Category: Wage & Hour

2025 New York Minimum Wage

2025 New York Minimum Wage

Do you know the 2025 New York minimum wage? Actually, there are different minimum wages for different parts of the state and different industries. Employers must be ready by the end of the year to meet the new requirements that apply to their employees.

The 2025 New York minimum wage rates are shaded in blue in the tables below. The changes take effect on January 1st.

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Standard New York Minimum Wage

The 2025 New York minimum wage varies by geographic location and sometimes by industry.

For most private employers, the 2025 New York minimum wage in the following chart applies. This chart also applies for non-teaching employees of public school districts or a BOCES. However, there is no New York minimum wage for other employees of public (governmental) employers (but the federal minimum wage of $7.25 does apply).

The chart also shows scheduled minimum wage increases for 2026.

General Minimum Wage Rate Schedule
Location202420252026
NYC, Long Island, & Westchester$16.00$16.50$17.00
Remainder of New York State$15.00$15.50$16.00

* After 2026, future New York minimum wage increases will occur based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Northeast Region. In other words, the minimum wage will be indexed to inflation.

Minimum Wage for Tipped Employees in the Hospitality Industry

New York State has separate minimum wage rules for employees in the hospitality industry. These rules apply to businesses running a restaurant or hotel.

The minimum wage rates for most non-tipped employees in the hospitality industry are set as per the schedule above. However, employers may count a portion of certain tipped employees’ gratuities toward the minimum wage requirements. This is known as a “tip credit.”

New York State has two separate cash wage and tip credit schedules for tipped hospitality employees who qualify as “food service workers” and “service employees.”

Food Service Workers

food service worker is any employee who is primarily engaged in serving food or beverages to guests, patrons, or customers in the hospitality industry who regularly receive tips. This includes wait staff, bartenders, captains, and busing personnel. It does not include delivery workers.

Hospitality Industry Tipped Minimum Wage Rate Schedule (Food Service Workers)
Location202420252026
NYC, Long Island, & Westchester$10.65 Cash
$5.35 Tip
$11.00 Cash
$5.50 Tip
$11.35 Cash
$5.65 Tip
Remainder of New York State$10.00 Cash
$5.00 Tip
$10.35 Cash
$5.15 Tip
$10.70 Cash
$5.30 Tip

Service Employees

The next schedule applies to other service employees. A service employee is one who is not a food service worker or fast food employee who customarily receives tips above an applicable tip threshold (which also follows schedules, not shown here).

Hospitality Industry Tipped Minimum Wage Rate Schedule (Service Employees)
Location202420252026
NYC, Long Island, & Westchester$13.35 Cash
$2.65 Tip
$13.75 Cash
$2.75 Tip
$14.15 Cash
$2.85 Tip
Remainder of New York State$12.50 Cash
$2.50 Tip
$12.90 Cash
$2.60 Tip
$13.30 Cash
$2.70 Tip

Overtime Threshold

Along with increases to the 2024 New York minimum wage, the salary requirement to maintain some overtime exemptions will also increase.

The salary threshold for New York’s executive and administrative exemptions go up on January 1st. These amounts are all higher than the federal Fair Labor Standards Act (FLSA) threshold, which is back down to $684/week after a federal judge enjoined the U.S. DOL’s rule that had initially increased it in July 2024. Most New York employers (other than governmental entities) must satisfy the higher New York threshold to ensure full overtime exemption.

There is no salary requirement for New York’s professional exemption. However, employers must also satisfy the FLSA threshold for most professional employees. Doctors, lawyers, and teachers do not have a salary requirement for exemption.

 

Executive & Administrative Exemption Weekly Salary Threshold Schedule
Location202420252026
NYC, Long Island, & Westchester$1,200.00$1,237.50$1,275.00
Remainder of New York State$1,124.20$1,161.65$1,199.10

Prepare Now for the 2025 New York Minimum Wage

New York employers should review their compensation levels and make necessary changes by January 1, 2025. Updates might result in increasing an employee’s hourly wage or salary or reclassifying exempt employees to non-exempt if they will no longer meet the exemption salary requirement.

And, remember, the 2025 New York minimum wage rates only last one year in some cases. Companies will have to review this again next year (or sooner).

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Secretary of Labor Nominee

Trump Surprises with Proposed Secretary of Labor Nominee

In a move few saw coming, President-elect Donald Trump announced Friday that his Secretary of Labor nominee is Republican Representative Lori Chavez-DeRemer of Oregon. Chavez-DeRemer is a politician with a track record of siding with both labor and business interests.

Chavez-DeRemer’s nomination has sparked significant attention due to her co-sponsorship of the Protecting the Right to Organize (PRO) Act—a bill that would dramatically expand labor rights and weaken right-to-work laws in nearly 30 states. Her cross-aisle appeal, exemplified by support from Teamsters President Sean O’Brien and prominent Democrats like Senator Patty Murray, stands in stark contrast to Trump’s historically pro-business labor agenda.

A Bipartisan (?) Pick with Union Support

Teamsters leader Sean O’Brien lauded the choice for Secretary of Labor nominee. He noted Trump’s outreach to his union last year and framed Chavez-DeRemer as a unifying figure for workers and businesses. “Now let’s grow wages and improve working conditions nationwide,” O’Brien said, signaling optimism about the nominee’s potential impact.

Chavez-DeRemer, a former mayor of Happy Valley, Oregon, and entrepreneur in the healthcare field, lost her reelection bid earlier this month but left Congress with a distinct reputation. As one of the few GOP members to align with progressive labor goals, her nomination has already garnered praise from unions, including the National Education Association and the American Federation of Teachers.

Reaction from Conservatives

The announcement has provoked backlash from influential conservative groups. Americans for Prosperity, a staunchly pro-business organization, criticized the nomination, arguing it betrays Trump’s previous labor policies and risks alienating his base.

“Trump’s record on labor policy was so strong, and he didn’t flip on a single labor issue yet still improved with union voters,” said AFP’s Akash Chougule. “He completely undid that and undermined his own agenda and movement by picking a teachers union hack for Labor. Senate GOP should reject this nomination.”

Chavez-DeRemer’s pro-labor stance—embodied in her support for legislation like the Public Service Freedom to Negotiate Act—has drawn ire from right-to-work advocates who view her as out of step with Republican orthodoxy.

Immediate Challenges for the Department of Labor

If confirmed, Chavez-DeRemer will face several pressing issues at the Department of Labor. Among the most urgent is the long-awaited update to the Fair Labor Standards Act (FLSA) salary exemption test. The Biden administration proposed increasing the salary threshold for exempt employees—potentially expanding overtime eligibility for millions of workers. A federal court recently struck down the rule, and the new administration will have to decide whether to appeal or walk away from the rule. Business groups have expressed concern over the financial burden of such changes, while labor advocates argue that the update is long overdue to ensure fair pay for workers.

Chavez-DeRemer will also have to address broader labor market challenges, including:

  • Modernizing worker classifications to reflect the evolving gig economy, a contentious issue that pits tech companies against labor advocates.
  • Reevaluating federal regulations on independent contractors and joint employers, key concerns for both unions and businesses.
  • Enforcing compliance with labor standards while balancing business concerns about regulatory overreach.

Her ability to navigate these challenges will define the department’s trajectory under the new administration and could influence how workers and businesses view Trump’s labor policies moving forward.

What This Means for Trump’s Labor Agenda

This nomination signals a potential shift in Trump’s labor policy approach. While his first term focused on deregulation and business-friendly initiatives under Labor Secretaries Alexander Acosta and Eugene Scalia, Chavez-DeRemer’s selection could open the door to more balanced policies aimed at addressing worker concerns.

Her ability to navigate confirmation in a polarized Senate remains uncertain. However, her potential bipartisan appeal, bolstered by endorsements from unions and some Democrats, positions her as a viable, albeit controversial, choice to lead the Department of Labor.

A Nominee with a Unique Profile

Chavez-DeRemer’s nomination follows a line of Trump labor secretaries with diverse backgrounds, but her record stands apart. A Latina entrepreneur and former mayor, she combines business experience with a legislative focus on worker rights—a combination that may redefine the Labor Department’s priorities under Trump’s second administration.

Whether this move represents a new chapter in Trump’s labor policy or a temporary departure from his traditional approach, one thing is certain: Lori Chavez-DeRemer’s nomination has set the stage for a heated confirmation battle and a possible recalibration of how the federal government balances labor and business interests.

Just One Part of the Equation

Even if Chavez-DeRemer is confirmed to head the U.S. DOL, the administration will be more business-friendly. Her views are not shared with other Republicans in Congress, making pro-union or worker amendments to federal law unlikely. Plus, the National Labor Relations Board has more direct control over much of the field of employer-union relations. Through other appointments, President Trump is still likely to effect significant rollbacks from pro-labor interpretations of the National Labor Relations Act that have stifled employers during the Biden administration.

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Employee Pregnancy

New York Expands Employee Pregnancy-Related Rights

New York continues to set trends in expanding employee rights. The state’s 2024-25 budget legislation includes two amendments that grant paid time off for certain employee pregnancy-related conditions. Employees may now take paid breaks to express breastmilk and paid leave for prenatal care. The details of these new entitlements are described below.

Employer Coverage

These new requirements are not limited to employers with a minimum number of employees. The paid break time for nursing mothers applies to all New York employers. However, along with the rest of the New York Paid Sick Leave Law, the paid prenatal personal leave provisions only apply to private (i.e., non-governmental) employers.

Paid Break Time for Breast Milk Expression

Section 206-c of the New York Labor Law previously required employers to provide reasonable unpaid break time for employees to express breast milk at work. The new amendment mandates that employers must provide 30 minutes of paid break time “each time such employee has reasonable need to express breast milk.” Employees may use any existing paid break or meal time for expressing breast milk if they need more than 30 minutes.

This expansion of employee rights is highly unusual in requiring paid break time. Existing break time requirements for meal periods only require unpaid time.

How Much Time?

The law does not further address how often an eligible employee may take the 30-minute paid break. There is no elaboration on when an employee should be considered to have “reasonable need to express breast milk.” The U.S. Department of Health & Human Services Office on Women’s Health indicates that “Women typically pump every 2 to 3 hours or around two to three times per 8-hour work period. Women who work 12-hour shifts may need to pump three to four times to maintain their milk production.” Accordingly, New York law arguably could give some employees two hours (or more) of paid break time each shift.

It is plausible that the Legislature only intended to require 30 minutes of paid break time per day. But that is not clear from the statutory language.

The only additional clarification is that eligibility extends for up to 3 years following childbirth. Presumably, this period would start over whenever the employee gives birth to a new child.

No Discrimination

Another open question is whether an employer may require a nursing mother to extend her work day to account for the break time. There is a risk that such a requirement would be considered discriminatory under existing anti-discrimination laws. Indeed, Labor Law Section 206-c itself provides, “No employer shall discriminate in any way against an employee who chooses to express breast milk in the work place.”

Effective Date

This amendment will take effect on June 19, 2024.

Paid Prenatal Personal Leave

The second major update comes to the New York Paid Sick Leave Law. In addition to existing sick leave obligations, the amendment introduces a separate requirement for “paid prenatal personal leave.” With this amendment, every non-governmental employer in New York will be required to provide an eligible employee with 20 hours of paid prenatal personal leave in any 52-week period.

Covered Leave

This leave is specifically designed for “health care services received by an employee during their pregnancy or related to their pregnancy, including physical examinations, medical procedures, monitoring, testing, and consultations with health care providers concerning the pregnancy.”

Based on the above-quoted language, it appears that only the pregnant employee is entitled to this form of leave. Non-pregnant parents-to-be are not covered.

Administrative Parameters

Employers must allow employees to take paid prenatal personal leave in hourly increments.

The law does not indicate that unused paid prenatal personal leave must carry over from year to year. It does clarify that employers are not obligated to pay out unused paid prenatal personal leave upon separation from employment.

Unlike traditional sick leave, which accrues based on hours worked by default, paid prenatal personal leave is available in full (up to 20 hours) when first needed.

Effective Date

This amendment will take effect on January 1, 2025.

Implications and Benefits for Employee Pregnancy

There are undoubtedly positive motivations behind these new laws designed to help accommodate work-related challenges pregnant employees and new mothers face. However, additional obligations to pay employees for time spent not working create new burdens for employers:

  • An employee using prenatal personal leave in hourly increments could take time off on up to 20 different days leading up to their pregnancy.
  • Nursing mothers may be entitled to 1-2 hours (and possibly more) of paid break time every day for up to three years following each birth.

It’s crucial to understand these changes thoroughly and prepare for their implementation. Employers will need to update policies, train human resources teams and supervisors, and take additional measures to ensure compliance.

 

Make sure you’re using NYS Department of Labor updated nursing mothers policy.

 

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