NYS TO RAISE MINIMUM WAGE SIGNIFICANTLY OVER NEXT SEVERAL YEARS

If you’re a business owner and have employees, you need to know that the New York State Legislature has recently passed a new law that will greatly impact you and your business over the next 5 years.  Specifically, in the next three to five years (depending on where your business is located within New York State), minimum wage for all New York employees will be raised from the current $9 per hour to $15 per hour, a raise of over 50%.

The increase in the minimum wage will affect all New York State employers, but will affect New York City employers sooner.  Pursuant to the new law, New York City employers will be required to pay their employees a minimum of $11.00 per hour by the end of 2016.  This minimum wage requirement will be increased an additional $1.50 per hour per year until the $15.00 amount is reached on December 31, 2018.

Businesses located in Nassau, Suffolk and Westchester Counties will also see steady increases in the minimum wage rate.  Specifically, minimum wage will increase to $10 per hour at the end of 2016, and $1 per hour per year thereafter until the $15 per hour minimum wage amount is reached in December 2021.  The remainder of New York State employers will also be required to increase minimum wage, but at a more gradual rate.

Where your business is located, where your employee resides and where your employee performs their services are factors in determining which minimum wage rate will apply.

Although the legislature has provided employers with what they believe is adequate time to adjust their payroll, this increase in minimum wage is likely to greatly impact all business owners, but small and mid-sized businesses will likely be most directly affected.

If you have any questions regarding the new law and how it may impact your business, feel free to call us at 631-777-2401.

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