New York City Mayor Bill de Blasio has announced a $15 minimum wage for all City government employees and employees who provide contracted work for the City at social service organizations—meaning that by the end of 2018, approximately 50,000 additional employees will see their wages boosted to $15 an hour.
Under current contracts, wages are already ahead of the minimum wage increase that has been proposed in Albany. However, most contracts expire in 2017 or 2018. Mayor de Blasio’s announcement today guarantees that all employees will make $15 an hour by the end of 2018, regardless of whether their contract expires beforehand. The City will immediately work with municipal unions and social service providers to sign letters of understanding that guarantee the increased wages.
Over 20,000 direct city employees and approximately 30,000 purchase of service employees will benefit from increased wages.
For direct city employees, the minimum wage increases are scheduled as follows: Dec. 31, 2015, $11.79 per hour; Dec. 31, 2016, $12.14 per hour; Dec. 31, 2017, $13.50 per hour; and Dec. 31, 2018, $15.00 per hour. Employees who will benefit from the increases include school crossing guards, City seasonal aides, job training participants, and other titles, largely represented by DC37. The cost of implementing this proposal for direct city employees would be $36 million over the Financial Plan (through fiscal year 2020).
For purchase of service employees, the wage increases will be as follows: Dec. 31, 2015, $11.50 per hour; Dec. 31, 2016, $12.00 per hour; Dec. 31, 2017, $13.50 per hour; Dec. 31, 2018, $15.00 per hour. Employees covered by these increases include teacher aides, custodial aides, family and infant care workers, and other titles. These employees already saw their wages boosted to $11.50 under the Mayor’s Fiscal Year 2016 adopted budget. The cost of implementing this proposal for purchase of service employees would be $202 million over the Financial Plan (through Fiscal Year 2020). (City of New York, Office of the Mayor, News Release, January 6, 2016.)
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