By Hank Russell
Thursday not only means the start of a new year but a new pay rate for workers making the minimum wage.
Beginning on January 1, 2026, the minimum wage will increase to $17.00 per hour in New York City, Westchester, and Long Island, while the rest of the state will see an increase to $16.00 per hour. This adjustment of 50 cents per hour is part of a planned series of increases, which will then be indexed to inflation starting in 2027, says Governor Kathy Hochul.
“From the tip of Montauk to Niagara Falls, this increase reflects our promise to put money back in New Yorkers’ pockets and uplift our hard workers,” Hochul said. “By continuing these investments and indexing wages to inflation, we’re making sure New Yorkers can keep up with rising costs by taking home more money.”
New York State Department of Labor Commissioner Roberta Reardon said, “Increasing the minimum wage is yet another way Governor Kathy Hochul is making New York a more affordable place to live, work, and raise a family. With costs rising, this increase is crucial for workers looking to make ends meet.”
As part of New York’s historic agreement in 2023 between Hochul and the state Legislature, the minimum wage also increased by 50 cents per hour in 2024 and 2025. Starting in 2027, the minimum wage will increase annually at a rate determined by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Northeast Region — the most accurate regional measure of inflation.
Steven Mitchell Sack, a New York-based employment law attorney best known as “The Employee’s Lawyer,” says the increase comes at a critical time for working families grappling with stubbornly high housing, food, and utility costs.
“New York is one of the most expensive places in the country to live, especially downstate,” Sack said. “For many workers, this raise isn’t a luxury — it’s a lifeline. It can mean the difference between falling behind and staying afloat when it comes to rent, groceries, and basic household bills.”
While workers stand to benefit, Sack warns that employers who fail to prepare could face serious legal consequences.
“Employers need to be proactive right now,” he said. “Payroll systems, wage schedules, and compliance policies should already be under review. Ignorance is no excuse under New York labor law, and failing to adjust wages — whether intentionally or accidentally — can expose companies to penalties, back pay, and lawsuits.”
Employees can visit NYSDOL’s Minimum Wage webpage for more information, including an interactive Minimum Wage Lookup Tool to verify their correct pay rate.
“If your employer doesn’t raise your pay as required, don’t assume it’s a mistake that will fix itself,” Sack said. “Workers have rights, and those rights are enforceable. If your paycheck doesn’t reflect the new minimum wage, you should speak with an employment attorney right away.”