Minimum Wage Increases January 1st
The state’s minimum wage will increase at the start of the new year as part of a long term plan to increase the minimum wage. Under this plan the minimum wage is raised over the next three years – up to $17.00 downstate and $16.00 upstate – after which the minimum wage will be “indexed” to the cost of living. A formula specified in the law ties the minimum wage to the cost of living. As the cost of living increases, so will the minimum wage. The objective is to have wages keep up with costs.
The New York State Department of Labor has published proposed changes to the wage and hour rules & regulations to implement the first three statutory steps – the specific increases provided in the law. They’ve also published the proposed cash wages for foodservice and service workers, required uniform maintenance payments, and meal credits. You can start planning for 2024 to include these new provisions:
New minimum wage rates:
Downstate* Upstate**
January 1, 2024 $16.00 $15.00
January 1, 2025 $16.50 $15.50
January 1, 2026 $17.00 $16.00
Foodservice workers minimum wage rates:
Downstate* Upstate**
January 1, 2024 $10.65 $10.00
January 1, 2025 $11.00 $10.35
January 1, 2026 $11.35 $10.70
Service workers minimum wage rates:
Downstate* Upstate**
January 1, 2024 $13.35 $12.50
January 1, 2025 $13.75 $12.90
January 1, 2026 $14.15 $13.30
* Downstate includes New York City & Nassau, Suffolk, and Westchester Counties
**Upstate includes the remainder of New York State
Similar proportional increases in required uniform maintenance payments and meal credits are also included as part of this proposal:
Uniforms – An employer that does not maintain required uniforms for their employees is required to provide uniform maintenance pay based on the number of hours worked. Employees who work over 30 hours per week shall be paid the high rate, employees who work more than 20 hours but fewer than 30 hours shall be paid the medium rate and employees who work 20 hours or fewer shall be paid the low rate listed below:
*Downstate…
January 1, 2024 $19.90 High, $15.75 Medium, $9.50 Low
January 1, 2025 $20.50 High, $16.25 Medium, $9.80 Low
January 1, 2026 $21.10 High, $16.75 Medium, $10.10 Low
**Upstate…
January 1, 2024 $18.65 High, $14.80 Medium, $8.95 Low
January 1, 2025 $19.25 High, $15.30 Medium, $9.25 Low
January 1, 2026 $19.85 High, $15.80 Medium, $9.55 Low
* Downstate includes New York City & Nassau, Suffolk, and Westchester Counties
**Upstate includes the remainder of New York State
Meals – Meals furnished by an employer to an employee may be considered part of the wages and employers may take a credit at no more than the per meal amounts listed below at the food service rate for food service workers, the service rate for service employees, and the other rate for non-service employees:
*Downstate…
January 1, 2024 $3.85 Food Service, $4.45 Service, $5.50 Other per meal
January 1, 2025 $3.95 Food Service, $4.60 Service, $5.65 Other per meal
January 1, 2026 $4.05 Food Service, $4.75 Service, $5.80 Other per meal
**Upstate…
January 1, 2024 $3.80 Food Service, $4.10 Service, $5.20 Other per meal
January 1, 2025 $3.95 Food Service, $4.25 Service, $5.35 Other per meal
January 1, 2026 $4.10 Food Service, $4.40 Service, $5.50 Other per meal
* Downstate includes New York City & Nassau, Suffolk, and Westchester Counties
**Upstate includes the remainder of New York State
You will need to post a new minimum wage poster with the updated wage information on or before January 1st. You can download copies of the new minimum wage notice and find more information on the Department of Labor’s website.