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NY DOL Finalizes Changes to the Tip Credit, Meal Credit, Uniform Maintenance Pay and Exempt Employee Salary Thresholds

December 27, 2023

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As explained in our previous alert, in October 2023, after Gov. Kathy Hochul signed into law increases to New York’s minimum wage, the New York State Department of Labor (NY DOL) issued proposed changes to the tip credit, meal credit, uniform maintenance pay and exempt employee salary thresholds.

On December 27, 2023, the NY DOL finalized these new rates, and, as such, employers only have a few days to institute these changes before the start of the new year. 

The new rates are summarized in our previous alert, which you can view here.

For non-exempt (i.e., hourly) employees, employers should prepare new rate of pay forms that accurately reflect the new minimum wage and any changes to the tip credit and/or meal credit, where applicable. Employers must also be aware of the changes to uniform maintenance pay and be ready to comply with those new rates where necessary. Employers should also work with their payroll providers to ensure that their pay stubs accurately reflect these changes.

For exempt (i.e., salaried) employees, employers should review these new salary requirements and ensure that those employees are being paid at least the new minimum weekly amount. However, as a reminder, the salary threshold is only one part in determining whether an employee is properly categorized as exempt from overtime requirements; these employees must also perform particular duties to also be exempt from overtime, depending on their position. Employers should thus take the time to review those duties performed by their exempt employees to ensure that they are appropriately categorized as being exempt from overtime requirements.

Fox Rothschild LLP is a Pennsylvania Limited Liability Partnership. The material contained in this document has been authored or gathered by Fox Rothschild for informational purposes only. This document is not intended to be and is not considered to be legal advice. Transmission of this document is not intended to create, and receipt does not establish, an attorney-client relationship. Legal advice of any nature should be sought from legal counsel.

For more information about this alert, please contact Carolyn D. Richmond at, Glenn S. Grindlinger at, Timothy A. Gumaer at, or any member of Fox Rothschild’s New York Labor and Employment Group.