New York Minimum Wage: Current Rate & Scheduled Increases

The federal minimum wage, established under the Fair Labor Standards Act (FLSA), 29 U.S.C. § 206, is $7.25 per hour. This rate has not increased since 2009. The FLSA applies to employers engaged in interstate commerce with at least two employees. Under federal law, employees are entitled to overtime compensation at 1.5 times the applicable minimum wage for hours worked over 40 per week, pursuant to 29 U.S.C. § 207. The FLSA also includes exemptions for certain professional, administrative, and executive employees, though these exemptions are narrowly construed.

The U.S. Department of Labor Wage and Hour Division (WHD) enforces the FLSA and investigates complaints of minimum wage violations. Employees can file complaints with the WHD or bring private lawsuits for unpaid wages. Remedies under the FLSA include back wages, liquidated damages equal to unpaid wages, and reasonable attorney's fees and costs. There is no cap on damages. The statute of limitations is two years for ordinary violations and three years for willful violations.

New York's minimum wage law, codified in Labor Law Article 19, Section 652, provides significantly stronger protections than the federal FLSA. The state minimum wage of $15.00 per hour far exceeds the federal floor of $7.25. New York applies this rate to all employers regardless of size, whereas the FLSA only covers employers engaged in interstate commerce with two or more employees. This means that very small employers with only one employee in New York must still pay the state minimum wage.

New York's minimum wage is not static. Under Section 652(5), the state Department of Labor adjusts the minimum wage annually on January 1st based on the average inflation rate. This automatic adjustment mechanism ensures the minimum wage keeps pace with the cost of living. The adjustment applies to the general minimum wage category, domestic workers, and agricultural workers, each with its own schedule.

Domestic workers receive enhanced protections under the Domestic Workers Bill of Rights, Labor Law Section 203-d. As of 2024, domestic workers in New York City earn a minimum of $18.00 per hour, while domestic workers in other areas earn $15.00 per hour. Domestic workers are also entitled to paid time off, paid sick leave, and overtime after 40 hours per week. Agricultural workers have a separate minimum wage schedule under Agricultural and Markets Law Section 60-a, currently $15.00 per hour statewide as of 2024.

New York Labor Law Section 656 requires overtime compensation at the rate of 1.5 times the employee's regular rate of pay for all hours worked over 40 hours in any week. This is identical to the FLSA requirement, though New York's base calculation uses a higher minimum wage. New York does not recognize the FLSA's exempt categories (executive, administrative, professional) with the same breadth; New York salary thresholds for exemptions are substantially higher than federal thresholds.

Remedies under New York law are robust. Under Labor Law Section 198, employees who are not paid the required minimum wage can recover unpaid wages plus an equal amount as liquidated damages (doubling the recovery), plus reasonable attorney's fees and costs. There is no cap on these damages. An employee can bring a civil action or file a complaint with the New York Department of Labor, which has enforcement authority.

New York's minimum wage law contains limited exceptions, reflecting a state policy strongly protective of workers. Exemptions from minimum wage requirements under New York Labor Law are narrowly construed and include: (1) Certain executive, administrative, and professional employees, but only if they meet New York's salary threshold, which is set at $58,240 annually (as of 2024) or higher depending on the category. This is substantially higher than the FLSA threshold of approximately $35,568. (2) Outside salespersons who are primarily engaged in sales activities away from the employer's place of business. (3) Commissioned salespersons in certain retail or service establishments, provided their regular hourly rate exceeds the minimum wage and they earn 75% or more of compensation through commissions.

Employers cannot use tips to satisfy the minimum wage requirement in New York, unlike federal law which allows a tip credit up to $5.15 per hour. In New York, employees must be paid the full minimum wage by the employer, and tips are additional. This is a significant distinction from federal law.

Under New York Labor Law Section 651(2)(c), certain employees whose productivity cannot be readily ascertained—such as pieceworkers—must be paid at least the minimum wage. Employers must ensure that even when paying by piece rate, the total compensation for hours worked meets or exceeds the minimum wage for all hours worked.

Fresh produce industry workers are covered by the minimum wage requirement unless they work on a farm and are members of the employer's family. However, once off the farm and in processing or packing operations, they are covered.

Regardless of contractual agreements between employer and employee, or collective bargaining agreements, New York minimum wage cannot be waived. Employees cannot agree to work for less than the minimum wage, and such an agreement is void. This prevents evasion through employee consent.

Step 1 — Document the violation carefully. Keep records of all pay stubs, time cards, emails from your employer, and a personal log or spreadsheet showing the dates worked, hours worked each day, what you were paid, and what you should have been paid under New York minimum wage law. Include screenshots of emails or text messages discussing pay. Note the dates and amounts of any underpayment. Save all original documentation in a secure location, such as cloud storage or a personal email account, separate from work devices. This documentation is critical because it becomes evidence of the employer's violation.

Step 2 — Consider raising the issue internally first, though this is not required by law. Send a written email to your manager, HR department, or the owner stating clearly that you have been paid below the New York minimum wage of $15.00 per hour (or $18.00 if you are a domestic worker in NYC) for specific dates, and request immediate payment of the difference plus any owed penalties. Keep a copy of this email. Internal complaint processes are not mandatory in New York, but they can sometimes resolve the issue quickly and may strengthen your position if you later file a formal complaint. Do not expect the employer to willingly admit liability; the goal is to create a written record.

Step 3 — File a wage complaint with the New York Department of Labor (NYDOL) Wage and Hour Bureau. You can file online at www.labor.ny.gov/complaints or by mail or in person at the nearest regional office. The complaint should include: (a) your name, address, and contact information; (b) your employer's name, address, and contact information; (c) the dates of employment and dates when underpayment occurred; (d) the hours you worked and the pay you received; (e) a description of your duties; and (f) attachments of pay stubs, emails, or other evidence. There is no filing fee, and no statute of limitations is specified in the statute, though the general rule for wage claims is that you can recover back wages from the period covered by your documentation. The NYDOL will acknowledge your complaint and assign an investigator.

Alternatively or additionally, you may file a civil lawsuit in New York Supreme Court or District Court for recovery of unpaid minimum wages under Labor Law Section 198. For this route, consult an employment attorney. Private civil actions do not require prior NYDOL investigation, and you can recover unpaid wages plus equal liquidated damages plus attorney's fees. The statute of limitations is typically six years for breach of contract claims. Filing with NYDOL and pursuing a private lawsuit are not mutually exclusive; you can do both.

Step 4 — Understand the investigation process. The NYDOL investigator will contact your employer to request payroll records, time sheets, and an explanation of the compensation structure. The investigator may interview you and your employer. This process typically takes 30 to 60 days, though it can be longer if the employer fails to cooperate or if the case is complex. You will likely be asked to provide additional documentation or clarify details. The investigator will determine whether a violation occurred and, if so, calculate the amount of unpaid wages owed.

Step 5 — Decide whether to consult an employment attorney. While you can file a complaint with the NYDOL without an attorney, consulting an employment lawyer early strengthens your position, especially if the NYDOL investigation is delayed or if you want to pursue a private civil lawsuit. An attorney can advise you on the strength of your claim, potential damages, and whether to file with NYDOL, pursue litigation, or both. Many employment attorneys in New York work on contingency for wage claims, meaning you pay no upfront fees and the attorney is paid from your recovery. Look for an attorney licensed in New York with experience in wage and hour law.