New York Gov. Kathy Hochul, New Jersey Gov. Phil Murphy, and the Port Authority of New York and New Jersey unveiled a proposal to raise airport worker wages annually based on inflation. This initiative, announced at the region’s major airports, aims to stabilize the workforce at John F. Kennedy International, LaGuardia, and Newark Liberty International by tying minimum wage increases to the Consumer Price Index (CPI) starting in January 2025.
Governor Hochul emphasized the positive impacts of the wage increase. “Today, we are taking a significant step forward in ensuring fair and equitable pay for the hardworking individuals who serve in the region’s airports,” she stated, underscoring that predictable wage increases would provide airport workers with economic stability while aligning their pay with cost-of-living changes.
Under the proposal, airport worker wages would initially increase by $0.75 per hour in January and July of 2025, and again in January 2026. Beginning in 2027, wage hikes would be pegged to the CPI’s Northeast regional average, mirroring New York and New Jersey’s statewide minimum wage policies. The proposal also includes a wage floor of $25 per hour by 2032 if CPI-tied adjustments fall short of that level.
In addition, the Port Authority introduced a concession pricing adjustment to offset potential cost increases for airport businesses. The new pricing policy would allow airport stores and restaurants to charge customers up to 15% above local “street prices” for similar goods, up from the previous 10% cap, and to apply a 3% surcharge for employee benefits. This aligns with practices at other U.S. airports, which frequently use “street pricing plus” policies to accommodate the unique business costs of operating at airports.
Governor Murphy emphasized that the wage hikes honor the region’s airport workers, whose efforts keep one of the nation’s largest transportation hubs operating efficiently. “Airport work is difficult and demanding,” he noted. “This wage increase proposal recognizes their contributions, and I look forward to its approval.”
Port Authority officials underscored the benefits of the wage increase for worker retention and customer satisfaction, with Chairman Kevin O’Toole noting that past wage hikes have positively impacted airport morale, productivity, and service quality. Executive Director Rick Cotton highlighted that fair wages improve both employee retention and customer experience at airports, supporting the Port Authority’s goal of transforming these transportation hubs into world-class facilities.
In recent years, Port Authority airports have garnered international praise, including Newark Liberty’s Terminal A receiving Skytrax’s “World’s Best New Terminal” award in 2024. New terminals and expanded retail operations at JFK and Newark, expected by 2026, underscore the need for a stable, skilled workforce to support airport operations amid multi-billion-dollar redevelopments.
The Port Authority will open a 30-day public comment period on the wage proposal, inviting feedback via its website. The Board will review comments and vote on the proposal at its December 12 meeting.
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