New York's Minimum Wage to Rise January 1st

Starting January 1, 2026, New York's minimum wage will increase for the third consecutive year. Governor Kathy Hochul reminds residents that the minimum wage will rise to $16 across most of the date - and $17 per hour in New York City, Long Island, and Westchester County. This 50-cent per hour adjustment is part of a planned series of increases.

The increase follows a multiyear agreement between Governor Hochul and the New York State Legislature to adjust the minimum wage in line with inflation. Beginning in 2027, the minimum wage will be indexed annually to the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Northeast Region, ensuring that wages keep pace with the cost of living. An "off-ramp" provision allows for adjustments in the event of certain economic or budget conditions.

According to the New York State Department of Labor, the new rates apply to different regions and industries, with specific adjustments for tipped workers and other categories. Employers are required by law to post the updated minimum wage information prominently in workplaces.

Employers should prepare for these changes and ensure compliance to avoid penalties. The New York Department of Labor emphasizes that minimum wage theft is a crime and could lead to prosecution. This increase marks the end of three years of set annual increases, transitioning to inflation-based adjustments in the following years.