Good news for workers in New York: Kathy Hochul confirms salary increases for 60,000 people

New York state employees are set to receive significant pay raises and improved benefits under a new five-year labor agreement ratified by the Public Employees Federation (PEF). Governor Kathy Hochul announced the ratification of the collective bargaining agreement, which covers approximately 60,000 state workers and extends through April 1, 2031.

The deal, approved by 88% of PEF members who voted, introduces five consecutive annual salary increases. These increments are designed to cumulatively boost wages by 19.3% over the contract's duration. The first increase, retroactive to April 2, 2026, will be followed by annual raises in 2027, 2028, 2029, and 2030. The agreement also includes modifications to workplace-related payments and health benefits.

Beyond salary adjustments, the contract introduces new family benefits, notably 20 hours of paid prenatal leave per year for expectant parents. It also updates conditions related to leave policies and the accumulation of sick days. The PEF represents a diverse group of state employees, including nurses, engineers, parole officers, social workers, and other professionals and technicians.

While the agreement has been ratified, the salary increases and associated budgetary allocations require formal approval from the New York State Legislature. The PEF anticipates that the state comptroller will issue payments for retroactive wages in the fall. This agreement marks a substantial win for state workers, securing improved compensation and benefits through 2031.