California Labor Code § 515.5 exempts computer software professionals from the overtime pay requirements imposed by Labor Code § 510, provided they meet certain requirements. To qualify as exempt, these professionals must perform the functions enumerated in the statute and receive a minimum hourly rate of pay. The California Department of Labor Standards Enforcement (“DLSE”) has announced that effective January 1, 2012, the minimum rate for qualifying computer software professionals will be $38.89 per hour (up from $37.94 per hour in 2011), with commensurate increases in the monthly and annual minimum rates. Certain licensed physicians and surgeons are similarly exempt from state overtime requirements, so long as they are compensated at a minimum pay rate; effective January 1st, this minimum rate increases from $69.13 to $70.86 per hour.

Finally, also on January 1, 2012, the City of San Francisco’s minimum wage rate will rise from $9.92 to $10.24, nearly $3 per hour more than the federal minimum wage and almost 30% higher than the minimum wage in other parts of California, where the state minimum wage remains $8.00 per hour.