Zack Hutchins
Director of Communications

For Release — July 28, 2014

State wage board to review pay rates for tipped workers

ALBANY—Heather C. Briccetti, president and CEO of The Business Council of New York State, has been named to a three-member board that will hold public hearings this year and recommend any needed changes to pay regulations for food service workers and service employees dependent on tips for their income. Peter Ward, president of the New York Hotel Trade Council, and retired Broome County Executive Timothy Grippen will also serve on the board.

Gov. Andrew M. Cuomo has directed state Labor Commissioner Peter M. Rivera to convene the board as an additional step in New York's three-year phase-in of a $1.75 increase in the state's hourly minimum wage for all workers. The rate increased from $7.25 per hour to $8 per hour Dec. 31 and will rise again to $8.75 per hour at the end of this year. The New York minimum wage will top out at $9 per hour on Dec. 31, 2015.

Under legislation enacted in 2013, tipped workers are paid a required base rate. Their tips added to that base pay must equal or exceed the minimum wage.

“Business has changed since the last minimum wage increase,” Rivera said in a press release. “I will task these individuals with determining if the base pay for tipped food service workers should be amended and, if so, by how much.”

Rivera said a schedule of public hearings will be announced soon.