Minimum wage to reach $10 in San Francisco next year

      (Photo: Flickr/oblivion9999)

      SAN FRANCISCO (AP) San Francisco will make history on Jan. 1 when it becomes the first city in the nation to top $10 for the minimum wage.

      It's only a 32-cent hike, from $9.92 to $10.24. But for many low-income workers it's a psychological boost that will help them ring in the new year with more money in their pocket for daily necessities.

      San Franciscans passed a proposition in 2003 that requires the city to increase the minimum wage each year, using a formula tied to inflation.

      Workers love it. But some employers say that when you combine a hike to minimum wage with the city's payroll tax, mandated medical care stipend and the nine days of paid sick leave, it can lead to layoffs.