New York State Minimum Wage 3/2/2018. Overview. LeadingAge NY 2018 HR Summit NYC. Under Pressure: NYS Minimum Wage

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1 LeadingAge NY 2018 HR Summit NYC Under Pressure: Examining Five New Wage and Hour Mandates and the Impacts on Employers Presented by: Benjamin Wilkinson, Esq. Overview 1. New York Minimum Wage 2. Exemptions to Overtime 3. New York Paid Family Leave Hour Live-In Pay 5. New York Proposed Call-in Pay Regulations 2 NYS Minimum Wage New York State Minimum Wage The Minimum Wage Act (Article 19 of the New York State Labor Law) requires that all employees in New York State receive at least $10.40 per hour. Regulations known as 'Wage Orders' set certain requirements that are industry specific. The rates contained in these Wage Orders may differ from the general Minimum Wage rate. 3 1

2 NYS Minimum Wage 2018 and Beyond Effective Date Dec. 31, 2017 Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 New York State Minimum Wage $10.40 per hour $11.10 per hour $11.80 per hour $12.50 per hour NYS Minimum Wage 2018 and Beyond Effective Date New York City Minimum Wage (11 or more employees) Minimum Wage (10 or fewer employees) Dec. 31, 2017 $13 per hour $12 per hour Dec. 31, 2018 $15 per hour $13 per hour Dec. 31, 2019 $15 per hour $15 per hour NYS Minimum Wage 2018 and Beyond NYS Minimum Wage Nassau, Suffolk and Westchester Counties Effective Date Minimum Wage Dec. 31, 2017 $11 per hour Dec. 31, 2018 $12 per hour Dec. 31, 2019 $13 per hour Dec. 31, 2020 $14 per hour Dec. 31, 2021 $15 per hour Basic Minimum Hourly Wage Effective NYC 11 or more NYC 10 or less Nassau, Suffolk Rest of State Date & Westchester 12/31/18 $13.00 $12.00 $11.00 $ /31/19 $15.00 $13.50 $12.00 $ /31/20 $15.00 $15.00 $13.00 $ /31/21 $15.00 $15.00 $14.00 $12.50 $15.00 $15.00 $15.00 TBD 8 2

3 NYS Minimum Wage 2018 and Beyond Possible Suspension of Minimum Wage Increases On and after January 1, 2019 until such time as the minimum wage is fifteen dollars in all areas of the state, the Division of the Budget shall conduct an analysis of the state of the economy in each region, and the effect of the minimum wage increases listed in this section, to determine whether there should be a temporary suspension or delay in any scheduled increases. NYS Minimum Wage Enforcement One of the key consequences to the increase to minimum wage is that changes to wage must be reflected in new Wage Theft Prevention Act notices The Wage Theft Prevention Act (WTPA) took effect on April 9, Requires employers to give written notice of wage rates to each new hire. 10 NYS Minimum Wage Enforcement WTPA notice must include: Rate or rates of pay, including overtime rate of pay (if it applies) How the employee is paid: by the hour, shift, day, week, commission, etc. Regular payday Official name of the employer and any other names used for business (DBA) Address and phone number of the employer's main office or principal location Allowances taken as part of the minimum wage NYS Minimum Wage Enforcement Notice must be provided as a standalone form Notices may be given electronically but there must be an employee acknowledgement system Notices must be retained for 6 years Notice of Changes to compensation must be provided 7 days prior to such change. Note: This obligation can be satisfied if such change is indicated on the employee s subsequent wage statement. 12 3

4 NYS Minimum Wage Enforcement The notice must be given both in English and in the employee's primary language (if the Labor Department offers a translation). The Department currently offers translations in the following languages: Spanish, Chinese, Haitian Creole, Korean, Polish and Russian. Wage Theft Prevention Act Notice 14 WAGE PARITY LAW Generally, the law establishes a minimum wage for home care aides who perform Medicaid reimbursed work for CHHAs, LTHHCPs and MCOs within New York City and within the counties of Nassau, Suffolk and Westchester. Rates increase periodically. 15 WAGE PARITY LAW 2018 New York City Wages Large Employer Per hour Small Employer Per hour Base Wage $13.00 $12.00 Additional Wages $1.69 $1.69 Supplemental Wages $2.40 $2.40 Total Compensation $17.09 $16.09 Overtime Large Employer Per hour Small Employer Per hour FLSA (½ times regular rate) (if regular rate equals Base Wage) $19.50 $18.00 Total Compensation may be satisfied entirely through wages, or through a combination of wages and supplemental wages, with the following limitations: The Base Wage is the minimum amount of the Total Compensation that must be paid in cash wages directly to the home care aide as regular hourly wages for all hours worked. Additional Wages are the amount of the Total Compensation that employers may satisfy through additional payments directly to home care aides for hours not worked and for differentials and premiums other than overtime. Examples include paid leave (vacation, holiday, sick, and personal days) and differentials or premiums for certain shifts (nights, weekends, and holidays) or assignments (sleep-in or live-in work, care for multiple clients during same shift). Additional Wages do not include overtime compensation required under FLSA or State minimum wage orders or extra compensation creditable toward required overtime compensation for hours worked in excess of normal, regular, or maximum daily or weekly hours. The Additional Wage portion can also be satisfied by increasing the Base Wage or Supplemental Wages by corresponding amount. Supplemental Wages are the amount of Total Compensation that employers may satisfy indirectly, for example, by providing education, pension benefits, or health insurance required by federal law. The Supplemental Wage portion can also be satisfied by increasing the Base Wage by a corresponding amount. 16 4

5 WAGE PARITY LAW 2017 Nassau, Suffolk and Westchester Wages Per hour Base Wage $11.00 Supplemental Wages $3.22 Total Compensation $14.22 Overtime Per hour FLSA (1½ times regular rate) $ (if regular rate equals Base Wage) Overtime Exemptions Total Compensation may be satisfied entirely through wages, or through a combination of wages and supplemental wages, with the following limitations: The Base Wage is the minimum amount of the Total Compensation that must be paid in cash wages directly to the home care aide as regular hourly wages for all hours worked. Supplemental Wages are the amount of Total Compensation that employers may satisfy indirectly, for example, by providing education, pension benefits, or health insurance required by federal law. The Supplemental Compensation portion of Total Compensation can be satisfied by increasing the Base Wage rate by a corresponding amount Overtime Exemptions a. Fair Labor Standards Act Overtime Exemption b. NYS Overtime Exemption a. Fair Labor Standards Act Overtime Exemption

6 FLSA Background The Fair Labor Standards Act ( FLSA ) excludes certain executive, administrative, and professional employees from Federal minimum wage and overtime requirements which are commonly referred to as the EAP or white collar exemptions. Presently, to qualify for one of these exemptions, employees must: (1) Be salaried, meaning that they are paid a predetermined and fixed salary that is not subject to reduction because of variations in the quality or quantity of work performed; (2) Be paid more than a specified salary threshold, currently $455 per week or $23,660 annually; and (3) Primarily perform executive, administrative, or professional duties as provided in the DOL s regulations (the Duties Test ). FLSA Exemption Changes On May 18, 2016, the United States DOL issued a Final Rule revising the exemption regulations for overtime under the FLSA. Dramatically increased the minimum salary required to classify an employee as exempt from the FLSA overtime regulations. Final Rule also increases the minimum salary for the Highly Compensated Employee exemption (the HCE threshold ), and allows employers to begin using nondiscretionary bonuses and incentive payments to determine whether employees are exempt from overtime requirements. The Final Rule was initially set to take effect on December 1, Salary Level Highly Compensated Employee Salary Level Salary Basis / HCE Test Current Law $23,660 per year/ $455 per week $100,000 $134,004 Final Rule effective December 1, 2016 $47,476 per year/ $913 per week Federal Court Blocks Implementation of FLSA Overtime Exemption Changes Following the issuance of the Final Rule, several states filed suit against the United States DOL in the United States District Court of the Eastern District of Texas to challenge the validity of the Final Rule. On November 22, 2016, the District Court for the Eastern District of Texas granted the preliminary injunction and stayed the implementation of the Final Rule. Court held that the Department of Labor exceeded its delegated authority and ignored Congress s intent of the FLSA. Court ruled that the injunction applies nationwide meaning that New York employers will not have to comply with the changes to the Final Rule unless the injunction is lifted by the Court. 24 6

7 Federal Court Blocks Implementation of FLSA Overtime Exemption Changes On August 31, 2017, the Court ruled that the Final Rule was invalid. On October 30, 2017, the Department of Justice ( DOJ ), on behalf of the USDOL, appealed the Court s decision that the Final Rule is invalid. At the same time, the DOJ has indicated that it will file a motion with the Court to hold the appeal while the USDOL undertakes further rulemaking to determine its own EAP salary threshold. b. New York State Overtime Exemption Thus, it is unlikely that the changes to the FLSA that increased the EAP threshold to $913 per week will go into effect as originally drafted. No effect on New York s changes to its overtime exemption regulations NYS EAP Overtime Exemptions New York overtime exemption rules generally follow the FLSA. New York regulations exclude certain executive, administrative, and professional employees. One note: New York does not require any minimum weekly amount for the professional employee exemption. Prior to recent changes, in 2016, to qualify for one of these exemptions, employees had to be: (1) salaried; (2) be paid more than the EAP threshold, currently $675 per week or $35,100 annually; (3) work in an executive or administrative capacity in their employment. 27 NYS EAP Overtime Exemptions On December 28, 2016, NYSDOL finalized regulations that increased the income threshold required to exempt an employee from overtime Gradually increases the income threshold by location similar to minimum wage increase Were effective December 31,

8 NYS EAP Exemptions NYS EAP Exemptions New York State New York City Effective Date Dec. 31, 2016 Dec. 31, 2017 Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 Minimum Salary $ per week $ per week $ per week $ per week $ per week Effective Date Minimum Salary (11 or more employees) Minimum Salary (10 or fewer employees) Dec. 31, 2016 $ per week $ per week Dec. 31, 2017 $ per week $ per week Dec. 31, 2018 $ per week $ per week Dec. 31, 2019 $ per week $ per week NYS EAP Exemptions Nassau, Suffolk and Westchester Counties Effective Date Minimum Salary Dec. 31, 2016 $ per week Dec. 31, 2017 $ per week Dec. 31, 2018 $ per week Dec. 31, 2019 $ per week Dec. 31, 2020 $ per week Dec. 31, 2021 $ per week Federal EAP v. NYS EAP 2016 and Beyond Effective Minimum Salary Per Week Date FLSA NYC 11 or more NYC 10 or less Nassau, Suffolk and Westchester Current $ Rest of State Dec. 31, 2016 $913.00* $ $ $ $ Dec. 31, 2017 $913.00* $ $ $ $ Dec. 31, 2018 $913.00* $ $ $ $ Dec. 31, 2019 $913.00* $ $ $ $ Dec. 31, 2020 $913.00* $ $ $ $ Dec. 31, 2021 $913.00* $ $ $ $ * On hold pending Federal Court Appeal

9 New York Paid Family Leave Basics What is New York Paid Family Leave? New York Paid Family Leave 33 Passed in 2016 Executive budget Effective January 1, 2018 Law that allows employees to take a paid leave in order to allow the employee to care for a family member with a serious health condition and bond with a new child Requires employers to give the leave under certain circumstances Specifies how much the employee must be paid on the leave and how much leave they are entitled to Significantly different than leave under Family Medical Leave Act (FMLA) because NYPFL does not cover an individual employee s medical condition and FMLA only offers unpaid leave 34 New York Paid Family Leave Basics Provides for full job reinstatement Who Will Administer NYPFL? An employer may not discriminate or retaliate against employees for taking or inquiring about New York Paid Family Leave. All non-governmental employees covered by definition, subject to eligibility requirements Governmental employees subject to their employer s opt-in, via collective bargaining where applicable

10 New York Paid Family Leave Permissible Uses What can the employee use New York Paid Family Leave for? (1) caring for a newborn child in the first year of child s life or first year of adoption placement (2) caring for a family member with a serious health condition, or (3) relieving family pressures when a family member, including a spouse, domestic partner, child or parent, is called to active military service. **Unlike Federal FMLA, NYPFL does not allow employee to take paid leave for their own medical condition or circumstance** Definition of Serious Health Condition Any illness, injury, impairment, physical or mental condition involving: Inpatient care (hospital, hospice, or residential health care facility) Continuing treatment or supervision* by a health care provider, and requiring assistance to perform the activities of daily living A long-term or permanent period during which a family member is unable to work, attend school, perform regular daily activities A period during which a family member is unable to work, attend school, perform regular daily activities, or is otherwise incapacitated because he or she is receiving treatment *The healthcare provider must certify that the family member meets the definition of a serious health condition New York Paid Family Leave Eligibility Who is eligible for New York Paid Family Leave? In order to be eligible to receive paid leave benefits, employees are required to have worked for their employer for at least 6 months. Applies to both full-time and part-time employees Full-time employees (defined as those who work more than 20 hours per week) are eligible for leave benefits after 26 consecutive weeks of work for the employer Part-time employees (defined as those who work less than 20 hours per week) are eligible for leave benefits once they have worked 175 days in such employment. 39 New York Paid Family Leave Phase In How long can the employee utilize New York Paid Family Leave? For 2018, employees will be eligible for 8 weeks of paid leave. While on leave, they will receive 50% of their weekly pay. However, the pay they receive is capped at 50% of the statewide average weekly pay. This results in a max weekly benefit of $ Employers should note that NYPFL will be implemented gradually. The number of weeks of leave and amount of pay increases yearly until, by 2021, employees will be eligible for the full 12 weeks of paid leave, earning 67% of their weekly pay (capped at 67% of the statewide average weekly pay). Results in a max weekly benefit of $874.97*. *Calculated using the Average Weekly Wage of $1, for the year

11 New York Paid Family Leave Phase In- cont d Average Weekly Wage ( AWW ) is determined annually following a comprehensive analysis by the DOL. In March of 2017, the DOL computed the AWW for calendar year 2016 to be $1, per week. New York Paid Family Leave Phase In cont d January 1, weeks during any 52 week calendar period and shall be 50% of the employee's average weekly wage, but shall not exceed 50% of the state average weekly wage. Results in a maximum weekly benefit of $ January 1, weeks during any 52 week calendar period and shall be 55% of the employee's average weekly wage, but shall not exceed 55% of the state average weekly wage. Results in a maximum weekly benefit of $718.26* January 1, weeks during any 52 week calendar period and shall be 60% of the employee's average weekly wage, but shall not exceed 60% of the state average weekly wage. Results in a maximum weekly benefit of $783.55* January 1, weeks during any 52 week calendar period and shall be 67% of the employee's average weekly wage, but shall not exceed 67% of the New York state average weekly wage. Results in a maximum weekly benefit of $874.97* 41 *Calculated using the Average Weekly Wage of $1, for the year Year NYPFL Implementation of Benefits Weeks of Benefit % of Weekly Max Weekly Wage Benefit Benefit % $ % $718.26* % $783.55* % $874.97* *Calculated using the Average Weekly Wage of $1, released in March of 2017 for the year NYSDOL releases updated Average Weekly Wage in March of each successive year. In March of 2018, the Average Weekly Wage will be released for Thus, this number is subject to change based on the Average Weekly Wage of subsequent years. Health Insurance While on NYPFL Continuation of Health Coverage If provided by the employer, group health insurance benefits continue under NYPFL as long as the employee continues making premium payments. Changes to Group Health Benefits While on Leave An employee on NYPFL is entitled to any new group health plans benefits that become available while he/she is on leave. Suspension of Health Benefits While on Leave An employee may choose to waive group health coverage while on NYPFL, but is entitled to be reinstated to the plan upon return to work

12 New York Paid Family Leave Financing Who pays for the employee s New York Paid Family Leave? NYPFL is funded by deductions from employee pay. No employer is required to fund any portion of the family leave benefit. Those funds will then be used to pay premiums on paid family leave insurance. On May 31, 2017, the DFS released maximum employee contribution for coverage beginning January 1, 2018 shall be 0.126% of an employee s weekly wage up to and not to exceed the statewide AWW AWW for calendar year was $1, per week. Maximum weekly employee contribution is $1.65 ($1, x = $1.65). New York Paid Family Leave Financing cont d On July 1, 2017, employers were permitted to begin collecting the weekly employee contribution for paid family leave for coverage beginning on January 1, The employer must pay the premium for their entire group whether they withhold from employees or not. While NYPFL is considered employee-funded coverage, the employer can purchase the insurance coverage and elect not to charge their employees for contributions. Employers can t retroactively collect payroll deductions for NYPFL New York Paid Family Leave Insurance Coverage: Employer Obligations Covered employers must procure coverage for their employees Employee is responsible for the premium payment through payroll deduction New York Paid Family Leave Insurance Coverage: Coverage and Costs An employer has two options to maintain coverage: Obtain coverage from a private insurer or Seek approval to self-insure. Every insurance carrier that provides short-term disability benefits in NYS must also offer NYPFL coverage in those policies Employers who purchase NYS Disability Benefit insurance coverage from a private carrier of from the New York State Insurance Fund will have NYPFL coverage included as rider to their Disability Benefit policy

13 New York Paid Family Leave Next Steps Employers are required to update their employee handbooks to include written guidance on paid family leave. Must include all of the employee s rights and obligations under the regulations, including information on how to file a claim for paid family leave If an employer does not maintain an employee handbook, it is still required to provide written guidance to employees on the paid family leave benefits. Employers must also post a notice concerning paid family leave in plain view where employees and applicants can readily see the notice. NYPFL and Family & Medical Leave Act (FMLA) NY PFL is not part of the FMLA FMLA v. NYPFL NYPFL Claim Scenarios

14 NYPFL, FMLA & Paid Time Off (PTO) NYPFL covers employees who may not be protected under FMLA Employers may require employees to choose between using NYPFL benefits or PTO If the NYPFL absence is concurrent with FMLA, an employer may require an employee to use accrued and available PTO time. Employers that pay full salary during NYPFL may request reimbursement from their insurance carrier for advance benefit payments. Properly Compensating Live-in Employees Concerns for Live-In Caregivers Calculating total hours worked Sleep Periods Meal Periods Other Off-Duty Time Reasonable agreement Distinct time sheet and certification Minimum Wage Regulations New York State s minimum wage regulation provides that employers must pay the minimum wage for, among other things, time the employee is required to be available for work at a place prescribed by the employer. 12 NYCRR (b). However, a residential employee one who lives on the premises of the employer need not be paid during his or her normal sleeping hours solely because he is required to be on call or at any other time when he or she is free to leave the place of employment (the Residential Exception )

15 13-hour Rule NY Department of Labor March 11, 2010 Opinion Letter: [I]t is the opinion and policy of this Department that live-in employees must be paid not less than for thirteen hours per twenty-four hour period provided that they are afforded at least eight hours for sleep and actually receive five hours of uninterrupted sleep, and that they are afforded three hours for meals. 57 Tokhtaman v. HumanCare, LLC & Andryeyeva v. New York Health Care, Inc. Two separate cases that put the 13-hour rule in jeopardy Tokhtaman in the First Department (2017) Andryeyeva in the Second Department (2017) Both held that if a live-in aide can demonstrate that he or she was a nonresidential employee, he or she could recover unpaid wages for hours worked in excess of 13 hours a day. Courts decided 2010 NYSDOL opinion letter conflicted with NYSDOL own regulations. The regulations require that employees are paid minimum wage for each hour they are required to be available for work at a designated place. Held that If plaintiff can demonstrate that she is a nonresidential employee, she may recover unpaid wages for the hours worked in excess of 13 hours a day. 58 DOH Guidance In light of the Tokhtaman, DOH released the Informal Guidance advising home care providers of their ongoing staffing responsibilities. The Informal Guidance states, in pertinent part: Pending a final resolution of this matter by the courts, or until notice is otherwise given, DOH and the Department of Labor expect providers to continue staffing and covering live-in cases in accordance with current Managed Care contracts, Medicaid agreements, MLTC Policy 14.08, and all applicable labor requirements. Live-in cases should not be converted to 24-hour continuous split-shift care unless the individual meets the criteria for this higher level of care. Further, employees who do not maintain a separate residence, and live on the premises of the employer, would not be covered by the Tokhtaman decision, and therefore would qualify for the Residential Exception, and may be paid based on the 13 Hour Rule. October 2017 NYSDOL Emergency Regulations NYSDOL issued emergency regulations state stated that employers do not need to compensate 24-hour home care aides for sleep and meal periods FLSA similarly excludes these periods and the regulation tracks the FLSA language If excluded under the FLSA, then excluded under the State Minimum Wage Law

16 Challenge to emergency regulations Urban Justice Center in New York City challenged the October 2017 Emergency Regulations before the Industrial Board of Appeals Challenge denied based on jurisdictional grounds Did not consider the merit of the emergency regulations 61 January 2018 Emergency Regulations continued NYSDOL issued new 90-day emergency regulations to continue those from October 2017 Will be in effect until April 4, 2018 NYSDOL intends to proposed a permanent regulation in the near future 62 NYSDOL Call-In Pay Regulations Proposed on November 10, 2017 Proposed NYSDOL Call-In Pay Regulations Published on November 22, 2017 Open for 45-day comment period Comments due January 8, 2018 Comment period extended to January 22, 2018 Effective date TBD

17 Where Did This Come From? NY Attorney General Inquiry April 2015 Multi-State Attorney General (Including NY) Joint Inquiries April 2016 Public Hearings in NY September and October 2017 Draft Regulations Published November 2017 NYC Fast Food and Retail Laws Effective 11/26/17 65 Who Will Be Impacted? Private-sector for-profit and non-profit entities covered under the Miscellaneous Industries wage order Regulations reach a broad spectrum of employers including health care. Limited exceptions NYSLL Section 652(3)(b) Non-Profit Exception Very limited exception to Wage Orders that only applies to true charities. NYNPL Section 101. Not for pecuniary profit or financial gain. No part of assets, income, or profit of which is distributable to, or ensures to the benefit of, its members, directors or officers. Note: Employers with low paid workers, part time employees, on-call practices, or frequent call-outs requiring replacement will be particularly impacted. 66 Current NYS Call-In Pay Rule For non-exempt employees (hourly and salaried nonexempt) who report to work for any shift not scheduled. Entitled to call-in pay equal to the lesser of four hours of pay or pay for the number of hours in regularly-scheduled shift, at the state minimum wage rate. Proposed Changes Change to Call-In Pay Requirement: For non-exempt employees (hourly and salaried nonexempt) who report to work for any day. Employers otherwise free to schedule and, when necessary, cancel shifts without restriction or penalty. NYS and FLSA on-call rules. No compensation required where employee is free to use the time as he or she pleases. Entitled to call-in pay equal to four (4) hours of pay or pay for the number of hours in regularly-scheduled shift, at the Employee s regular rate of pay without allowances

18 Proposed Changes Four (4) Entirely New Call-In Pay Scenarios: 1. Unscheduled Shift 2. Cancelled Shift 3. On-Call Pay 4. Schedule Confirmation Pay Note: All four (4) new Call-In Pay scenarios subject to income exemption where the employee s weekly wage exceeds forty (40) times the applicable basic hourly minimum wage rate Unscheduled Shift If employee asked or permitted to report to work for shift not scheduled fourteen (14) days in advance, then must receive two (2) additional hours of call-in pay. Hours actually worked are paid at an Employee s regular rate of pay and hours not actually worked may be paid at the minimum wage. Note: Unscheduled Shift pay is calculated at applicable state minimum wage rate, not including allowances and is not included for overtime purposes. 70 Unscheduled Shift Exceptions Does not apply to new employees during their first two (2) weeks Regularly scheduled employees who volunteer to cover a: New and additional shift, during the first two (2) weeks; or A shift scheduled for another worker fourteen (14) days in advance at the request of the original employee or in response to an open request from the employer extended to all employees without penalty. 2. Cancelled Shift If employee s shift is cancelled within seventy-two (72) hours of start, then they must receive at least four (4) hours of call-in pay. Hours actually worked are paid at an Employee s regular rate of pay and hours not actually worked may be paid at the minimum wage. Note: Cancelled Shift pay is calculated at applicable state minimum wage rate, not including allowances and is not included for overtime purposes. Exception: any act of God or other cause not within the employer s control (i.e. employee request)

19 3. On-Call Pay If employee required to be available to report to work for any shift, then must receive at least four (4) hours of call in pay. Hours actually worked are paid at an Employee s regular rate of pay and hours not actually worked may be paid at the minimum wage. Note: On-Call Pay calculated at applicable state minimum wage rate, not including allowances and is not included for overtime purposes. 4. Schedule Confirmation Pay If employee required to be in contact within seventy-two (72) hours of start of shift to confirm whether to report, then they must receive at least four (4) hours of call-in pay. Hours actually worked are paid at an Employee s regular rate of pay and hours not actually worked may be paid at the minimum wage. Note: Schedule Confirmation Pay calculated at applicable state minimum wage rate, not including allowances and is not included for overtime purposes Weekly Wage Exemptions Additional Exemptions 2018 Weekly Wage Exemption ( WWE ) Thresholds: NYC with eleven (11) or more employees $13hr WWE= < $520 NYC ten (10) or fewer employees $12hr WWE = < $480 Nassau, Suffolk & Westchester Counties $10.40hr WWE = < $416 Remainder of NYS $10.40hr WWE = <$416 Note: Exemption is calculated on a week by week basis and cannot be averaged. Additional Exemptions/Exceptions: Employees who are exempt under the Wage Order. Employees covered by a labor contract that expressly provides for call-in pay. Employees covered by a separate Wage Order

20 What Should You Do Now? Know the new proposed requirements. Review potential impact on operations and scheduling Questions? Remember: Non-exempt employees must receive two (2) hours of additional call-in pay if their respective shift is not scheduled fourteen (14) days in advance. Monitor the proposed Regulations for any further developments CONTACT US 121 STATE STREET, ALBANY, NY LINKEDIN: P.C