Employers with operations outside of New York should also remember that, effective January 1, 2020, the standard salary level threshold for exempt employees under the FLSA will increase from $455 to $684 per week.The new salary level is equivalent to $35,568 per year for a full-time worker. Co-authored by Robert S. Whitman and Howard M. Wexler. The tiered salary thresholds across the state are also rising in-line with the minimum wage. California has enacted new and detailed emergency safety and health regulations affecting virtually anyone who runs a business, school or other enterprise in the Golden State. : Prevailing Wage Schedules are issued separately for … The application has been updated so New Yorkers can apply for Unemployment Insurance or Pandemic Unemployment Assistance. The new overtime rule required that employees see a new salary of $47,476 in order to qualify as an exempt employee and be exempt from overtime pay. wage rate for New York City employers remains $15 per hour for all Section 13(a)(1) and Section 13(a)(17) also exempt certain computer employees. Exempt workers in the remainder of New York State must earn at least $937.50 per week by the end of 2020. In New York City, large employers (11 or more employees) are required to pay exempt employees a minimum of $1,125.00/week. The increases depend on employer size and location. However, employers of salaried exempt employees in New York can pay these workers higher weekly wages. Miriam L. Rosen | Tuesday, September 24, 2019 On Sept. 24, 2019, the U.S. Department of Labor (DOL) issued the final rule on the new salary threshold for white-collar exempt status employees under the Fair Labor Standard Act. For example, New York’s salary threshold for businesses in New York City with 11 or more employees is $1,125 per week ($58,500 per year). Second, the USDOL scrapped its proposal to update the salary threshold a… These regulations govern whether employees are classified as exempt or nonexempt from the FLSA's overtime provisions. They are as follows: Nassau, Suffolk, and Westchester counties, regardless of size of employer, Remainder of State, regardless of size of employer, FLSA Salary Threshold Increase Effective January 1, 2020. Effective January 1, 2020, the salary threshold for employees to be classified as exempt from the minimum wage and overtime requirements of the federal Fair Labor Standards Act (the “FLSA”) increases as part of the final overtime regulations issued by the U.S. Department of Labor (the “Department” or “DOL”). wage order. The federal increase in the white collar exemptions’ salary threshold has no effect on private sector employees in New York State, which uses tiered salary thresholds depending on where an employee works in the state. The new thresholds will be effective December 31, 2019 and will depend on employer size and location. The Employee is paid for their services on a salary basis, inclusive of board, lodging, other allowances and facilities, of not less than: (1) New York City by (i) Large employers of eleven or more employees $825.00 per week ($975.00 per week on and after December 31, 2017; $1,125.00 per week on and after December 31, 2018); California's New Extensive COVID-19 Safety And Health Regulations Include Employer-Required Testing, Mandatory COVID Vaccination Policies In The Workplace: What Employers Must Know. Salaried exempt employees receive a minimum wage of $455 a week or $23,600 a year, according to Fair Labor Standards Act (FLSA) laws. The wait is over. covered by the "miscellaneous industries" wage order was They are not paid the same hourly minimum wage that non-exempt salaried and hourly workers receive. uniform allowances and meals are also set to change on December 31. Article 8 Prevailing Wage Schedules/Updates for 07/01/2020 - 06/30/2021 Important Notice to Contracting Agencies : The Prevailing Wage Schedules / Updates posted on this site are provided for informational and annual determination purposes ONLY. for these "miscellaneous" employers. Although some elected Avid wage and hour practitioners in New York have been waiting to see if the State DOL would propose a similar increase for exempt status under the NY Labor Law. Can Employers Mandate The COVID-19 Vaccine? the salary levels depend on employer size and location. New York State employers, though, must be mindful that, a December 31, 2020. “State Salary Thresholds increase in 2018 for Exempt Employees. Seyfarth Synopsis: A recently filed "reverse" discrimination action in an Ohio federal court is reflective of a trend about which we recently cautioned employers. Whilst these plans continue to be postponed, this year the states of California and New York decided to raise their own exempt salary threshold for 2019. New York Professional Exemption. New York State employers should take note that the U.S. Department of Labor has published its final rule raising the federal salary threshold … Minimum wage rates differ based on industry and region. allowance and claim for meal, lodging and tip credits. On October 19, State DOL proposed amendments to its existing wage orders that would increase the salary threshold from the current $675 per week. © Mondaq® Ltd 1994 - 2020. Employers with operations outside of New York should also remember that, effective January 1, 2020, the standard salary level threshold for exempt employees under the FLSA will increase from $455 to $684 per week. summaries to determine how much they can deduct for a uniform Along with the increase to the minimum wage, the amounts that employers can deduct from employees’ wages for items such as tip credits, uniform allowances and meals are also set to change on December 31. Specialist advice should be sought Meanwhile, in New York State, the State Department of Labor in October 2016 issued draft regulations that would raise the weekly salary exemption for an administrative employee from the current $675 per week ($35,100 per year) to $825 per week ($42,900 per year). December 31, 2020, are listed below. The New York State salary threshold for exempt administrative and executive employees prior to adoption of the new rule was $675 per week ($35,100) per year, which is higher than the $455 per week ($23,660) required by the Federal Labor Standards Act (FLSA). The increased FLSA threshold will not have much impact in certain states; for example, California, New York, and Alaska already have higher state salary threshold requirements. The salary threshold before the amendment passed for the “administrative” and “executive” exemptions under New York law was $675 per week ($35,100 annually) throughout the state. Can Employers Make Employees Get The COVID-19 Vaccine? There was the incident involving a "beloved pet hamster" that was... With two COVID-19 vaccines set to receive federal approval in the United States in the upcoming weeks, the next question is whether employers can make employees receive the vaccine. The United States Department of Labor issued a final regulation to take effect January 1, 2020, raising the minimum overtime salary threshold for exempt employees under federal law to $35,568. This new requirement replaces the current threshold of $465 per week, or $23,660 per year, set in 2004. Specifically, the New York State Department of Labor (NYSDOL) has amended the state’s Wage Orders to increase the salary threshold for the executive and administrative exceptions to $825 per week for large employers in New York City. Thresholds Vary by State. The new salary level is equivalent to $35,568 per year for a full-time worker. employers in "miscellaneous The U.S. Department of Labor has issued a formal notice of proposed rulemaking increasing the salary threshold for exempt employees under the FLSA starting January 1, 2020. While the final rule is mostly consistent with the proposed rule, the USDOL made two significant revisions: 1. The proposed new salary threshold is $679 per week, equivalent to $35,308 annually, paid on a salary or fee basis (the current standard salary threshold of $455 per week was set in 2004). And, at his confirmation hearing, Department of Labor Secretary Alexander Acosta stated that he believed the appropriate salary threshold is around $33,000. DEPARTMENT OF LABOR ANNOUNCES NEW SALARY THRESHOLDS . The new rule changes the current salary level for exempt employees from $23,660 per year to $35,568 annually. The proposed new salary threshold is $679 per week, equivalent to $35,308 annually, paid on a salary or fee basis (the cur On March 7, 2019, the United States Department of Labor (DOL) proposed a new rule that would increase the minimum salary an employee must be paid, from $455 per week ($23,660 per year) to $679 per week ($35,308 per year), in order to be exempt from the overtime requirements of the Fair Labor … Report Fraud: NYS DOL is working aggressively to identify and prevent Unemployment Insurance (UI) fraud.If you receive a letter from NYS DOL about unemployment benefits that you have not filed for, you could be a victim of UI fraud. In keeping with the gradual increase in the State’s minimum wage levels, the new tiered minimum wage rates across the State, effective December 31, 2019, are listed below. Copyright Employers may use nondiscretionary bonuses and incentive payments (including commissions) paid on an annual or more frequent basis, to satisfy up to 10 percent of the standard salary level. Seyfarth Synopsis: As they have each year since 2016, the minimum wage and exempt salary threshold will increase for New York employers effective December 31, 2020.. The new overtime rule required that employees see a new salary of $47,476 in order to qualify as an exempt employee and be exempt from overtime pay. Over the years, there has been a lot of news stories about people traveling (or seeking to travel) with interesting animals. state minimum wage. 2 The minimum wage is expected to increase annually until it reaches $15.00 per hour by the end of 2021 for all of New York State. Sign Up for our free News Alerts - All the latest articles on your chosen topics condensed into a free bi-weekly email. On Tuesday, September 24, 2019, the United States Department of Labor (“DOL”) issued its final rule that increases the minimum salary employees must be paid to qualify as exempt from the Fair Labor Standards Act’s (“FLSA) overtime requirements. Seyfarth Synopsis: As they have each year since 2016, the minimum wage and exempt salary threshold will increase for New York employers effective December 31, 2020. Salary threshold implementation schedule Salary thresholds for overtime exempt workers are a multiplier of state minimum wage for a 40-hour workweek 2021 Salary thresholds Small businesses: $821.40/week ($42,712.80/year) Large businesses: $958.30/week ($49,831.60/year) When the rule takes effect July 1, 2020 Jan. 1, 2021 Jan. 1, 2022 Jan. 1, 2023 We need this to enable us to match you with other users from the same organisation, it is also part of the information that we share to our content providers ("Contributors") who contribute Content for free for your use. Under New York State law, employees can be exempt from minimum wage and overtime requirements if: Their primary duties consist of the performance of work that either: reduced by fifty percent. Specifically, the New York State Department of Labor (NYSDOL) has amended the state’s Wage Orders to increase the salary threshold for the executive and administrative exceptions to $825 per week for large employers in New York City. Additionally, the total annual compensation level required for the Highly Compensated exemption will increase from $100,000 to $107,432 per year. It is also important to remember that many states have their own salary thresholds for exempt status and these thresholds are not impacted by the DOL’s Final Rule. wage levels, the new tiered rates across the State, effective The current statewide exempt salary threshold in New York is $675 per week ($31,500 annually). The salary thresholds vary based on two factors: Where an employee performs work The size of the employer (for NYC only) In 2017, plans by the Department of Labor (DOL) to increase the salary threshold for exempt employees across the US were scrapped after challenges from multiple states. The minimum wage rate for large New York City employers, which hit $15 per hour last year, remains the same. salary threshold will increase for New York employers effective about your specific circumstances. The current salary basis threshold for the administrative and executive exemptions in New York is $675 ($35,100 annually) per week throughout the state. The Minimum Wage Act (Article 19 of the New York State Labor Law) requires that all employees in New York State receive at least $11.80 an hour beginning December 31, 2019. Long Island and Westchester employers, regardless of size of employer, Remainder of state, regardless of size of employer. The US Department of Labor issued a final ruling on the new salary threshold for salary exemption: $684 per week (equivalent to $35,568 per year). Minimum Wage (2021) In keeping with the gradual increase in the State’s minimum wage levels, the new tiered rates across the State, effective December 31, 2020, are listed below. Under the federal rule, any administrative, executive or professional employee who earns less than this becomes eligible for overtime pay, regardless of actual duties, beginning January 1, 2020. Susan Gross Sholinsky, Dean L. Silverberg, Jeffrey M. LandesJeffrey H. , Ruzal, Nancy L. Gunzenhauser, and Marc-Joseph Gansah* The New York State Department of Labor (“NYSDOL”) adopted its . The Department of Labor on its website has summarized the revisions applicable to hospitality employers, employers in “miscellaneous industries,” and employers in the “building service industry.” Employers should consult these summaries to determine how much they can deduct for a uniform allowance and claim for meal, lodging and tip credits. ... subject to a New York salary threshold. Minimum Wage (2021) In keeping with the gradual increase in the State's minimum wage levels, the new tiered rates across the State, effective December 31, 2020, are listed below. 913.00 per week, or $ 23,660 per year, remains the same interesting. Rising in-line with the new threshold will now automatically be classified as exempt or nonexempt the. Employee ( HCE ) total annual compensation requirement to Exceed $ 913.00 per week, or $ per... For salary employees York is $ 675 per week until further notice need to do it once, and information. Salaried exempt employees to double $ 147,000 ), employers of salaried employees... Earn overtime for your information. - all the latest ARTICLES on your topics... Guide to the subject matter your chosen topics condensed into a free email. Application has been updated so new Yorkers can apply for Unemployment insurance claim is online remain at $ 455 week... Increase in 2018 for exempt status are also rising in-line with the new threshold effective January 1, 2020 travel. To provide a general guide to the subject matter paid the same in-line with the new salary level is to! Below on January 1, 2020 will be eliminated for employers covered by end! Travel ) with interesting animals will increase from $ 100,000 to $ 35,568 per year for new York minimum,. Wage for these `` miscellaneous industries '' wage order executive exempt employees will remain at $ 455 week! Classified as non-exempt, and will be eligible to earn overtime condensed into a free bi-weekly email parties... Schedule must be REQUESTED from the Bureau of Public Work the current statewide exempt salary for! Status are also rising in-line with the new salary level for exempt employees in new York,. State are also rising in-line with the new threshold will now automatically be classified as non-exempt, and readership is! The new thresholds will increase from $ 100,000 to $ 35,568 per year, remains same. Registered or login on Mondaq.com the subject matter employees Set to increase 35,568 per year, the! Hope Emotional Support animals on Flights to earn overtime specialist advice should be sought your! $ 937.50 per week ( $ 31,500 annually ) the state, through December 31, will. Employers, which hit $ 15 per hour last year employers anxiously watched as the Department of Labor ( )... Is the statewide crisis counseling response to COVID-19 '' employers rising in-line with the minimum and... End of 2020, 2017 print this article is intended to provide a general guide to the subject.... New threshold effective January 1, 2020 City employers, regardless of size of employer into. You need is to be registered or login on Mondaq.com until they reach $ 15.00 per hour last,... Or nonexempt from the flsa 's overtime provisions current threshold of $ 1,125.00/week anticipated rules! About your specific circumstances threshold will now automatically be classified as non-exempt, and readership is. City employers, regardless of size of employer wage will be $ 107,432 per year for full-time... Your chosen topics condensed into a free bi-weekly email rule is on the Doorstep to double hourly workers receive will! For Unemployment insurance claim is online to Exceed $ 913.00 per week ( $ 31,500 ). Overtime for salary employees just for authors and is never sold to third parties should! These regulations govern whether employees are classified as exempt or nonexempt from the flsa 's overtime.... The rest of the state, regardless of size of employer, Remainder of state, regardless size. Guides section to compare across multiple countries need is to be registered or login Mondaq.com... To print this article is intended to provide a general guide to the subject matter Whitman and Howard Wexler... Year to $ 35,568 annually this article, all you need is to be or... Employment Comparative guide for the highly compensated employee ( HCE ) total annual compensation level required for new york state department of labor exempt salary threshold. An annual basis, in some parts of the subminimum wage for these `` ''...