The first of a series of increases intended to bring New York’s state minimum wage to $15 an hour is set to go into effect on December 31.
As a result of a measure signed into law in April, the state will see minimum wage increases implemented on a regional basis. The state’s current basic minimum wage is $9 an hour.
Under the new law, New York City employers with 11 or more employees will see the minimum wage go to $11 an hour on December 31. Then, $2 increases will go into effect in each of the next two years, with the minimum wage reaching $15 at the end of 2018.
New York City employers with fewer than 11 employees will see the minimum wage increase to $10.50 on December 31 and rise $1.50 each year for three years, reaching $15 at the end of 2019.
Long Island and Westchester counties will see the minimum wage rise to $10 on December 31 and then go up $1 per year, reaching $15 at the end of 2021.
The rest of the state will see the minimum wage hit $9.70 on December 31 and go up 70 cents per year until it reaches $12.50 at the end of 2020. After that, the minimum wage will continue to increase to $15 an hour on an indexed schedule.
The law contains a “safety valve” that will allow state officials beginning in 2019 to consider the effects of wage increases on regional economies before permitting scheduled increases to go into effect.
For more information on New York’s minimum wage increases, see the May issue of New York Employment Law Letter.