New York 2016 Wage Increases & Reminders

 

As 2015 winds down, it is important to keep in mind these important changes that will effect New York businesses the new year ahead. Failure to comply with these requirements could subject an uninformed employer to substantial liability.

Minimum Wage Increase

Effective December 31, 2015, New York State's minimum wage will increase a quarter from 8.75 to $9.00. Payroll changes must be made in advance, so this shall be a reminder for all employers.

Workers who are covered by New York's Hospitality Wage Order, their wages will now be raised to $7.50 an hour. The overtime rate for those receiving gratuities will be $12.00 per hour.

Please note that pursuant to the report and recommendations of the Hospitality Wage Board, food service workers (e.g., wait staff, bussers) and service employees (e.g., valets, bathroom attendants, coat check personnel) now are entitled to the same tipped minimum wage and overtime rate.

In addition, if an establishment is considered as a fast food provider, the minimum wage in New York City shall be $10.50, effective December 13, 2015. For employees in the rest of New York State, it will be $9.85 hourly.

New York is not the only region to increase minimum wages in 2016. See the chart below for the minimum wage increases for other states:

Notice of Rate of Pay

Pursuant to New York’s Wage Theft Prevention Act (WTPA), New York business owners must provide a “Notice of Pay” form to all employees upon a change in their rate of pay. For all employers outside of the hospitality industry, the New York State Department of Labor (NYDOL) has opined that it will not be necessary, as long as the new rate of pay is referenced in the employee’s next pay stub. Employers do not need to provide a new Notice of Pay as a result of the increase in the minimum wage.

However, hospitality employers are not so lucky. Because of the language of the Hospitality Industry Wage Order, hospitality employers must provide a Notice of Pay form to those employees who are affected by the increase to the minimum wage (including all tipped employees) on or prior to December 31, 2015. The notice must contain the following information:

• The employee’s normal rate(s) of pay and the basis thereof (e.g., hourly, shift, weekly, salary);
• If applicable, the employee’s overtime rate of pay;
• The employee’s regular pay day;
• Any allowances claimed against the minimum wage (e.g., tip credit, meal credit, lodging allowance, etc.);
• The name of the employer (including any “doing business as” name);
• The address of the employer’s main office and a mailing address (if different); and
• The employer’s telephone number.

The notice must be written and signed by both parties (employer and employee) and retained by the employer for at least six years.

The NY Department of Labor has sample Notice of Pay forms that employers can use. It is not required to use the NYDOL forms, but it is recommended since it will ensure full compliance with the NY law. You can find all of the sample forms available on the NYDOL's website.

The notice must also be provided in both English and the employee's native language (if not English), contingent upon if the NYDOL has created the Notice of Pay form in the employee's native language. English, Spanish, Chinese, Haitian Creole, Korean, Polish and Russian are the languages currently available on the site.

(Information courtesy of the NYC Alliance)

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How to Retain Your Best Employees

Hiring is a challenge, but so is making your employees happy and having them stay. When you lose your top talent, it disrupts your business' day-to-day operations and hurts your bottom line. You don't want either to happen, so here are some helpful pieces of advice in retaining your best workers:

#1: Listen to feedback from your employees.

Like your customers, your employees are important too. Hear them out and evaluate their commentary. Suggestions from your employees can be beneficial for your business.

#2: Let your staff know about promotions.

Employees want to have stability, a chance to move up in ranks and room for growth. Also, if people think that if they have a future at their workplace, they tend stay onboard longer. If possible, provide on-going training for staff, so the sense of continual learning is instilled.

#3: Reward and incentivize.

When you compensate your employees properly, they will feel more content working. They will be less likely to leave their positions as quickly as well. Give them the opportunity to earn bonuses at the end of the year for producing great service and effort.

#4: Understand work-life balance.

Your staff have lives beyond the restaurant doors. Be understanding and set a manageable schedule. On average, those who work in the industry full-time consider a schedule of working five days, with two consecutive days off, as a good balance.

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How to Write an Effective Job Description

In order to attract the attention of top talents, as an employer, you have to write an effective job description. As it is the initial starting point of the recruitment process, it needs to be authentic and captivating; so much to the point where candidates feel that they cannot miss out on such a job opportunity. But what are the necessary components to a job description you ask? Here are important elements you must include:

#1: Background Information

This portion needs to be short and to the point. Keep the length to a maximum of two paragraphs. It should include your history, what you do and your mission. You may also recognize your achievements and defining moments. Don't forget to mention other significant details that the candidate for that particular role would care about.

#2: Role Overview

Start the paragraph off with a compelling job title. Provide a summary of the position by listing the main tasks and goals, and name the supervisor/team leader that the candidate needs to report to.

#3: Job Details

For this section, in one to two paragraphs, provide more specific information about the role. Go into detail what the candidate would be doing day-to-day and job responsibilities. Use words to that indicate movement or measurable action, such as "leading", "supervising", "managing", etc.

#4: Qualifications

List ideal traits that you are looking for in candidates, such as, years of experience, certifications and knowledge.

#5: Compensation

Money matters always brings up debate, however, candidates surely would like to see a range of the expected salary, especially those applying for top-level positions. For senior/executive titles, include the salary, benefits and other perks. If you still prefer to not disclose the compensation, let candidates know that it will be discussed privately during the interview itself.

With these five components, your job description is set. Post and share it through your job networks, and prospective candidates will reach out to you in no time.

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The 5C's for the Perfect Candidate

Recruiting potential employees for your business never comes easy. There are several factors and considerations to think about when looking for the perfect candidates. Fortunately, to make it easier for you, here's a checklist of five characteristics to keep in mind the next time you are hiring:

1. Competent

This is still the first factor to consider. Does the potential employee have the necessary skills, experiences and education to successfully complete the tasks you need performed?

2. Compatible

Can this person get along with colleagues, and more importantly, can he or she get along with existing and potential clients and partners? A critical component to also remember is the person’s willingness and ability to be harmonious with you, his or her boss.

3. Commitment

Is the candidate serious about working for the long term? Or is he or she just passing through, always looking for something better? A history of past jobs and time spent at each provides clear insight on the matter.

4. Character

Does the person have values that align with yours? Are they honest; do they tell the truth and keep promises? Are they above reproach? Are they selfless and a team player?

5. Culture

Every business has a culture or a way that people behave and interact with each other. Culture is based on certain values, expectations, policies and procedures that influence the behavior of a leader and employees. Workers who don’t reflect a company’s culture tend to be disruptive and difficult.

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Best Interview Questions to Ask Potential Candidates

What are the best questions to ask potential candidates in an interview? We have asked some of the best restaurant groups in the country and these are the questions that they feel give them the most insight on the person they are interviewing. Try them out, see what kind of results you get.

1. "Describe an episode in your work history involving an unhappy customer. What went wrong, and how did you handle the situation? What did you learn in the aftermath?"

This questions is designed to test the candidate's problem solving skills. It will also give you a good sense of their teamwork, diplomacy and tact.

Weaker candidates may launch into a story in which a boss or coworker let a customer down, and the candidate in question swooped in to save the day.

You are looking for candidates that tell the truth and let the interviewer know that they take responsibility for their own mistakes and they know how to learn and grow from failed projects and poor decisions.

2. "If you have to choose between cutting a corner to meet a deadline, and missing a deadline in order to attend to a detail, which do you usually choose and why?"

You are looking for a candidate that chooses the option that best fits the circumstances at the time. The candidate should explain their typical decision-making strategies so you can gain a broad sense of who they are and how they approach tricky problems.

3. "Would you describe yourself as more of a leader or more of a follower?"

You can learn a lot about a candidate from this question. Many will go for the easy answer. If they say "leader," this may suggest they don't follow instructions or work with teams very well. And if they say "follower," they sound obedient but unambitious. Either might be appropriate/inappropriate depending on position.

What you are really looking for is for the candidate to explain when you typically choose one role and when you tend to choose the other. Your will need to read between the lines and gain the information to make your decision.

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