Employers in New York are expected to treat their workers fairly and pay them properly, and legislators have passed several laws to ensure that they do. These labour laws are strictly enforced at the federal and state levels by agencies like the Equal Employment Opportunity Commission and the New York Department of Labor (NYDOL), and the penalties for violating them can be severe. Even innocent mistakes can be punished harshly, so employers need to understand what is expected of them.
Federal Labor Laws
Employers in New York are required to follow federal as well as state labor laws. If a New York labor law contradicts a federal labor law, the federal law will take precedence. State lawmakers can pass legislation giving workers additional rights, but they cannot remove or diminish rights protected by federal law. Important federal labor laws that employers in New York should be aware of include:
- Title VII of the 1964 Civil Rights Act (Title VII)
- The Age Discrimination in Employment Act (ADEA)
- The Americans with Disabilities Act (ADA)
- The Fair Labor Standards Act (FLSA)
- The Immigration Reform and Control Act (IRCA)
- The Family Medical and Leave Act (FMLA)
- The Consolidated Omnibus Budget Reconciliation Act (COBRA)
It is important to note that not all federal laws apply to every workplace. Employers should investigate the federal laws, including those listed above, to determine if their business is affected.
Who Is Protected by New York Labor Laws?
New York labor laws protect only workers who meet the legal definition of “employee.” These laws do not cover independent contractors, but employers do not get to decide who is an employee or an independent contractor. If the employer providing compensation determines how work will be done, the individual doing the work will usually be considered an employee and not an independent contractor.
New York Labor Laws
Aside from federal laws, New York employers must also comply with laws specific to New York State. This can be challenging, however, because the rules sometimes vary in different parts of the state. For example, usually every year, the minimum wage set in New York City, Long Island, and Westchester County is higher than in the rest of New York.
The labor laws in New York cover aspects of employment ranging from hiring procedures and overtime rates to noncompete practices and severance pay. In this section, we will mainly focus on the labor laws that affect most, if not all, employers.
Laws Employers in New York Must Follow When They Hire Workers
When an employer in New York hires a worker, they must submit information, including the new employee’s name, address, and Social Security number, to state officials within 20 calendar days. Employers can visit the New York New Hire Online Reporting Center to submit this information or complete and submit a Form W-4 or IT-2104 to the New York State Department of Taxation and Finance.
Salary Histories
In January 2020, New York labor laws were revised to prohibit employers from asking job candidates, either orally or in writing, about their salary histories. The law applies to all private and public sector employers, and it also prohibits employers from using salary information provided voluntarily to determine a job candidate’s compensation.
Notice of Pay Rate
The New York Wage Theft Protection Act requires employers to inform new hires about how they will be paid. A notice of pay rate in both English and the new employee’s primary language must include the following:
- Regular and overtime pay rates.
- Information indicating that that new worker will be paid by the hour, day, week, or shift.
- The day of the week that the new worker will be paid.
- The employer’s main office address and telephone number.
- Details about any non-statutory payroll deductions.
New York Minimum Wage
As of January 1st, 2024, the standard hourly minimum wage in New York is $15 instead of the federally mandated $7.25, and the minimum wage for tipped employees is $12.50 per hour for tipped service employees and $10.00 per hour for food service employees.
In New York City, Long Island, and Westchester County, the standard hourly minimum wage is $16 higher for regular employees, $13.35 for tipped service employees, and $10.65 for tipped food service employees. The minimum wages for all employees in New York are scheduled to be increased by .50 cents per hour in January 2025 and January 2026.
Payroll Deductions
Employers in New York are permitted to make wage deductions to collect local, state, and federal taxes and recover overpayments and payroll advances. Employees must approve payroll deductions in writing for any other purpose. Employers are not permitted to fine employees or make payroll deductions to recover losses or cover the costs of tools or work attire, even if workers consent.
FLSA Overtime Exceptions in New York
On December 27th, 2023, NYDOL published a notice of adoption in the New York State Register, increasing the minimum salary thresholds for exempt executive and administrative employees to $1,200 per week (approximately $62,400 per year) for New York City and its surrounding counties and $1,124.20 per week (roughly $58,458.40 per year) for the rest of the state. Under the new regulations, the thresholds will gradually increase each year through 2026.
Pay Periods
New York has rules that require manual workers to be paid weekly and commissioned workers to be paid at least once monthly. Manual workers must receive their pay no later than seven days after their pay periods, and commissioned workers must receive all their compensation by the end of each month.
Meal and Rest Breaks in New York
Employees in New York who work shifts lasting six hours or longer are entitled to a 30-minute meal break if they are on the clock between 11:00 a.m. and 2:00 p.m. When shifts begin between 1:00 p.m. and 6:00 a.m. and last for at least six hours, the mandatory meal break is 45 minutes. Employees can take an additional 20-minute break between 5:00 p.m. and 7:00 p.m. if they report for duty before 11:00 a.m. and work until 7:00 p.m. or later.
When an employee in New York gives birth to a child, their employer must allow them to take unpaid breaks to express milk for the next three years. All employers are expected to make reasonable accommodations for nursing mothers, and employers in New York City with four or more workers must provide lactation rooms with refrigerators.
New York labor laws do not require employers to offer their workers rest breaks, but employees who work in factories, hotels, restaurants, office buildings, or apartment buildings must be given at least one day off each week. New York law also requires workers to be paid for rest breaks lasting 20 minutes or less.
Mandatory New York State Labor Law Posters
New York employers must display federal and New York state labor law posters. Labor law posters inform employees of their protections and rights. Above all, they must be placed in an easily visible and accessible location, such as break rooms and other communal areas. As of 2022, New York also allows employers to provide postings electronically through email or on a company intranet.
Critical New York labor law posters that employers may need to display include:
- Minimum Wage
- Workers’ Compensation Sample
- Voting Notice
- Discrimination
- Article 23 Correction Law
- Paid Family Leave Sample
- Equal Pay
- Notice of Employee Rights LS740
- Unemployment Insurance Poster Sample
- Employer-Sponsored Meetings
Required federal labor law posters may include:
- EEOC “Know Your Rights” Notice
- Fed-OSHA “It’s the Law” Notice
- Federal Minimum Wage Notice
- Employee Polygraph Protection Notice
- Family and Medical Leave Act Notice
- USERRA Rights and Benefits Notice
- Payday Notice
- IRS Earned Income Tax Credit Notice / Notice 797 / W-4 Notice
- Employee “Right to Know” Notice
- USCIS Discrimination Notice
Employers who do not display these posters could face fines and penalties. Depending on your city, county, and industry, additional posting requirements may also apply. Examples could include postings on Human Trafficking, Child Labor, and city ordinances.