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How the state's minimum wage bump to $14.20 is hitting businesses

Entry-level workers will now be guaranteed $14.20 per hour, as the final stage of New York's tiered minimum wage increase plan takes effect Sunday. Meanwhile, tipped workers in Central New York will earn around $9 per hour.

But Daniel Burchill, the general manager of B'Ville Diner in Baldwinsville, said paying above the minimum wage is now almost expected.

“We have to pay our cooks fairly well to keep the good guys here and we’ve got people who’ve been here a long time, which means you have to take care of them, as well," Burchill said. "So, we do find that to keep someone good or to attract someone else who is good, you have to be well above the minimum.” 

B'Ville Diner held off on raising their prices as long as they could, but Burchill said inflation has been a chain reaction for restaurants which impacts them and, ultimately, the customer.

“Restaurant (profit) margins aren’t that high, in general, so you’ve got to make that money somewhere," Burchill said. "A lot of the inflation for our grocery product and a lot of the wage inflation all gets passed onto the consumer.  That’s the only way we can keep our doors open.” 

Burchill noted that in light of the price increase, the diner will return to their full menu, which he believes his regulars will be happy about. Since the beginning of the pandemic, B'Ville Diner has been serving a limited menu.

Baldwinsville's Sweet Dream Candy Shoppe has also been paying employees above minimum wage, said store owner Robin Mack.

“Obviously, I was aware that minimum wage was going to be going up and talk of making it $15 an hour.," Mack said. "So, I just tried to stay ahead of the game a little bit with that.” 

The minimum wage increase looks different between various parts of New York. All Westchester, New York City and Long Island workers are guaranteed $15 an hour, and non-tipped workers in the rest of the state are guaranteed $14.20 an hour. Additionally, all fast food workers in New York will see their wages increased to $15.

While the change to $14.20 is expected to the final increase in a series, officials will review the impact of the wage increase in a year.