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New York Rings in the New Year with Increased Minimum Wage

Minimum wage rates are set to increase for employees across New York State on December 31, 2017.  These increases can impact businesses of all sizes.  They vary depending on the location of the business.  In addition to the minimum wage, don’t forget about the increases to the minimum salary threshold which applies to any employees who are exempt from overtime under the executive and administrative exemptions.

The minimum wage increases are as follows:

In the hospitality industry, an employer may claim a tip credit against the minimum wage provided the total of tips received plus the wages paid equal or exceed the applicable minimum wage in the chart above. The chart below applies only to food service workers (e.g. servers and bartenders).  Please contact us for tip credit rates for service employees in the hospitality industry and for tipped employees outside of the hospitality industry.

In addition to the minimum wage increase, the minimum salary for exempt employees covered by the executive and administrative exemptions increases based upon employer size and location.

Businesses should ensure they comply with these increases in the minimum wage and salary level.  Proactive employers can utilize the planned future increases to prepare future budgets and compensation plans.  If you have any questions please contact a Human Resources Director at PMP.

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