New York State Minimum Wage Increases: Are You in Compliance?
New York State employers with employees working in the State and outside of New York City should review the changes and make the necessary adjustments to ensure they are in compliance with the new requirements.
Here is a summary guide to what employers need to know:
Minimum Wage Increases
New York State’s minimum hourly wage rates for non-fast-food workers outside of New York City increased on December 31, 2021, as follows:
Nassau, Suffolk, and Westchester counties: $14.00 to $15.00 per hour;
The remainder of the State outside of New York City: $12.50 to $13.20 per hour.
As of July 1, 2021, the minimum hourly wage rate for fast-food workers statewide is $15.00 per hour.
Minimum Wage Increases for Tipped Employees
New York State’s minimum hourly wage rates for “tipped employees” in the hospitality industry (food service workers and service employees) in Nassau, Suffolk, and Westchester counties increased on December 31, 2021, as follows:
Foodservice workers: $9.35 cash with $4.65 tip credit to $10.00 cash with $5.00 tip credit per hour;
Service employees: $11.65 cash with $2.35 tip credit to $12.50 cash with $2.50 tip credit per hour ($3.25 tip threshold for non-resort hotel employees) ($8.40 tip threshold for resort hotel employees).
Minimum Salary Increases for Overtime-Exempt Executive and Administrative Employees
New York State’s minimum salary levels for overtime-exempt executive and administrative employees increased on December 31, 2021, as follows:
Nassau, Suffolk and Westchester counties: $1,050 to $1,125 per week ($58,500 annually);
The remainder of the State outside of New York City: $937.50 to $990 per week ($51,480 annually).
New York State does not have a minimum salary level for professional employees. Therefore, employers that wish to treat such employees as exempt from overtime must pay the federal minimum salary level of $684 per week ($35,568 annually), unless an exemption from the minimum salary level otherwise applies.
These guidelines do not apply to New York City. Also, remember you are required to keep your posters up to date relating to the NY Minimum Wage; find the fact sheets and posters here.