Albany, N.Y. (AP) — New York is moving ahead with a law that will raise the minimum wage statewide on New Year’s Eve.
Democratic Gov. Andrew Cuomo’s budget director says several studies show New York’s gradual increase in the minimum wage hasn’t directly caused a loss in jobs.
State law required the budget director to assess whether New York should keep raising the minimum wage or delay such an increase.
New York’s minimum wage was $7.25 in 2009, and the state later bumped it up to $9 in 2015.
The state has been raising its minimum wage at different rates in different regions since 2016, with lower increases outside New York City.
The minimum wage increased to $15 in New York City for all business with over 10 employees last year. The $15 wage will expand to small businesses in the city with 10 or fewer employees starting Dec. 31.
Meanwhile, the minimum wage will increase from $12 to $13 in Long Island and Westchester.
The rest of the Empire State, mainly Upstate New York, will see a small wage bump to $11.80 from $11.10 at the end of the month.
Cuomo’s administration is touting the state’s low unemployment rate and an increase in household income. Cuomo had said the minimum wage plan will raise the earnings over 2.1 million New Yorkers statewide.
But the minimum wage hike is also fueling rising Medicaid spending, and business groups worry about increased labor costs.