Act Now Advisory: New York's Salary Threshold For Exemption Will Increase On December 31, 2018

Effective December 31, 2018, New York State's salary basis threshold for exempt executive and administrative employees1 will increase again, as a part of amendments to the minimum wage orders put in place in 2016.2 Employers must increase the salaries of employees classified as exempt under the executive and administrative exemptions by the end of the year to maintain these exemptions.

The increases to New York's salary basis threshold for the executive and administrative exemptions will take effect as follows:

Employers in New York City

Large employers (11 or more employees) $1,125.00 per week ($58,500 annually) on and after 12/31/18 Small employers (10 or fewer employees) $1,012.50 per week ($52,650 annually) on and after 12/31/18 $1,125.00 per week ($58,500 annually) on and after 12/31/19 Employers in Nassau, Suffolk, and Westchester Counties

$900.00 per week ($46,800 annually) on and after 12/31/18 $975.00 per week ($50,700 annually) on and after 12/31/19 $1,050.00 per week ($54,600 annually) on and after 12/31/20 $1,125.00 per week ($58,500 annually) on and after 12/31/21 Employers Outside of New York City and Nassau, Suffolk, and Westchester Counties

$832.00 per week ($43,264 annually) on and after 12/31/18 $885.00 per week ($46,020 annually) on and after 12/31/19 $937.50 per week ($48,750 annually) on and after 12/31/20 What New York Employers Should Do Now

Review executive and administrative exempt positions in New York State with salaries below the stated thresholds to determine whether (a) the employee's salary...