The minimum wage will be going up in Novato beginning Jan. 1 following an ordinance passed by the City Council that provides for it to be adjusted annually.
The wage increases are based on the size of the business. For very large businesses with over 100 employees, the new rate will be $16.86 per hour, up from $16.32. For large businesses with between 26 to 99 employees, the rate will be $16.60 per hour, up from $16.07. And for small businesses with less than 25 employees, the rate will be $16.04 per hour, up from $15.53.

The Novato minimum wage applies to anyone who works more than two hours per week within the city limits.
In October 2019, the Novato City Council adopted the local minimum wage ordinance, which took a phased approach to gradually allowing all Novato employees to reach $15 per hour one year earlier than the state demanded it.
According to the local law, once the minimum wage reached $15, it must continue to be adjusted annually, regardless of the number of employees a business has. The adjustment is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers for the area or 3.5 percent, whichever is less.
