Changes take effect 12/31/2022
As New York gets closer to a statewide $15.00 minimum wage there have been annual, incremental, increases for the past several years, and this December is no different.
The wage increases listed below take effect on December 31, 2022.
Minimum Wage -- Non-Exempt Employees
The minimum wage applies to most hourly workers.
|
Region |
Current |
As of 12/31/2022 |
|
NYC – Large Employers (of 11 or more) |
$15.00 |
$15.00 |
|
NYC – Small Employers (10 or less) |
$15.00 |
$15.00 |
|
Long Island & Westchester |
$15.00 |
$15.00 |
|
*Remainder of New York State |
$13.20 |
$14.20 |
* Future increases will be based on an indexed schedule to be set by the Director of the Division of the Budget in consultation with the Department of Labor following an annual review of the impact.
Exempt Administrative and Executive Minimum Salary Threshold
Employees who are considered exempt from overtime and normally paid a fixed salary must still receive a minimum weekly salary and meet a job duties test, as required under both the Fair Labor Standards Act (FLSA) and applicable state law. The salary level test under New York State regulations for the administrative and executive exemptions is higher than the federal salary test, so in order to claim this exemption, employers in New York must meet the higher level.
The weekly minimum salary threshold for exempt executive and administrative employees in New York, excluding any bonuses or other non-guaranteed wages, will increase as follows:
|
Region |
Current |
As of 12/31/2022 |
|
NYC – Large Employers (of 11 or more) |
$1,125.00 |
$1,125.00 |
|
NYC – Small Employers (10 or less) |
$1,125.00 |
$1,125.00 |
|
Long Island & Westchester |
$1,125.00 |
$1,125.00 |
|
Remainder of New York State |
$990.00 |
$1,064.25 |
Exempt Professional, Sales, and Computer-Related Minimum Salary Threshold
Employees who qualify for an exemption from overtime under the professional, sales, or computer related duties test are only subject to the federal threshold of $684 per week.
What should employers be doing now?
Review your current payroll records to ensure all employees meet either the minimum hourly wage or salary threshold requirements. Plan to increase the hourly rate for any non-exempt employee earning less than the established rate. For any employees currently earning a salary under the administrative or executive exemption thresholds, they will either need to receive an increase to at least the new minimum OR they need to be reclassified as non-exempt from overtime and paid an hourly rate plus overtime. These changes must be made with an effective date not later than December 31, 2022. An employee’s status as exempt or non-exempt should be a part of their written job description.
If you have questions, please contact us.