New York Plan to Increase Minimum Wage

Earlier this month New York legislature and Governor Cuomo agreed to increase the minimum wage for the eighth time in New York since 2013. For most employers in New York City, the minimum wage will increase to $15 per hour by the end of 2018.

The minimum wage increases are based on a three-tier wage system: one for New York City, a second for Nassau, Suffolk and Westchester counties, and a third for the rest of the state of New York.

Employees who receive tips will be required to be paid at least $7.50 per hour or 2/3 of the then current minimum wage, whichever is higher.

The new minimum wage schedules are as follows:

NEW YORK CITY

 Employers with 11 or more employees

Effective Date New Minimum Wage Minimum Wage for Tipped Employees
December 31, 2016 $11.00 $7.50
December 31, 2017 $13.00 $8.70
December 31, 2018 $15.00 $10.00

 Employers with 10 or less employees

Effective Date New Minimum Wage Minimum Wage for Tipped Employees
December 31, 2016 $10.50 $7.50
December 31, 2017 $12.00 $8.00
December 31, 2018 $13.50 $9.00
December 31, 2019 $15.00 $10.00

 

NASSAU, SUFFOLK & WESTCHESTER COUNTIES

Effective Date New Minimum Wage Minimum Wage for Tipped Employees
December 31, 2016 $10.00 $7.50
December 31, 2017 $11.00 $7.50
December 31, 2018 $12.00 $8.00
December 31, 2019 $13.00 $8.70
December 31, 2020 $14.00 $9.35
December 31, 2021 $15.00 $10.00

 

Remainder of New York State

Effective Date New Minimum Wage Minimum Wage for Tipped Employees
December 31, 2016 $9.70 $7.50
December 31, 2017 $10.40 $7.50
December 31, 2018 $11.10 $7.50
December 31, 2019 $11.80 $7.90
December 31, 2020 $12.50 $8.35

 

New York employers should start reviewing current employee wages now and prepare to increase wages accordingly based on the new schedules.

 

What other topics do you want to see covered by The Enlightened Employer? Do you have employment related questions you want to see answered? Email The Enlightened Employer!

Stay Enlightened! Click here to receive our monthly newsletter!

comment

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s