Tipped workers earning less than NY’s standard $8 an hour could get a raise next year, depending on the recommendations from a new “Wage Board” convened by Governor Andrew Cuomo. The members of the new wage board will be Heather B. Briccetti of the New York State business council; Peter Ward of the NY hotel trade council; and Timothy Grippen, a retired Broome County executive.
Insurers have asked for double digit premium increases for next year as well. These labor cost increases could put many small and family businesses out of business as expenses usurp the small margins earned by the independent owner operators. There will be no choice but to increase prices, but sales are already lagging due to the economy. Passing along the costs with 15-50% price increases will certainly have a direct impact on the bottom line.