Reports indicate that the New York State legislature and Governor Cuomo have tentatively reached agreement regarding the terms of the anticipated proposed increase in the state’s minimum wage. As portrayed in news coverage, the latest proposal would increase the minimum wage to $8/hour in 2014, $8.75/hour in 2015 and $9/hour by by 2016, but not tie further future increases to the cost of living, an approach adopted by other states. The New York minimum wage has remained at the federal level of $7.25 since the last federal increase in July 2009, and some NY state legislators have termed this proposed increase overdue. Watch this space for further developments and confirmation of the increase to New York’s minimum wage. Employers should be prepared to respond to this hike, including employers in the hospitality industry (and others employing tipped workers, such as car washes and salons) who will have to adjust to any corresponding adjustment to the tip credit minimum wage, though none is anticipated at this time.