Democrats Vow To Keep Pressure On Lawmakers
New
York Gov. Andrew Cuomo (D) agreed to drop a proposed minimum wage increase from
the annual budget in order to gain key support from state legislators. The $142
billion budget measure faces an April 1 deadline. Currently, New York’s minimum
wage is $8.75 per hour and is set to increase to $9.00 per hour at year’s end.
State Democrats recently proposed increases that would set the statewide
minimum wage between $10.50 and $12.60. The same proposals called for New York
City’s minimum wage to rise to between $11.50 and $15.00.
What Happens Next:
The decision to pull the
minimum wage hike from a budget measure does not mean the issue is dead.
Leaders in New York City are already pushing Albany to reconsider the measure,
with Mayor Bill de Blasio (D) promising, “We’ll keep working hard on getting it
enacted in the remainder of the legislative session.” Mayor de Blasio
previously called for increases to the City’s minimum wage until it reaches $13
per hour. Some advocates of an increased minimum wage are calling for the
Governor to raise the rate through executive authority without legislative
approval. Such a move would echo a February order from Labor Commissioner Mario
Musolino that is scheduled to increase the minimum hourly wage for tipped
workers to $7.50.
What This Means For Small Business:
Increases
to the state and City minimum wages could force employers to cut staffing
levels to compensate for increased labor costs. An added increase in New York
City could encourage businesses to locate outside of the five boroughs. The
minimum wage in neighboring New Jersey is $8.38 per hour for most workers.
Additional Reading:
Other news outlets covering the
ongoing minimum wage debate include the New York Times, Capital New York, the International Business Times, and the New York Observer.
