As part of an ongoing effort to provide a livable wage for workers, the City of San Diego’s minimum wage is set to increase in the new year. Effective Jan. 1, 2026, employees who perform at least two hours of work in one or more calendar weeks of the year within the city’s geographic boundaries will receive a minimum wage increase from $17.25 to $17.75 an hour.   

The change is in accordance with the City’s Earned Sick Leave and Minimum Wage Ordinance, approved by voters in 2016. The City’s minimum wage is higher than California’s, which will increase to $16.90 per hour on Jan. 1, 2026.   

The minimum wage in San Diego has increased annually since 2019, with each increase corresponding to the prior year’s increase in the cost of living, as measured by the Consumer Price Index. The Minimum Wage Ordinance applies to all industries and businesses, with no exceptions. Tips and gratuities do not count toward the minimum wage.   

In accordance with the ordinance, employees will also continue to earn sick leave, either through accrual or the “front load” method. Earned sick leave can be used for all of the reasons described in the ordinance, including but not limited to time for one's own medical care or for the medical care of a family member. Employers may limit an employee’s use of earned sick leave to 40 hours in a benefit year.   

Updated notices for posting at the workplace are available on the City’s Minimum Wage Program webpage. Every employer must post these notices in a conspicuous place at any workplace or job site.   

Contact the City’s Office of Labor Standards and Enforcement Minimum Wage Program at SDMinWage@sandiego.gov or 619-235-5912 for any questions or to file a complaint.