James McCoy Board Secretary | Port Authority of New York and New Jersey
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B. B. Urness | Nov 12, 2024

Governors propose tying airport worker wage hikes to inflation

Governor Kathy Hochul and Governor Phil Murphy have put forward a proposal through the Port Authority of New York & New Jersey to implement annual minimum wage increases for airport workers at John F. Kennedy International, LaGuardia, and Newark Liberty International airports. This initiative aims to adjust wages in line with inflation starting January 2025.

The proposal outlines three initial increases of $0.75 each in January 2025, July 2025, and January 2026. From January 1, 2027, further increases will be tied to the Consumer Price Index (CPI) for the Northeast region. If not reached by other means, wages will automatically rise to $25 per hour by September 2032.

Governor Hochul emphasized the importance of fair compensation: “Today, we are taking a significant step forward in ensuring that the hardworking individuals who serve in the region's airports are paid fairly and equitably for their contributions.” She also plans to introduce an amendment to the Healthy Terminals Act next year.

Governor Murphy highlighted the critical role of airport workers: “Airport work is a difficult and demanding job that deserves our recognition and our thanks.”

Port Authority Chairman Kevin O’Toole noted improvements in morale and service quality resulting from planned wage increases. Executive Director Rick Cotton added that livable wages enhance worker satisfaction and retention.

To offset increased labor costs for businesses at these airports, a revised concession pricing policy is proposed. This would allow stores and restaurants to charge up to 15 percent above local street prices for comparable products and include an employee benefits surcharge up to 3 percent.

The Port Authority continues its redevelopment projects at JFK and Newark airports as part of a multi-billion-dollar investment aimed at improving customer experience. Public input on these changes is encouraged during a designated comment period via the Port Authority website before commissioners review feedback at their December meeting.

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