Andrew Cuomo has announced a plan to increase the city’s minimum wage to $20 per hour by 2027. The proposal aims to reduce financial pressure on working families amid rising living costs across all five boroughs.
The wage hike would affect roughly 800,000 workers covered under the state’s minimum wage law. Although current law anticipates the wage reaching $17.50 by 2027, Cuomo’s plan sets a higher benchmark of $20. At present, the minimum wage stands at $16.50 and is expected to climb to $17 by next year. Additionally, Cuomo has called for a comprehensive cost-of-living analysis to be completed by January 2027 to help adjust wages going forward.
Recognizing the challenges faced by small businesses, Cuomo proposes a Small Business Adjustment Tax Credit to assist employers with ten or fewer full-time employees. This credit would cover up to 30% of the additional wage costs and gradually phase out, easing the financial impact during the transition.
Cuomo dismissed concerns that raising the minimum wage might damage the economy. He labeled such claims “baloney,” citing how the previous minimum wage increase to $15 under his administration helped fuel economic growth, contrary to critics’ warnings.
Cuomo’s proposal is backed by major labor unions representing over 76,000 workers in New York City. The Retail, Wholesale, and Department Store Union called him the “clear choice” for leading on the $15 minimum wage and worker protections. Rob Newell, president of UFCW Local 1500, urged urgent government action on affordability and endorsed Cuomo to make New York safer and more affordable. John Costa, president of the Amalgamated Transit Union, praised Cuomo’s focus on affordability and public safety as what their members expect from city leadership.
In summarizing his plan, Cuomo stressed that full-time employment should provide a decent standard of living. He described the wage increase as a bold, forward-thinking move that supports hourly workers while boosting economic growth. Cuomo pledged to continue pursuing policies aimed at making New York City more affordable and accessible.
