| Update Applicable to: | Effective date |
| All employers and multi-state businesses with at least 1 worker in New York | January 1, 2024 – Salary Thresholds for the executive and administrative exemptions in New York City, Westchester, and Long Island March 13, 2024 – Certain Salary Thresholds for minimum wage and overtime exemption under Article 6 |
What happened?
On December 27, 2023, the New York Department of Labor (NYDOL) formally adopted the regulations increasing salary thresholds for minimum wage and overtime exemptions for executive or administrative employees under New York Labor.
What are the details?
On September 15, 2023, New York Governor Kathy Hochul signed legislation (S.B. 5572) that changes the salary threshold governing various exemptions under Article 6 of the New York Labor Law, raising the minimum salary from $900 to $1,300 per week and adjusting some definitions (190(7), 192(2) and 198-c(3)).
Shortly after, on October 4, 2023, the NYDOL published proposed regulations aiming to increase the salary threshold for minimum wage and overtime purposes. The professional exemption will continue to be subject to the federal professional exemption salary threshold of $684.00 per week ($35,568.00 per year).
On December 27, 2023, NYDOL issued a notice that the proposed regulations were adopted, and the final version of the rules can be found here.
Before these changes, the salary levels were $1,125/week ($58,500/year) in New York City and Nassau, Suffolk, and Westchester Counties, and $1,064.25/week ($55,341/year) elsewhere in the State.
From January 1, 2024, and forward, the Salary Thresholds for the executive and administrative exemptions in New York City, Westchester and Long Island will be as follows:
| Year | New York City, Westchester, and Long Island | The Rest of New York State |
| 2024 | $1,200.00/week ($62,400.00/year) | $1,124.20/week ($58,458.40/year) |
| 2025 | $1,237.50/week ($64,350.00/year) | $1,161.65/week ($60,405.80/year) |
| 2026 | $1,275.00/week ($66,300.00/year) | $1,199.10/week ($62,353.20/year) |
Business Considerations
- Determine if these salary requirements are met within your exempt workforce and adjust accordingly. Remember that salary threshold and certain duties must be met to qualify for the exemption.
- Review and update your pay policies and procedures to ensure compliance with the new regulations.
Resources:
- Salary Threshold Increase S.B. 5572
- New York State Register October 4, 2023.
- Notice of Pay Rate
- Notice of Adoption December 27, 2023.
Source References
- New York Adopts Increased Salary Thresholds for Minimum Wage and Overtime Exemptions (Seyfarth Shaw LLP.)
- New York Increases Salary Threshold for Certain Labor Law Exemptions (VensureHR)
- NY DOL Finalizes Changes to Tip Credit, Meal Credit, Uniform Maintenance Pay and Exempt Employee Salary Thresholds (Fox Rothschild LLP)
- Update: The NYSDOL’s Proposed Regulations Increasing the Exempt Salary Levels Have Been Adopted as Final Regulations (Bond, Schoeneck & King PLLC)
- New York Finalizes Increases in Minimum Wage, Minimum Salaries for Exemption in 2024 (Proskauer Rose LLP.)
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