Starting July 1, the minimum wage in Alameda will increase to $13.50 per hour. The current minimum wage is $10.50 or $11.00 per hour, depending on the number of employees in a workplace. The Alameda City Council adopted the new minimum wage ordinance last Oct. 16.
Several factors went into enacting this new ordinance. One of the most pressing concerns for the council is the high housing costs in Alameda and the surrounding Bay Area. While there is no one definitive source, the average rent for a one-bedroom apartment in Alameda is reported between $2,050 and $2,613 per month by various online sources. Even the low end of these rental costs are unattainable for a full-time minimum wage worker at $11 an hour, or about $1,903 per month. At $13.50 per hour, a full-time minimum wage worker would earn $2,335 per month.
“I think the increase in minimum wage for Alameda will ultimately benefit everyone — including the employer. A properly compensated employee usually translates to a more productive employee for the employer and better service and experience for our customers,” said John Ngu, owner of Neptune’s restaurant on the Island’s West End. “The last thing we want is our workforce leaving the Island to find jobs when there are many right here in town. I am in full support of increasing the minimum wage in the city of Alameda. I know my staff will greatly appreciate it..”
This initial minimum wage increase is just the first step to establishing a more competitive wage in Alameda. On July 1, 2020, the minimum wage will increase from $13.50 to $15 an hour. This will bring Alameda’s minimum wage up to the level of surrounding cities. Oakland, Berkeley, San Leandro, Emeryville, El Cerrito and Richmond have all adopted minimum wage ordinances ranging from $13.80 to $15.69 per hour.
“In addition to being extremely difficult to live in Alameda at this pay scale, a minimum wage that is significantly lower than our neighboring cities is also detrimental to local businesses’ hiring prospects,” said Debbie Potter, the city of Alameda’s director of its Community Development Department.
