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Next minimum wage bump to take effect Monday

Minimum wage increases across New York state will go into effect Monday, which includes a 70 cent increase from $10.40 to $11.10 for all New York state workers outside of New York City, Long Island and Westchester.

This wage increase for Chautauqua County workers and other New York residents is part of a $15 minimum wage phase-in for the state that was introduced in state legislation passed as part of the 2016-17 state budget.

At the end of 2019, statewide minimum wage will raise to $11.80 and to $12.50 at the end of 2020. The minimum wage increase will continue to be set on a fixed schedule by the director of the division of budget in consultation with the department of labor until a statewide $15 minimum wage is reached.

In conjunction with the wage increase, a Wage Theft Hotline at 1-888-4-NYSDOL was launched by Governor Andrew Cuomo’s office for workers to report employers not complying with the minimum wage increase.

“With the historic increase in the minimum wage, New York continues to set a national example in the fight for economic justice,” Cuomo said in a statement. “In New York, we believe in a fair day’s pay for a fair day’s work and are proud to be stepping up for hardworking families and making a real difference in the lives of New Yorkers.”

Chautauqua County Executive George Borrello offered a different take, and said the phase-in for a $15 minimum wage will hurt employers and potential employees in the long run He said the minimum wage increase will hurt low- and middle-income families since businesses may employ less people to make up for the wage increase and the high cost of worker’s compensation in New York.

“Ultimately, the market should set the rate,” Borrello said. “Every time the minimum wage goes up, teen unemployment also goes up.”

Borrello talked about manufacturing businesses that set wages above minimum wage because of labor shortages and said food service and other hospitality jobs should be set at smaller wages to cater to young people in entry-level jobs.

He said the rhetoric that many people have to survive on minimum wage jobs and raise families is not true and that the vast majority of people making minimum wage are seasonal or young employees.

“How do we do things with less people?” Borrello said businesses will be asking to remove positions in response to the wage increase.

As a co-owner of Sunset Bay Beach Club in Irving, which features a restaurant, with his wife who is the general manager, Borrello can see smaller restaurants using kiosks and terminals as replacements for some employees.

“It could definitely be a challenge for those folks,” Borrello said in respect to business owners in the hospitality industry.

He also said this will be tough on farmers who hire seasonal help. Borrello said a $15 minimum wage phase-in could encourage people not to tip servers and lead to customers spending more due to easier meal upgrades made through digital kiosks.

For big employers (consisting of 11 or more employees) in New York City, minimum wage will be $15 starting Monday. For small employers (consisting of 10 or fewer employees) in New York City, minimum wage will reach $13.50 starting Monday and $15 a year from now.

Minimum wage will be raised to $12 for Nassau, Suffolk and Westchester counties and will reach $15 at the end of 2021 in those areas. New York continues to provide a stark wage contrast to Pennsylvania, which complies with the federal minimum wage of $7.25 for most of the state.

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