BILL NUMBER: S4048
SPONSOR: RAMOS
 
TITLE OF BILL:
An act to amend the labor law, in relation to raising the minimum wage
annually by a percentage which is based on inflation and providing for
the enforcement of such minimum wage; and to repeal subdivision 6 of
section 652 of the labor law relating thereto
 
PURPOSE:
Ensures that the minimum wage keeps up with rising prices.
 
SUMMARY OF PROVISIONS:
Section 1: This act shall be known and cited as the Raise the Wage Act
Section 2: Legislative findings
Section 3: Amends the labor law Section 652 to include rates of minimum
wage from 2025-2028, and index to inflation after said date. After
2029, the Commissioner of Labor will publish a new, increased minimum
wage on or before October first of each year. The new wage will be the
current minimum wage increased by June. The June rate of inflation as
measured by the consumer price index for all urban consumers (CPI-U).
When inflation is positive, the new minimum wage takes effect on Decem-
ber 31st.
Section 4: Subdivision 6 of section 652 of the labor law is REPEALED.
Section 5. Established local wage enforcement authority for a city of
one million or more.
Section 6: Effective date.
 
JUSTIFICATION:
In New York State, roughly one million workers--16.4% of New York
State's workforce-eam the minimum wage. Beginning in 2012, the nation-
wide Fight for Fifteen movement publicized the inadequacy of the minimum
wage and in part led state lawmakers to gradually increase the minimum
wage in New York. New York City reached a $15 minimum wage in 2019, and
the rest of downstate to attain a $15 minimum wage in 2021. The upstate
minimum wage is currently $14.20. Current law would increase upstate's
minimum wage each year according to inflation and other indicators as
determined by the Commissioner until it reaches $15.
Historically yearly gains in inflation have decreased the value of the
minimum wage, chipping away at workers' purchasing power and leading to
hardship for many. Increases in minimum wage historically have not
occurred each year in New York State. Each year that inflation increases
and wages at the bottom do not, workers in the lowest-paying positions
struggle to pay bills, feed their families, and access transportation.
Across the state, minimum wage workers are disproportionately women and
people of color, groups that also face significant barriers to advance-
ment.
By joining eighteen other states that have tied the minimum wage to
inflation, minimum wage workers in New York State will maintain their
purchasing power without yearly legislative action.
 
LEGISLATIVE HISTORY:
2023-24: S1978A (Ramos) - Referred to Labor
2021-22: S 3062-D (Ramos) - Referred to Labor
 
FISCAL IMPACT:
To be determined
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S4048: 652 labor law, 652(6) labor law