As the calendar flips to 2025, we embark on new beginnings, adhering to resolutions and updates to laws for New York employers. Following are some important reminders:
New York Minimum Wage
On January 1, 2025, the hourly minimum wage for employees in New York State increased by fifty cents. For New York City, Long Island and Westchester, the new minimum wage is $16.50 hourly; and for the rest of New York State, it’s $15.50 hourly.
The minimum cash wage and maximum tip credit also increased for (a) service employees and (b) food service workers, each who regularly receive tips. For New York City, Long Island and Westchester, tipped service employees must receive $13.75 hourly in cash wages (with a $2.75 hourly tip credit) and tipped food service workers must receive $11.00 hourly in cash wages (with a $5.50 hourly tip credit). For the rest of New York State, tipped service employees must receive $12.90 hourly in cash wages (with a $2.60 hourly tip credit); and tipped food service workers must receive $10.35 hourly in cash wages (with a $5.15 hourly tip credit).
New York Minimum Salary Threshold for Overtime Exemptions
Also on January 1, 2025, the minimum weekly salary threshold to support executive and administrative overtime exemptions in New York State increased to $1,237.50 weekly ($64,350 annually) for New York City, Long Island and Westchester, and to $1,161.65 weekly ($60,405.80 annually) for the rest of New York State. Note that these minimum salary thresholds are much higher than those required by the federal Fair Labor Standards Act (FLSA) for such exemptions ($684 weekly salary/$35,568 annual salary), which were unchanged after a scheduled increase for 2025 was struck down in November 2024.
New York Paid Prenatal Leave
New York State’s new Paid Prenatal Leave law became effective on January 1, 2025. Amending New York Labor Law §196-b, all private employers in New York must provide 20 hours of paid leave annually (available at the time of hire) to all full-time and part-time employees for prenatal health care services received by an employee during their pregnancy or related to such pregnancy, including physical examinations, medical procedures, monitoring and testing, and discussions with a health care provider related to the pregnancy. Leave under the NYSPPL is a stand-alone, separate benefit from other leave policies and laws, including the New York State Sick Leave and New York Paid Family Leave.
New York Retail Worker Safety Act
Effective on March 3, 2025, the Retail Worker Safety Act amends New York Labor Law by requiring employers of at least 10 employees in a New York State retail store (one that sells consumer commodities at retail and which is not primarily engaged in the sale of food for consumption on the premises) to develop, implement and provide to employees a workplace violence prevention policy and training upon hire and annually thereafter.
New York Clean Slate Act
Effective in November 2024, the New York Clean Slate Act amended the New York State Human Rights Law §296 to prohibit New York State employers from inquiring into, or taking adverse actions based on, sealed convictions and requires employers to provide additional notices to applicants and employees concerning criminal history information the employer receives – regardless of whether the employer is considering taking an adverse action on the basis of an applicant’s or employee’s criminal record.
Sunsetting New York COVID-19 Leave Law
On July 31, 2025, New York State’s COVID-19 isolation and quarantine leave requirements will expire. Under the current law, depending on the size of the employer, employees are eligible for up to 5 or 14 days of sick leave if they are subject to a mandatory or precautionary order of quarantine or isolation related to COVID-19. After the law expires, employees may still be eligible for paid leave or benefits for COVID-19 related absences under New York State Paid Sick Leave Law, New York State Paid Family Leave Law or New York City Earned Sick and Safe Time Law.
If you have any questions regarding these new laws, please contact your New York labor and employment counsel at Smith, Gambrell & Russell, LLP.