HR Alert

New York: Minimum Weekly Salary for Overtime-Exempt Administrative and Executive Employees Will Increase

Increases Begin December 31, 2016

The minimum weekly salary required for administrative and executive employees to be exempt from the payment of overtime in New York will increase beginning on December 31, 2016.

Background
Under New York law, employees are generally entitled to overtime pay equal to 1 ½ times their regular rates of pay for work in excess of 40 hours per week, except for employees who are specifically exempt by law, including (but not limited to) those working in an administrative or executive capacity. To be exempt from the payment of overtime, such administrative or executive employees must (among other things) be paid a certain minimum weekly salary amount.

Minimum Salary Increases
Each time the New York minimum wage increases, the state's minimum salary required for administrative and executive employees to be exempt from overtime increases proportionately. As the New York minimum wage rates are scheduled to increase beginning on December 31, 2016, the state minimum weekly salary for administrative and executive employees to be exempt from overtime will increase beginning on December 31, 2016 (with subsequent yearly increases).

Click here to view the increased salary thresholds. FAQs regarding the increased minimum wage rates and salary thresholds are available by clicking here (scroll down for FAQs).


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