Californians won't be seeing another minimum wage hike -- at least for the time being.

A state assembly panel has nixed a bill from Democratic Senator Mark Leno that would have raised the state's minimum wage to $13 an hour by 2017 -- an increase that would build on a boost agreed to last year to $10 an hour by 2016.

Leno warned against income inequality in testimony but a number of his colleagues from his side of the aisle didn't end up voting.

Business groups argued the hike would cost them too greatly, and asked lawmakers to wait and see what the effects of last year's legislation would be.