New York Minimum Wage Laws

New York’s minimum wage laws are designed to protect workers by ensuring they receive fair compensation for their labor. These laws are more stringent than federal minimum wage regulations, reflecting the state’s commitment to addressing regional economic needs and preventing wage theft. Key aspects of New York’s minimum wage laws include:

• Regional Variations: Minimum wages vary across different regions within New York State. For instance, New York City, Long Island, and Westchester County have higher minimum wages compared to the rest of the state.
• Tipped Workers: Special provisions apply to tipped employees, including specific cash wage requirements and tip credits that must be met to ensure these workers earn the minimum wage.
• Enforcement: Employees can bring a private lawsuit against their employer to recover unpaid minimum wages. The New York State Department of Labor (NYSDOL) also enforces these laws, investigating complaints and recovering unpaid wages. Employers who violate these laws face penalties, including back wages, liquidated damages, and civil fines.

New York Minimum Wage Rates

As of January 1, 2025, the minimum wage rates in New York are as follows:

For tipped workers in New York, the minimum wage rates are:

• Tipped Service Employees:
  • New York City, Long Island, and Westchester: $13.75 cash wage + $2.75 tip credit
  • Remainder of New York State: $12.90 cash wage + $2.60 tip credit
• Tipped Food Service Workers:
  • New York City, Long Island, and Westchester: $11.00 cash wage + $5.50 tip credit
  • Remainder of New York State: $10.35 cash wage + $5.15 tip credit.

Deductions and Expenses

In New York, employers can deduct certain expenses from an employee’s wages under specific conditions:

• Legal Deductions: These include deductions required by law, such as taxes and Social Security contributions.
• Pre-Authorized Deductions: Employees must provide written consent for other deductions, such as health insurance premiums, pension contributions, or charitable donations. These deductions must be for the employee’s benefit and must be clearly documented.
• Recovery of Overpayments: Employers can deduct amounts to recover overpaid wages or advances, but this must be done in accordance with legal guidelines.
• Business Expenses Deductions Prohibited: Employers are not permitted to deduct from an employee’s wages for business-related expenses, especially if such deductions bring the employee’s wages below the applicable minimum wage.

How Much Can I Recover?

If an employer fails to pay the minimum wage or overtime, employees can recover significant amounts:

• Back Pay: Employees are entitled to the full amount of unpaid wages.
• Liquidated Damages: Employees can recover an additional amount equal to 100% of the unpaid wages as liquidated damages for minimum wage violations, overtime, or other wage laws.
• Interest: Interest is charged on unpaid wages at a statutory rate of 9% per annum, until they are fully paid.
• Legal Fees: In court cases, employees may also recover attorney’s fees and court costs.

To recover unpaid wages, employees can pursue legal action through the courts or file a claim with the NYSDOL. Proceeding through the NYSDOL involves submitting detailed records and may take several months or years to resolve. To make the most informed decision, you should contact experienced employment attorneys who can evaluate the conditions of your minimum wage claim. The attorneys at Pelton Graham LLC have years of experience pursuing claims on behalf of employees who are owed wages due to failure to pay minimum wage and misclassification.