Minimum Wage to Increase for Tipped Employees in New York Hospitality Industry
The Acting Commissioner of the New York State Department of Labor recently issued a Wage Order increasing the minimum wage rate for all tipped employees in the hospitality industry to $7.50 per hour, effective December 31, 2015.
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The Acting Commissioner of the New York State Department of Labor recently issued a Wage Order increasing the minimum wage rate for all tipped employees in the hospitality industry to $7.50 per hour, effective December 31, 2015. Thus, the Wage Order increases the tipped employee minimum wage rate as of December 31, 2015—by $2.50 for food service workers, $1.85 for most service employees, and $2.60 for service employees at resort hotels. Also, the Wage Order also provides that an additional $1/hour be added to the tip credit in New York City, if New York City passes minimum wage legislation mandating payment of a higher minimum wage than required by state law.
Hospitality employers should review their pay practices to confirm they are in compliance with these new requirements.