The New York State Senate has overridden a veto by Governor George Pataki and passed a bill that will increase the state’s minimum wage. In a 50-8 vote, the Republican controlled senate approved a bill that will gradually increase the minimum wage now set at $5.15. The first increase will be January 1 when the rate will increase to $6.00. The next step will take place in January 2006 when the rate goes to $6.75. The final bump will reach $7.15 in January 2007.

The state legislature also approved an increase in the minimum wage for waitresses, bartenders and other employees who depend on tips. That rate, which is currently $3.00 an hour, will increase to $4.60.

State senator John DeFrancisco sponsored the original legislation to raise the wage. DeFrancisco strongly believes that the senate had to pass this legislation stating, 'In reality, there's no one that can afford to live on the minimum wage as it exists today, especially with the cost - if it's fuel or heating or whatever - that's been happening over the recent months.'

Small business owners are expressing concern about how this will impact their businesses. Some fear that the increase will result in layoffs, reduction in hours, or even severe cutbacks in staff. Pataki expressed concern that raising the minimum wage would put New York at a 'competitive disadvantage' with businesses in Pennsylvania and New Jersey, where the minimum remains at $5.15.

Twelve states have raised their minimum wages since the last increase in New York, which occurred in 1999.