Governor Kathy Hochul partnered with the Legislature to give relief to businesses by paying off the nearly $7 billion Federal Unemployment Insurance Trust Fund Loan — a historic move that strengthens the state’s economy and supports long-term growth. Businesses will see these real benefits: - No more annual Interest Assessment Surcharge bills
- Unemployment insurance contribution rates will go down in 2026
- No additional federal tax liability related to the loan
Paying off the loan prevents spikes in per-employee contributions for businesses, leading to significant savings. Businesses will also see savings come from no longer being burdened with having to pay federal surcharges tied to the loan. Employers will save an average of $100 per employee in 2026 and $250 per employee in 2027.
By cutting costs associated with the Unemployment Insurance Trust Fund loan, Governor Hochul is giving employers the breathing room to invest in their workers and businesses. Additionally, the taxable wage base will rise in 2026 to better align with increases to the average annual wage. This change will help rebuild the Unemployment Insurance Trust Fund reserves over time and keep future tax rates stable and affordable. This measure will ensure that the small businesses that drive New York’s economy continue to thrive even in uncertain times. |
| Effective January 1, 2026, New York State’s minimum wage will increase to $17.00 an hour in New York City, Westchester, and Long Island, and $16.00 an hour for the rest of the state. This is part of the state’s historic multi-year plan to raise the minimum wage through 2027, when it will be indexed to inflation. This increase makes New York State's minimum wage one of the highest in the nation, helping New Yorkers across the state support their families and keep pace with rising costs. NYSDOL enforces Minimum Wage Law and helps collect underpayments for workers. Often, we collect the funds without resorting to court action. However, an employer that violates the Minimum Wage Law is subject to criminal prosecution and penalties. Action may also be taken in civil court. The Commissioner of Labor may require an employer to pay minimum wage underpayments and liquidated damages PLUS interest and civil penalties up to 200 percent of the unpaid wages. NYSDOL offers free consultation services to answer your questions about changes to the minimum wage. We are ready to help you with any concerns you have about staying in compliance with New York State labor laws. For more information, please visit our Minimum Wage webpage. |
The New York City Office of Child Support Services is holding its next Employer Conference on Tuesday, December 9, from 9:00 a.m. to 1:00 p.m. Now entirely virtual, the conference can also earn payroll professionals three Recertification Credit Hours (RCH) credits through PayrollOrg. If you have questions about the complex rules and regulations governing wage withholding or want to learn more about employers’ legal obligations regarding child support, register today at: https://bit.ly/december2025. E-mail any questions to: OCSSinfo@dfa.state.ny.us. | Mark your calendars: Small Business Saturday is November 29. Every holiday season, NYSDOL encourages all New Yorkers to take part in Small Business Saturday to support the small and local businesses that are the cornerstones of their communities and key drivers of the state’s economy. NYSDOL offers free services for businesses of all sizes to grow and succeed. We can help you recruit your workforce, find hiring incentives and tax credits, and provide guidance with our free consultation services. Be sure to contact your local Business Service Representative to see which programs might be a fit for your small business. |
With winter approaching, NYSDOL reminds employers to take the appropriate precautions to keep outdoor workers safe during periods of extreme cold. Follow these best practices during the cold winter months: - Limit outdoor work and allow frequent breaks in warm areas
- Provide water and encourage regular hydration — dehydration can occur in cold environments and increase the risk of hypothermia
- Discourage caffeine and encourage workers to drink warm water and/or electrolyte drinks
- Provide a written acclimatization plan
- Offer training for extreme cold preparedness and emergency response
- Recommend workers wear multiple layers of clothing, hats, insulated gloves, thick socks, insulated footwear, and a hat, hood, or hard hat liner
- Ensure workers and managers know how to recognize the symptoms of cold-related illnesses like hypothermia and frostbite
Please visit our Extreme Weather Guidance page for more resources to help protect workers in outdoor occupations. NYSDOL’s top priority is to keep all workers safe. |
|
