Wage Theft Prevention annual notice requirement repealed

The Wage Theft Prevention Act, which has been a burr under the saddle of New York businesses since it took effect in 2011, is getting a major overhaul.

The act required every private employer in New York to provide workers a document verifying their salaries and other basic information, which employees were then to sign and return. And since its birth, the act has been the target of lobbying by business organizations looking to eliminate the paperwork requirement.

“All private sector employers in New York will get welcome relief under the “wage theft” reform bill signed by Governor Cuomo,” said Ken Pokalsky, vice president of The Business Council of New York State.

“Our members saw this as a costly and unnecessary compliance burden that provided no real benefit to workers, and fixing it has been one of our legislative priorities,” Pokalsky added.

“As part of this reform bill, we also supported Labor Law changes to help protect employees through improved wage law compliance and enhanced enforcement in cases of wage theft.”

Importantly, the Administration made clear that the Department of Labor will not require annual notices in 2015, citing an agreement with the legislature to move up the reform’s effective date.

Employers still will have to provide a written pay notice at the time a new worker is hired.