California Labor Law Could Pay State Workers Minimum Wage

Sacramento, CAA provision in California's labor law would allow the state to cut its workers' wages to minimum wage starting at the beginning of July until a budget is passed.

span itemprop="image" itemscope itemtype="https://schema.org/ImageObject" style="display:block">Governor Arnold Schwarzenegger has been using the provision in negotiations with state employee unions, according to the Sacramento Bee. In some cases, he has given the unions 24 hours to make a deal or face the minimum wage.

So far six of 12 unions have accepted provisional deals that ensure they will not be paid at minimum wage. In return, the unions will have to scale back worker's pension and cut down on the number of paid days off.

Despite the provision, it appears unlikely that any state employees will actually be paid the minimum wage for two reasons: First, the state controller, John Chiang, refused to make out minimum wage pay checks in 2008 under similar circumstances. The administration sued and the appellate court case is still on going. Second, the state legislature needs more time to vote on the deals made with the six unions, which could stall progress long enough for the minimum wage impasse to blow over.