KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and whitelist ken@kirschenbaumesq.com ****************************** Employment Wage law affecting NY employers June 7, 2025 *********************** Employment Wage law affecting NY employers ********************** In New York wage earners are required to be paid weekly and receive their check within 7 days of the last pay day of the cycle. NY Labor Law has been very harsh for none compliance, requiring employers who fail to comply with the payment deadlines to pay 100% of the unpaid or late paid compensation. The law has just been changed so that the penalties have been reduced. The change in law is undoubtedly in response to the plethora of law suits filed by attorneys who looked for potential clients to be plaintiffs in these actions, those manual workers who were paid bi-weekly instead of weekly. The potential damages for these claims were 100% liquidated damages of the late payments. In other words, the employee would be entitled to their full wages for the week(s) they were paid late, even though they ultimately were paid in full. For example, if a manual worker earns $500 per week and is paid the full amount owed of $1,000 on a bi-weekly basis (instead of the required weekly basis) - the manual worker would be entitled to an additional $500 for the week that was considered a late payment. It was becoming a windfall for employees and Plaintiffs’ lawyer’s who were making it a business to bring claims of this nature. Under the new law, effective now, first-time violations will be limited to lost interest on delayed payments so long as manual workers were paid no less than twice a month. This new law appears to be in response to the many claims being brought by manual workers who were paid bi-weekly instead of weekly. The potential damages for these claims were 100% liquidated damages of the late payments. In other words, the employee would be entitled to their full wages for the week(s) they were paid late, even though they ultimately were paid in full. For example, if a manual worker earns $500 per week and is paid the full amount owed of $1,000 on a bi-weekly basis (instead of the required weekly basis) - the manual worker would be entitled to an additional $500 for the week that was considered a late payment. It was becoming a windfall for employees and Plaintiffs’ lawyer’s who were making it a business to bring claims of this nature. Now, liquidated damages (i.e., full wages for weeks employee was paid late) will only be available for second or subsequent violations if there is a finding and order by the New York State Department of Labor (“NYSDOL”) or a court of competent jurisdiction of a prior violation. Employers’ who are first time offenders are now spared this huge exposure. Damages for Employers who are first time offenders are now limited to interest only on the delayed payment so long as manual workers were at least paid semi-monthly. In order to avoid claims employers should review their pay schedule to make sure that manual workers are paid on a weekly basis and not later than seven calendar days after the end of the week in which the wages are earned. Under the New York Labor Law a manual worker is defined as a “mechanic, workingman or laborer,” and individuals who spend more than 25% of working time engaged in ‘physical labor’ fit within the definition of "manual worker". The term “physical labor” has been broadly interpreted to include “countless physical tasks performed by employees.” So the new law gives employers a break for the first time violation; after that the liquidated damages are severe. Best to review your payroll practices now and be sure to be in compliance; pay weekly and within 7 days of the week cycle. If not in New York, be sure to check your labor law and federal laws affecting wage and other workers. If you need help remember that Employment and Labor Law issues are covered by the free 15 minute per month benefit for Concierge Clients - join the Concierge Programhttps://www.kirschenbaumesq.com/page/concierge today and start taking advantage of all the benefits immediately. Another smart idea is to have all employees sign a K&K Employment Agreement. If you have 10 or more employees a customer K&K Employee Handbook is also a good idea. ******************* STANDARD FORM AGREEMENTS: To order up to date Standard Form Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** WEBINARS: https://www.kirschenbaumesq.com/page/alarm-webinars *********************** ALARM ARTICLES: You can always read our Articles on our website at www.kirschenbaumesq.com/page/alarm-articles updated daily ******************** Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth *********************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* PODCASTS: https://podcasts.apple.com/us/podcast/ken-kirschenbaum-presents/id1794851477 ************************* Getting on our email list / Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. ************************** Ken Kirschenbaum,Esq Kirschenbaum & Kirschenbaum PC Attorneys at Law 200 Garden City Plaza Garden City, NY 11530 516 747 6700 x 301 ken@kirschenbaumesq.com www.KirschenbaumEsq.com
