New York State is preparing to increase the minimum wage at the start of 2024. NY is one of 30 states in the country that have base hourly wages higher than the federal wage of $7.25 per hour, a rate which has not increased since 2009.
Currently, the state minimum wage is $14.20, and starting Jan. 1, 2024, workers will receive a higher rate. Additionally, certain areas of New York will see increases which are bigger than the amount to be received in the rest of the state.
Beginning Jan. 1, 2024, the minimum wage in New York State will be $15, except in New York City (NYC) and Nassau, Suffolk and Westchester counties, where the wage base will be even higher next year.
In addition to this increase, automatic increases are expected beginning in January 2025 and early 2026. In May, Governor Kathy Hochul’s office reported that the minimum wage will increase by an additional $0.50 each year, so by 2025 it will rise to $15.50, and $16 per hour by 2026.
While most of the state will have a wage of $15 an hour next year, the minimum wage in New York City (NYC) and Nassau, Suffolk and Westchester counties will increase from $15 to $16 hourly starting January 1, 2024.
In order not to affect the purchasing power of New York workers, the increases will continue after 2026. Starting in 2027, the increase in the minimum wage will be calculated based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) of the Northeast region.
“Indexing the minimum wage to inflation will help maintain the purchasing power of workers’ wages year after year. And raising the minimum wage would overwhelmingly benefit low-income workers, particularly women and people of color, who make up a disproportionate share of minimum wage workers,” notes a statement from the office of the governor.
Source: AS
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