Employers should prepare themselves for the multitude of employment laws slated to become effective in 2025. Some are broadly applicable while others are relevant for only specific industries. We summarize some of the key changes and offer practical advice below.
1.- Minimum Wage and Salary Threshold Adjustments
To reflect the state’s continued focus on fair pay, minimum wages and salary thresholds are increasing in 2025. The changes vary based on location, with notable distinctions between New York City (and surrounding counties) and the rest of the state.
New York City, Suffolk, Nassau, and Westchester Counties
Minimum Wage: $16.50/hour
Tipped Hospitality Workers:
Service Employees: $13.75/hour
Food Service Workers: $11/hour
Home Care Aides: $19.10/hour
Exempt Employees:
Minimum Salary Threshold: $1,237.50/week ($64,350 annually)
Rest of the New York State
Minimum Wage: $15.50/hour
Tipped Hospitality Workers:
Service Employees: $12.90/hour
Food Service Workers: $10.35/hour
Home Care Aides: $18.10/hour
Exempt Employees:
Minimum Salary Threshold: $1,161.65/week ($60,405.80 annually)
How to Stay Ahead of Compliance
Review Payroll Practices: Ensure that your systems reflect the updated minimum wages and salary thresholds starting January 1, 2025.
Communicate Changes: Inform employees about the new wage rates and ensure tipped and exempt employees understand how these adjustments affect them.
Monitor Industry-Specific Rules: Pay special attention to wage requirements for roles like tipped workers and home care aides.
2.- Paid Prenatal Leave
A New Benefit for Expecting Employees Starting January 1, 2025, New York employees who are pregnant will be entitled to 20 hours of paid prenatal leave within any 52-week period. This leave can be used for healthcare services related to their pregnancy and taken in increments as small as one hour.
Action Steps for Employers
Update Your Employee Handbook: Add a section on paid prenatal leave to ensure compliance.
Train Your Managers: Educate leadership on this new entitlement to support expecting employees appropriately.
3.- End of COVID-19 Paid Sick Leave.
COVID-19 Paid Sick Leave expires on July 31, 2025. After July 31, 2025, employees will need to use existing paid leave, such as New York State’s Paid Sick Leave or New York City’s Earned Safe and Sick Time to manage care or isolate for COVID-19.
4.- New York Retail Worker Safety Act.
On September 5, 2024, Governor Kathy Hochul signed the New York Retail Worker Safety Act into law. Covered retail employers have until March 4, 2025 to ensure compliance with the law’s new requirements for the adoption of polices and training for workplace violence prevention. Specifically, the Act requires a workplace violence prevention policy that
(1) outlines a list of factors or situations in the workplace that might place retail employees at risk of workplace violence,
(2) outlines methods that the employer may use to prevent incidents of workplace violence,
(3) includes information concerning the federal and state statutory provisions concerning violence against retail workers and remedies available to victims of violence, and
(4) states that retaliation against individuals who complain of workplace violence, or who testify or assist in any is unlawful. The Act also requires a workplace violence prevention training program providing, among other things, information on the requirements under the law, active shooter drills and training on areas of previous security problems. Finally, effective January 1, 2027, covered retail employers with 500 or more retail employees nationwide must provide access to “panic” buttons throughout the workplace to summon immediate assistance from law enforcement.
5.- Upcoming Changes to the Meal Credit
The allowable "meal credit" for food service workers, service employees, and non-service employees will increase on January 1, 2025. It is important to note that employees covered by the Minimum Wage Order for Farm Workers will not experience a change in the meal credit.
Food Service Workers
This chart reflects the meal credit for food service workers, effective January 1, 2025:
New York City, Westchester, and Long Island | $3.95/meal(increased from $3.85/meal) |
Remainder of New York state | $3.95/meal(increased from $3.80/meal) |
Service Employees
This chart reflects the meal credit for service employees, effective January 1, 2025:
New York City, Westchester, and Long Island | $4.60/meal(increased from $4.45/meal) |
Remainder of New York state | $4.25/meal(increased from $4.10/meal) |
Non-Service Employees
A non-service employee is defined as any employee other than a service employee or a food service worker.
This chart reflects the meal credit for non-service employees, effective January 1, 2025:
New York City, Westchester, and Long Island | $5.65/meal(increased from $5.50/meal) |
Remainder of New York state | $5.35/meal(increased from $5.20/meal) |
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