NYS Exempt Minimum Salary Levels Will Continue to Rise in Business and at Work

It’s official: on Thursday, August 31, 2017, a Texas judge struck down the May 2016 U.S. Department of Labor rule raising the exempt minimum salary level nationally from $23,660 to $47,476.

While the federal exempt minimum salary level will remain at $23,660 annually (or $455 a week) for the foreseeable future, the NYS exempt minimum salary level has risen as of December 31, 2016, and will continue to rise in the State of New York until December 31, 2021 at different minimum salary levels depending on different geographic areas of New York state, as outlined in NYS DOL’s minimum wage order – the full schedule covering different regions of New York state can be found here starting on page 12 of the order. Where federal and state law have different minimum wage rates, the higher standard (in this case, NYS) applies; and NYS employers are required to comply. For example: in the greater Capital Region – Tech Valley – Albany, New York area, the exempt minimum salary level increase schedule is as follows:

Exempt Minimum Salary Level                                                    Effective Date

$727.50 per week ($37,830 annually – Current) Dec. 31, 2016
$780.00 per week ($40,560 annually) Dec. 31, 2017
$832.00 per week ($43,264 annually) Dec. 31, 2018
$885.00 per week ($46,020 annually) Dec. 31, 2019
$937.50 per week ($48,750 annually) Dec. 31, 2020

By December 31, 2020, the NYS exempt minimum salary level for this region will be higher than the proposed (and now void) Federal exempt minimum salary level.

NYS employers: how will you ensure compliance with NYS exempt minimum salary level requirements, in business and at work?