Wages are Rising! Minimize the Impact with Hiring Incentives

Secure hiring incentives to help minimize the impact of rising wages.

California's minimum wage is rising.  Here's a list of the current minimum wage rates and the scheduled increases. 

Below is some general information on some of the hiring incentives available.  

Please consult with your CPA or tax advisor on your business eligibility or you can visit our professional network. 

California's state minimum wage is scheduled to rise as shown in the following schedule and effective dates. 

Some local cities and counties have also passed their own minimum wage increase in their jurisdictions. 

Available Incentives

Here's a list of some of the more common ones:

• On-the-Job Training (OJT).  The On-the-Job Training Program provides a wage reimbursemtn of up to 100% to employers for hiring eligible employees and training them in a new job.  Business may be eligible for tax credits offerd by the Work Opportunity Tax Credit Program and potentially the Caifornia New Employment Credit.  

• Work Opportunity Tax Credit.  The Work Opportunity Tax Credit is a hiring incentive for For-Profit business employers. This credit encourages the hiring of individuals who qualify as members of target groups by providing a federal tax credit incentive of up to $9,600 for employers who hire them.  

• California Competes Credit.  This is a California tax credit for For-Profit businesses that are planning to add jobs in the state.  This is an application and bidding type of incentive to Business that are planning to increase jobs in the state can qualify for this credit. 

• California New Employment Credit (*For this tax credit, you must be located within a state Designated Employment Area - click here to use California's Mapping Tool to see if your business is location in a DGA).  

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Employer Requirements

A qualified taxpayer:

• Is an employer engaged in a trade or business within a designated within a DGA.

• Is not engaged in any excluded businesses which are temporary help services or retail trades, and those primarily in food services, alcoholic beverage places, theater companies and dinner theater or casinos and casino hotels unless it is considered a small business.

• Is not engaged in a sexually-oriented business.

• Hires an individual that is a qualified full-time employee that works at least an average of 35 hours per week and meets all of the following:

  • Is hired on or after January 1, 2014.

  • Performs at least 50% of his/her services for the employer in the DGA.

  • Receives starting wages that exceed 150% of the State minimum wage.

  • Is paid hourly wages for an average of at least 35 hours per week, or is salaried, and paid for full-time employment.

  • Meets one of five conditions upon commencement of employment (see below).

Employee Conditions

At the time of hire an individual meets any of the following conditions:

• Unemployed for 6 months or more, not having completed a degree or course of study.

  • Unemployed means: not receiving wages, not self-employed, and not a full-time student.

• Unemployed for 6 months or more, and completed a degree or course of study more than 12 months prior to hire.

  • Unemployed means: not receiving wages, not self-employed, and not a full-time student.

• Veteran, separated from the armed forces within 12 months.

• Recipient of the federal Earned Income Credit in the previous taxable year.

• Ex-offender convicted of a felony.

• Current recipient of CalWORKS or county general assistance.

Need help securing?  Visit our directory (those who help qualify and those who can calculate)

How to secure.... talent pool of pre-qualified.  For employee, if potential... need to contact your case manager or local agency and receive a pre-certification (for WOTC).

Online Directory - can contact directly

Job Post - We'll forward this information to each local organization

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Benefits

1. Streamlined Process

2. Post your job opening

3. We'll forward the information to our local resources in our network

4. They'll contact you to provide you more information

• Keep more of the benefit by paying just a flat rate to post the job opening. We'll work with local resources to help you take advantage of the incentives. 

• Post your job openings

• Don't pay expensive consulting fees

Simple Process

• Post your job opening

• We'll forward the information to the local network that provides it... 

• Await job candidates

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