The University of California approved a 4% salary increase for eligible policy-covered staff and academic appointees on June 17, 2026, according to a letter from Dianna Henderson, Vice President of Systemwide Human Resources and Chief Human Resources Officer.
The decision affects thousands of UC employees across the system’s 10 campuses and five medical centers. President James B. Milliken approved the salary program as part of the university’s effort to recognize employee contributions while addressing budget constraints.
Who Gets the Raise and When
For policy-covered staff, the salary increase takes effect July 1 for employees paid monthly and June 21 for employees paid biweekly. The 4% raise does not vary by performance rating, though annual performance reviews will continue as scheduled.
Academic personnel will see salary scales increase through a 4% general range adjustment. Faculty will receive the increase effective Oct. 1, while other policy-covered academic appointees will see it July 1. The regular peer-review merit advancement process continues for academic staff.
UC locations also have discretion to implement an additional equity increase program of up to 2% for eligible employees based on local priorities and needs. Individual campuses will determine how to allocate these equity adjustments within their budget constraints.
The salary increase does not apply to employees represented by collective bargaining units, who are covered by their respective union agreements.
Budget Context Behind the Decision
Henderson acknowledged in her letter that many employees continue to feel pressure from rising costs. The salary increase aims to provide meaningful support while the university navigates ongoing budget challenges.
The timing follows California’s passage of a state budget on June 15 that included higher revenue projections than Governor Gavin Newsom initially proposed. The Legislature allocated billions more for schools and community colleges in the final budget agreement.
Henderson noted this period as one of the most consequential for the University of California and higher education broadly. She thanked the Governor and state leaders for their continued support of public higher education in California.
Each UC location has flexibility to implement the salary program in ways that align with local budget priorities and constraints. Campus leadership will share additional details about their specific 2026-27 salary increase programs with employees.
Statewide Wage Trends
The UC salary increase comes as California employers across sectors adjust compensation. Starting July 1, minimum wage rates will increase in several jurisdictions, with Los Angeles County raising its rate to $18.47 per hour and the City of Los Angeles to $18.42.
Health care workers at large hospitals will see their minimum wage jump to $25 per hour, while hotel and hospitality workers in cities like Los Angeles and Santa Monica will earn $25 per hour minimum. These sector-specific increases reflect California’s tiered approach to wage policy.
The UC system employs more than 230,000 faculty and staff across California. Henderson emphasized that employees make a difference to students, patients, and all Californians every day through their work.
Campus-level announcements will provide specifics on implementation timelines, equity adjustment criteria, and any additional compensation changes tied to local budget allocations.
