THE NEW YEAR KICKS OFF TO A GREAT START IN NEW YORK STATE IN EMPLOYMENT LAW NEWS
Great kick off start for New York in the New Year as it becomes the first state in the country to provide paid prenatal leave
Effective January 1, 2025, the New York State Paid Safe and Sick Leave law was enhanced to add the requirement that employers provide employees with up to 20 hours of paid prenatal personal leave. The definition of “Paid Prenatal Personal Leave” is “leave taken for the health care services received by an employee during their pregnancy, . . .including physical examinations, medical procedures, monitoring and testing, and discussions with a health care provider related to the pregnancy.” https://www.nysenate.gov/legislation/laws/LAB/196-B The leave may be taken in hourly increments paid at the employee’s regular pay rate. All employers within the state of New York, regardless of the size of the business or number of employees, must provide this leave. Employers are also required to reinstate employees to their original position or an equivalent one upon their return from prenatal personal leave.
Other good news in New York State is an increase in the Paid Family Leave weekly benefits
Effective January 1, 2025, the New York State Paid Family Leave was enhanced to further benefit employees. The NYS average weekly wage increased to $1,757.19 which increased the maximum weekly benefit (67% of the NYS average weekly wage) to $1,177.32. This is $26.16 more than the maximum weekly benefit for 2024. Second, the rate of the employee contribution for such benefits decreased from .455% to .373% of the employee’s gross wages, with the maximum amount of deductions at $333.25. The maximum amount of job protected leave remains at 12 weeks. Employees can get an estimate of their benefits using the following Paid Family Leave Benefits Calculator: https://paidfamilyleave.ny.gov/2025.
Also, more individuals will qualify for overtime pay given an increase in the salary threshold
Under Section 142-2.14 of the New York Codes, Rules and Regulations (NYCRR), employees who work in an “[e]xecutive” or “administrative” capacity and who are paid a “salary” not less than the thresholds set by state regulations may be exempt from the state’s overtime pay requirements.
Effective January 1, 2025, the salary threshold for employees considered “executive” or “administrative” in New York State will increase, and individuals earning below this new threshold will be eligible for overtime pay. The salary threshold for the executive and administrative exemptions will increase to $1,237.50 per week, or $64,350 per year, in Downstate NY, and $1,161.65 per week, or $60,405.80 per year, in the remainder of the state.
Moreover, there is an increase to workers’ compensation
Effective January 1, 2025, the minimum weekly benefit for workers’ compensation will increase. On that date, workers’ compensation weekly benefits will increase to $325 per week. This is an increase from $275 in 2024. https://www.nysenate.gov/legislation/bills/2023/S1161/amendment/A
Pursuant to Workers Compensation Law §151, the chair of the Workers Compensation Board establishes an assessment rate for all affected employers on a yearly basis. For 2025, this rate is 7.1%, down from 9.2% in 2024. Overall, this is a 43% decrease since 2019 when the rate was 12.6%.
Additionally, there is an increase to the minimum wage
Additionally, effective January 1, 2025, New York’s minimum wage will increase to $16.50-per-hour in New York City, Westchester, and Long Island, and $15.50-per-hour for the rest of the state.
Jacqueline C. Gerrald, Esq. is Co-Chair, Employment Law Practice https://www.mclaughlinstern.com/attorneys/jacqueline-c-gerrald/
(Law Clerk, Jeremy A. Gottlieb, contributed to this article)
This article and any related content posted by McLaughlin & Stern, LLP is provided for informational purposes only. It is not intended to constitute legal advice nor does it create an attorney-client relationship between the firm and the reader or recipient.
