Frequently Asked Questions About the Minimum Wage in the 2016-17 State Budget
April 1, 2016
Q: Does the Budget implement a $15/hr minimum wage Upstate?
A: The 2016-17 Budget calls for a multi-faceted increase to the state minimum wage based on geographic area. Under the Enacted Budget, the state minimum wage will increase to $15/hr for most employers in New York City by 2019, to $15/hr on Long Island and in Westchester County by 2021, and to $12.50/hr Upstate by 2021.
Q: If the economy falters, could the scheduled minimum wage increases be suspended?
A: Yes. The budget requires an economic impact analysis to be conducted by region in 2019 and annually thereafter to determine if a suspension of the scheduled increases is necessary.
Q: What happens to the Upstate minimum wage after 2021?
A: The 2016-17 Budget calls for the Upstate minimum wage to increase no more than $12.50 by 2021. As described above, the budget includes a "saftey valve" that could free the scheduled increases starting in 2019 and beyond, dependent on economic conditions, which could hold the minimum wage below $12.50. If the minimum wage does reach $12.50/hr by 2021, it would thereafter be indexed to inflation and cost of living factors.
Q: Who is responsible for determining the index for the Upstate minimum wage after 2021?
A: The Department of Budget in consultation with the Department of Labor.
Q: If the Budget authorizes the Department of Budget to determine the index after 2021, will Governor Cuomo ultimately control further increases to the minimum wage Upstate?
A: Governor Cuomo's current term expires December 31, 2018.
Q: Does the minimum wage provision in the 2016-17 Budget mirror Governor Cuomo's initial porposal?
A: No. In his 2016-17 Executive Budget proposal, Governor Cuomo called for the minimum wage to increase to $15/hr state-wide by 2021. Under the Enacted Budget, the minimum wage will reach a maximum of $12.50 for all areas Upstate by 2021.
Q: How is Upstate defined in the minimum wage provision of the 2016-17 Budget?
A: As it pertains to the minimum wage provision, Upstate is defined as all areas excepting the five boroughs of New York City, the entirety of Long Island, and Westchester County.
