On Friday, March 29th, New York State passed the 2013-14 budget. The budget includes, among other things, a significant increase to the state’s minimum wage over the next two years. Pursuant to the budget, on December 31, 2013, the minimum wage will increase from $7.25 to $8.00/hour. On December 31, 2014, the minimum wage will increase from $8.00 to $8.75/hour. On December 31, 2015, the minimum wage will increase from $8.75 to $9.00/hour.
These increases will require New York employers to closely monitor their payroll practices to ensure that they properly comport with the new minimum wage requirements and that they properly calculate the overtime pay of their nonexempt employees. Additionally, an employee’s eligibility to receive an extra hours pay pursuant to the “spread of hours” rules will be impacted by the changes in minimum wage.
We will continue to monitor the progress of these changes and keep you apprised of any developments.