Under the terms of the New York State Budget, the minimum wage will rise under a phased-in schedule in different regions of the state. The budget language amended section 652 of the Labor Law, and follow the schedule detailed in the table below.
General Minimum Wage Rate Schedule |
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Location |
12/31/2016 |
12/31/2017 |
12/31/2018 |
12/31/2019 |
12/31/2020 |
2021* |
NYC – Large Employers (11 or more) |
$11.00 |
$13.00 |
$15.00 |
|
|
|
NYC – Small Employers (10 or less) |
$10.50 |
$12.00 |
$13.50 |
$15.00 |
|
|
Long Island & Westchester |
$10.00 |
$11.00 |
$12.00 |
$13.00 |
$14.00 |
$15.00 |
Remainder of New York State |
$9.70 |
$10.40 |
$11.10 |
$11.80 |
$12.50 |
* |
Effect on Tipped Employees
While the minimum wage for tipped employees of $7.50 per hour is not scheduled to increase until 12/31/19, the Tip Credit amount will rise at the same rate as the minimum wage ($0.70 on 12/31/17 and $0.70 on 12/31/18).
For example, food service workers can continue to be paid at $7.50 per hour, but the tip credit will increase to $2.90 per hour on 12/31/17. That means that these workers will need to earn at least $2.90 in tips for each hour worked in order for the employer to pay them at $10.40 per hour.
For more information, visit:
NY Dept of Labor – Labor Standards website on Wage & Hour Law