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New York State Approves Changes to Minimum Wage and Paid Leave Act
New York State Approves Changes to Minimum Wage and Paid Leave Act
By: Richard D. Boyle
While many of us have been focused on the presidential election, on April 4, 2016 Governor Andrew Cuomo signed into law two pieces of legislation that employers, as well as employees, need to be aware of: (1) A statewide incremental increase in the minimum wage to $15.00 per hour; and (2) Mandated paid family leave (“Paid Leave Act”).
Minimum Wage Increase
New York State’s minimum hourly wage will increase annually over the next few years. The first increase shall commence on December 31, 2016 and shall encompass all industries (including agricultural related industries). The new rates and scheduled increases are geographically based (see link below).
Paid Leave Act
Commencing in January 2018, employees who have been employed for at least 26 consecutive weeks (or 175 consecutive days for part-time employees), will be eligible for paid family leave. Leave may be taken to provide care to family members, to care for new children during the first 12 months, or to assist with the family when a family member is called to active military service. In addition, employers are required to provide employees’ health insurance while on paid leave. Paid leave is funded by your fellow employees. In other words, every employee will have approximately $1.00 per week deducted from their paychecks to fund the Paid Leave Act.
Benefits will gradually increase between January 1, 2018 and January 1, 2021 (see link below).
To view the full schedule of minimum wage increases by geographic location and the benefits provided under the Paid Leave Act, please click here [Minimum Wage and Paid Leave Act].
