On September 30, 2014, Mayor Bill de Blasio signed an executive order increasing New York City’s workers wages which takes effect immediately. The Order expands the New York City’s Fair Wages for New Yorkers Act, raising the Living Wage from $11.90 to $13.13 per hour – and likely to reach $15.22 per hour by the year 2019. The $13.13 per hour is the Living Wage without benefits or $11.50 per hour with benefits (up from $11.90 and $10.30, respectively).
This Order allows lowest-wage workers (workers earning the minimum wage of $8 per hour) to see a pay increase from $16,640 to $27,310 annually. Commercial tenants at projects that receive more than $1 million in New York City subsidies will now be covered by the Living Wage provisions as well. Thus, workers at retailers and fast-food chains at City-backed projects will now earn a living wage.
This Order is also intended to be the beginnings of a citywide minimum wage set at the same amount, allowing all hourly workers in the city to earn more than $15 per hour by 2019, according to the city’s projections.
Furthermore, the Order will eliminate an exemption for future development at Hudson Yards. However, some restrictions will still apply, such as businesses with gross income below $3 million or housing projects with more than 75% affordable units or manufacturers.
The Employment Lawyers at Fitapelli & Schaffer frequently represent employees who have been misclassified as exempt under the Fair Labor Standards Act, the New York Labor Law, and the New York City Human Rights Law. Please contact us at (212) 300-0375 to schedule a free consultation to further discuss your rights. For more information, please visit our website, www.fslawfirm.com.