As part of a new budget deal, Governor Cuomo and the New York State legislature announced yesterday that the minimum wage will increase statewide. The total increase and the implementation time frame will vary in different regions of the State, with New York City seeing the largest and fastest increase.
The minimum wage in New York City will increase to $15 per hour by the end of 2018. The increase will be more gradual in the City’s suburbs, as Long Island and Westchester County will not see a $15 minimum wage until 2021. In areas north of Westchester, the minimum wage is not currently scheduled to reach $15; instead it will rise to $12.50 per hour by 2021. The State plans on conducting an economic analysis to determine the impact a higher minimum wage would have on upstate New York, before raising it any further.
Last year, New York City became one of the first municipalities to increase the wage floor to $15 per hour for fast food workers in response to protests of quick service employees nationwide. Outside of the fast food context, there has been a wave of other municipalities that have begun to raise their minimum wages to $15 per hour, including Seattle, San Francisco and Los Angeles.
In addition, California also passed a similar plan to increase its minimum wage, just hours before New York. California’s minimum wage is currently $10, but it will increase $1 annually until 2022. The plan also establishes a yearly increase starting in 2024 based on the rate of inflation.
We anticipate there will be further developments in statewide changes to the minimum wage.