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Special Wage Issues in New York (NY)

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Federal law generally requires employers to pay employees who are not otherwise exempt at least the federal minimum wage for all hours worked, and overtime pay for hours worked over 40 in a workweek. Problems arise when employers fail to recognize and count certain hours worked as compensable time. Under federal law, “hours worked” may include time spent by the employee on-call or waiting for work to perform while on duty. Many states, however, have laws that grant employees expanded or additional rights above the federal requirements.

New York employers may be subject to the special wage rules below. However, additional requirements and exceptions may apply depending on the applicability of an industry-specific wage order.

Call-In PayWhen the employer directs the employee to stop working before the end of a regularly scheduled shift, the employer generally must pay the employee the applicable minimum wage rate for at least 4 hours or the number of hours in the regularly scheduled shift—whichever is less—as “call-in pay.”
Spread of Hours & Split ShiftsAn employer generally must pay an employee 1 hour of additional pay at the applicable minimum wage rate for any day in which:An employee works a spread of hours—the interval between the beginning and end of an employee’s workday—that exceeds 10 hours;An employee works a split shift, which is a schedule of daily hours in which the working hours required or permitted are not consecutive; orBoth situations occur.
Tip CreditsSome employers are eligible to count the tips employees receive as a credit against their minimum wage obligation. In order to take the tip credit, an employer generally must:Follow the requirements of any wage order applicable to its industry; andBe able to prove that the employee actually received the credited tips.

Additional requirements and exceptions to the information above may apply. For more information, please contact the New York Department of Labor at 888-469-7365.

Please Note: The state laws summaries featured on this site are for general informational purposes only. In addition to state law, certain municipalities may enact legislation that imposes different requirements. State and local laws change frequently and, as such, we cannot guarantee the accuracy or completeness of the information featured in the State Laws section. For more detailed information regarding state or local laws, please contact your state labor department or the appropriate local government agency.

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