New York State’s Minimum Wage Orders Updated

Effective December 31, 2013, the New York State Department of Labor amended its Wage Orders to incorporate the increased minimum wage, now $8.00 an hour. While many of the substantive provisions of the Wage Orders were unaffected, the amendments impact more than just the minimum wage rate. Below is an overview of the other changes.

Changes in the Hospitality and Miscellaneous Wage Orders: Tip credit rates and the amount of permissible allowances against the minimum wage for tips were modified as was the amount of required uniform laundering and maintenance pay and the amount employers may take as a credit or allowance against the minimum wage for meals and lodging. Additionally, the weekly salary required to satisfy the executive or administrative exemptions from overtime pay increased from $543.75 to $600.00, and is set to increase again on December 31st to $656.25 and to $675.00 on December 31, 2015.* In addition, in the Hospitality Wage Order, the definition of service employee changed. Summaries of the Rates and Credits for the Hospitality and Miscellaneous Industries are here and here.

Changes in the Building Services Wage Order: Unit rates for janitors in residential buildings were changed as were the allowances towards the minimum wage for utilities, the amount of required uniform laundering and maintenance pay and the weekly pay amounts which exempt janitors from the unit rate requirements. Similarly, the weekly salary required to satisfy the executive or administrative exemptions increased from $543.75 to $600.00, and is set to increase again on December 31st to $656.25 and to $675.00 on December 31, 2015.* For a summary of Rates and Credits for the Building Services Industry, click here.

Changes in the Nonprofitmaking Institution Which Certifies It Will Pay the Statutory Minimum Wage to Each Employee in Lieu of Being Covered Under a Minimum Wage Order: The title of the Wage Order changed as did the weekly salary required to satisfy the executive or administrative exemptions, which increased from $543.75 to $600.00, and is set to increase again on December 31st to $656.25 and to $675.00 on December 31, 2015.*

Changes in the Farm Worker Wage Order: The reduced minimum wage rate previously available for youths under 18 years of age was eliminated.

The updated Wage Orders are available on the DOL's website here, here, here, here and here.

Employers covered by the affected Wage Orders should review the revised regulations carefully to ensure their pay practices remain compliant with applicable law.

*Note: this is higher than the amount required for exemption under the Federal Fair Labor Standards Act, which is currently $455.00 per week.