The minimum wage across New York is set for a boost, with a scheduled increase of 50 cents per hour in 2025. This change is confirmed by the state Labor Department and will come into effect on January 1.
In New York City, as well as in Westchester County and Long Island, the minimum wage will rise to $16.50 per hour. Meanwhile, for the rest of the state, including Upstate New York, the new wage will be set at $15.50 per hour. This adjustment reflects a significant change in the wage landscape of the state. For those in the New York City region, this wage increase represents a rise of approximately 3.1%. Elsewhere in the state, the increase will be around 3.3%.
New York wage adjustments due to inflation
For a full-time worker clocking in at 40 hours per week, this increase equates to an additional $20 weekly. Specifically, in Upstate New York, this adjustment will result in earnings of $620 per week for minimum wage earners.
New York’s minimum wage is on track for another rise, with a scheduled 50-cent increase set for 2026. Following this, the minimum wage will adjust according to a three-year moving average of the Consumer Price Index for Urban Wage Earners and Clerical Workers in the Northeast region.
Policy-Driven Changes and Economic Safeguards
The wage hikes slated for 2025 and 2026, along with the plan to link the wage to inflation, stem from policy changes previously enacted during the state budget process.
Importantly, the legislation contains provisions to freeze wage increases if New York’s economy shows signs of weakening, meaning these raises are not guaranteed.
Over the past ten years, New York’s minimum wage has seen a remarkable rise. A decade ago, it stood at just $7.25 per hour. With the upcoming increases, the wage will have surged by over 120% in Upstate New York.