California's legislature approved a bill that will boost the state's minimum wage to $10 an hour by 2016, The Los Angeles Times reported. Governor Jerry Brown said he would sign the measure, which is expected to raise the current $8 minimum wage to $9 an hour next July and $10 by January 1, 2016.

"The minimum wage has not kept pace with rising costs," Governor Brown said. "This legislation is overdue and will help families that are struggling in this harsh economy."

The 25% increase represents the first minimum wage boost in California in five years, news reports said.

"This is the time to raise the minimum wage to provide relief to hard-working family," Assemblyman Luis Alejo the man who had authored the bil, said.

It had been the labor unions who vigorously lobbied heavily for the bill, both in the Legislature and at the governor's office while business groups opposed it, news reports said.

The bill won final passage in the Assembly on Thursday evening. It received a vote of approval by the state Senate earlier in the day.

Senator Bill Monning said that raising the minimum wage was a "moral imperative." Minority Speaker Nancy Pelosi also expressed support in recent months for the pay hike.

As of September 2013, California has the eighth-highest minimum wage in the country. Washington State has the highest at $9.19 an hour, The Los Angeles Times reported. 19 states and Washington D.C. passed laws setting the local mnimum wage above the federal level of $7.25 an hour.