinances, and appointed Supervisors Carole Groom and Dave Pine to an LWO Subcommittee. To research living wage impacts and options, the LWO Subcommittee convened a workgroup that included 12 non-profit County contractors, one for-profit contractor, and a representative of the San Mateo Labor Council. Based on input from these meetings, the LWO Subcommittee recommended adoption of a five-year living wage pilot program.

 SMC’s LWO Schedule

EFFECTIVE DATE

COUNTY LWO WAGE

ANNUAL INCREASE OVER EXISTING WAGE RATE

January 1 / April 1, 2017

$14.00

$3.50

July 1, 2017

$15.00

$1.00

July 1, 2018

$16.00

$1.00

July 1, 2019

$17.00

$1.00

July 1, 2020

$17.19

$0.19

July 1, 2021

$17.79

$0.60

The LWO Covers…

Contracts and Contractors

  • All contracts for services entered into with the County on or after April 1, 2017.
  • When a contractor has more than one contract with the County, only those contracts that are covered contracts are subject to the ordinance.
  • Nonprofit contracts that are funded 50% or less by the County are not required to comply with the LWO.
  • Employees
  • All employees, both part-time and full-time, working for a covered contractor. See the LWO for exclusions, link below.

Resources

  • Living Wage Ordinance [1]
  • Living Wage Ordinance FAQ [2]

Source URL:https://hr.smcgov.org/san-mateo-county%E2%80%99s-living-wage-ordinance-lwo

Links
[1] https://www.municode.com/library/CA/san_mateo_county/codes/code_of_ordinances?nodeId=TIT2AD_ART2.8INFIPRCOCO_CH2.88LIWAORPIPR [2] https://hr.smcgov.org/sites/hr.smcgov.org/files/LWO%20FAQ_Final_03142017.pdf