New York and California have new laws that raise the minimum wage in their states to $15 per hour.
The New York law increases the minimum wage based on the location of the employer. In New York City, employers must pay their workers a minimum of $15/ hour by the end of 2018. Employers with 10 or fewer employees have an extra year until 2019 to make the increase.
In the Long Island suburbs of New York City, employers have until 2022 to increase wages, and in upstate New York, the wage increase caps at $12.50/hour.
Employers with 11 or more employees must pay a minimum of $11 by the end of 2016, and then raise the wage another $2 for the next two years. Smaller employers must raise the wage to $10.50 by the end of the year and $1.50 for the next three years.
California employers have until 2022 to increase the minimum wage to $15.00/hour. Employers with 25 or fewer employees have an extra year until 2023 to make the change. The California law implements an annual additional increase in the minimum wage to the lesser of 3.5% or the percentage change in the Consumer Price Index. The governor has the right to suspend increases based on economic conditions.
Unlike the NY law, the California law applies throughout the state. Annual increases are required starting January 1, 2017 ($10.50/hour) through 2022.