2019 New York State Legal Changes to Remember, 2019 IRS Changes and Proposed State-Wide Predictable Scheduling Regulations

Original Date: December 21, 2018

As we are moving closer to the start of 2019, there are significant legal changes that will impact many if not all our organizations in New York State.  The changes listed below are specific to New York State, with considerations on federal changes.  Remember to communicate these changes to employees if they do impact your workforce; PFL changes, exempt status, etc.

2019 New York State Legal Changes:

1. Executive and Administrative Exemption:

• $727.50 per week on and after 12/31/16
• $780.00 per week on and after 12/31/17
• $832.50 per week on and after 12/31/18
• $885.00 per week on and after 12/31/19
• $937.50 per week on and after 12/31/20[i]
  • https://labor.ny.gov/formsdocs/wp/Part142.pdf\

2. Minimum Wage Increases: Minimum wage will increase on 12/31/18, from $10.40 per hour to $11.10 per hour in the Southern Tier.  The rates vary in NYC and Long Island, but they also increase.  Watch for wage compression in your salary schedules.

https://www.ny.gov/new-york-states-minimum-wage/new-york-states-minimum-wage

3. Fast-Food Minimum Wage Increases:

4. New York State Paid Family Leave:

2019 Statement of Rights Paid Family Leave

Other Legal Area’s to consider in 2019:

1. Paid Bereavement Leave Legislation
2. Recreational Marijuana Legislation
3. NYS Predictable Scheduling Regulations (see below)
4. Predictable Scheduling, Rest Between Shifts, Extra Hours (all have passed or will be active in NYC)
5. Federal Minimum Wage (no changes to this since 2009)
6. Federal Exempt/Non-exempt Levels (we could see this rise in 2019)
7. FMLA Changes (paid maternity, adoption and foster care)
8. New York State Sexual Harassment Training Requirements (remember October 2019)
9. Affordable Care Act Changes, recent Texas ruling on 12.14.2018. (who knows!)
10. Labor and Employment Law Posting Requirements (updates in 2019)

These are a few legal areas to consider, review and understand as we approach 2019.  Ensure PFL rates are adjusted for payroll deductions and communicate these changes.  Enjoy the holidays!

IRS Mileage Changes:

“The IRS announced Dec. 14… for 2019, standard mileage rates for the use of cars (also vans, pickups or panel trucks) will be:

• 58 cents per mile driven for business use, up from 54.5 cents in 2018.

• 20 cents per mile driven for medical or moving purposes, up from 18 cents.

• 14 cents per mile driven in service of charitable organizations, which is unchanged from 2018.

Notice 2019-02 also provides that, for cars a taxpayer uses for business, the portion of the standard mileage rate treated as depreciation will be 26 cents per mile for 2019, up from 25 cents per mile in both 2018 and 2017.”[ii]

NYS State-Wide Proposed Predictable Scheduling Regulations

The proposed regulations cover a variety of events for which employers must provide “call-in pay,” including when employees:

• Are required to report to work (i.e., “show up”), but are sent home early
• Are not provided at least 14 days’ advance notice of their work shift (i.e., made to work an “unscheduled shift”)
• Have their shift cancelled without at least 14 days’ advance notice (i.e., experience a “cancelled shift”)
• Are required to be available to report to work for a shift if requested (i.e., be “on-call”)
• Are required to be in contact with their employer within 72 hours of the possible start of the shift to confirm whether to report to work (i.e., “call for schedule”)

“No call-in pay is owed for cancelled shifts or for employees who work unscheduled shifts if there is a weather or other travel advisory and the employer offers employees the option of voluntarily reducing or increasing their scheduled hours, so they may stay home, arrive early, arrive late, depart early, or depart late…Call-in pay is also not owed for a cancelled shift when the cancellation is at the employee’s request or when operations cannot begin due to an “act of God” or other cause outside the employer’s control…employees who volunteer for an unscheduled shift are excluded from the call-in pay requirements applicable to unscheduled shifts.”[iii]

This is proposed legislation currently, it is not law yet.  The 30-day comment period during which the NYSDOL will accept public comments. Comments are due by January 11, 2019 and can be emailed to hearing@labor.ny.gov.  If your organization has comments, submit it prior to the January 11, 2019 date.  Be prepared for this predictive schedule legislation change throughout the state, New York City has laws in place, like this.

– Matthew Burr, HR Consultant

[i] https://labor.ny.gov/formsdocs/wp/Part142.pdf

[ii] https://www.shrm.org/ResourcesAndTools/hr-topics/benefits/pages/2019-standard-mileage-rate.aspx

[iii] http://reply.hblaw.com/SnapshotFiles/1042cfd4-d56f-4156-882c-a490ed498a9c/Subscriber.snapshot?clid=5c7ee54a-1ce9-4d6c-8540-78d42f506fd0&cid=5fc68471-4ae6-4698-8d2c-feea48c6710f&ce=fo0VXSnMbAYqD2mf7h6%2bKKYRzdNLW%2feIRsUoSIQjMtk%3d