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December 20th, 2013
Minimum Wage Increases and Reminders of Changes for the New Year for New York Employers
For those employers covered by New York's new Hospitality Wage Order, tip credit rules are also changing effective December 31, 2013.
Beginning December 31, 2013, New York State's minimum wage will increase in a series of three annual changes as follows:
- $8.00 on 12/31/13
- $8.75 on 12/31/14
- $9.00 on 12/31/15
In order to be classified as exempt from overtime, in addition to satisfying the duties requirement for exempt status, effective December 31, 2013, most exempt employees must also be paid at least $600 per week.
For those employers covered by New York's new Hospitality Wage Order, tip credit rules are also changing effective December 31, 2013. Food service workers must still receive at least $5 per hour, but effective December 31, 2013, the tip credit rises to $3 per hour provided that the total of tips received plus wages equals or exceeds $8 per hour. Service workers must still receive at least $5.65 hour, with the tip credit rising from $1.60 to $2.35 per hour. These changes results in an increase in the overtime rate for service and food service workers from $10.875 to $12 per hour.
New City Law Requiring Pregnancy Accommodation
New amendments to the New York City Human Rights Law go into effect January 30, 2014. These amendments require New York City employers of 4 or more employees to provide reasonable accommodations to "pregnant women and those who suffer medical conditions related to pregnancy and childbirth". Employers aren't required to provide accommodations that cause them "undue hardship" but have the burden of proving that such "undue hardship" exists. Within 120 after January 30, 2013 (i.e. by May 30, 3014), employers must provide notice to employees, both existing and new hires, about their right to be free from discrimination in relation to pregnancy, childbirth and related medical conditions. The New York City Commission on Human Rights will be providing sample notices.
If you have any questions about the minimum wage increases or other employment law matters, please contact Wendy Stryker at (212) 705 4838 or email@example.com; Gavin McElroy at (212) 826 5541 or firstname.lastname@example.org; or any other member of the Frankfurt Kurnit Executive Compensation & Employment Group.
Other Employment Law Alerts
Overtime Rule Hang-Up Requires Careful Communication About Pay Decisions
December 2 2016
Federal Court Blocks Overtime Rules and New York Proposes a New Overtime Rule
A federal court in Texas has halted nationwide preparations for the new FLSA overtime rule set to go into effect on December 1, 2016. That rule raised the salary basis required to maintain federal overtime exemptions from $455 per week to $913 per week, and included a mechanism for automatically updating the salary limits every three years.
November 28 2016
New York City Passes New Law Governing Freelance Workers
There's big news for employers with offices in New York City.
November 1 2016