Petaluma Living Wage Ordinance FAQ’s

How is the Petaluma Living Wage annual increase calculated?

The Ordinance provides for an annual increase based on the average Cost of Living Adjustments for City employees but no more than the most recent December to December Consumer Price Index for San Francisco-Oakland-San Jose (CPI-U), published by the Bureau of Labor Statistics.” The Ordinance also provides that the City Council may review the impact of the cost of living adjustment (COLA) on an annual basis to assess any potential adverse impact and may modify or suspend adoption of a COLA otherwise allowed by this subsection. Pursuant to the Living Wage Ordinance, any adjustment would be effective on July 1.

What is the Petaluma Living Wage?

The Petaluma Living Wage in effect July 1, 2024, through June 30, 2025, is $18.95 Per Hour With an Employer Contribution Toward Medical Benefits and $21.24 Per Hour Without an Employer Contribution Toward Medical Benefits).

Read the staff report here (Consent Calendar #12): https://cityofpetaluma.primegov.com/Portal/Meeting?meetingTemplateId=17069

Who is subject to the Living Wage Ordinance?

Petaluma’s Living Wage ordinance applies to:

  • City of Petaluma employees 
  • Employees of businesses that contract or subcontract with the City of Petaluma (contractors and subcontractors)
  • Employees of recipients of city financial assistance

Other wage rules, such as prevailing wages, may apply depending on the work being done under contract with the City of Petaluma. Please consult with the City Attorney’s office for more information.

Which wage applies if an employee is eligible for both the Petaluma Minimum Wage and the Petaluma Living Wage?

Employers subject to Living Wage Ordinance and the Minimum Wage Ordinance are required to compensate employees at the higher applicable rate.

Who should be contacted if an employee is not being paid correctly?

Employees who believe they are not being paid in accordance with the Petaluma Living Wage ordinance or the Petaluma Minimum Wage Ordinance should contact the City’s Economic Development Division at [email protected].

What is the difference between the Petaluma Living Wage ordinance and the Petaluma Minimum Wage Ordinance?

The Petaluma living wage ordinance applies to employees of the City or for-profit entities that contract with the City. The Petaluma Living Wage must be paid for hours worked on behalf of the City and/or work funded by City monies, regardless of where that work happens.

The Petaluma minimum wage ordinance applies to anyone who qualifies as a non-exempt employee under State minimum wage laws, for hours worked within the Petaluma City limits. Most employers, including businesses and nonprofits, are subject to Petaluma’s minimum wage ordinance; the exceptions are federal and state agencies. Tips and benefits cannot be considered when calculating the Petaluma minimum wage. Click HERE for information about the Petaluma minimum wage.

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