The New York State Department of Labor announced a forthcoming increase in the minimum wage across upstate New York.
On December 31, the minimum wage in our region will rise to $13.20 per hour, a 70-cent increase from the current rate.
As part of the 2016 state budget, the Legislature approved a gradual minimum wage increase through 2020. For 2021 and beyond, the Legislature outsourced this authority to the Department of Labor and Division of Budget, who are now authorized to raise the minimum annually, up to $15/hour. The enacting bill passed 61-1 in the Senate and 104-34 in the Assembly.
The Division of Budget prepares a report on economic conditions, which informs the new minimum wage rate. In the report, DOB recommends that our region’s “minimum wage rise annually by the sum of the annual growth rates for the Consumer Price Index for all Urban Wage Earners and Clerical Workers and labor productivity.”
Minimum wages around the state. Source: NYSDOL.
In the BNP’s annual Member Survey, taken last week, 45% of employers responded that they may be forced to raise wages to weather the current labor shortages. This demonstrates that employers are responding to market conditions and are raising wages accordingly, without government mandate.