New York Enacts Legislation to Protect Employees from Wage Theft
ALBANY, NY—A landmark bill, A00046A, has been introduced to strengthen protections for employees against wage theft in New York. Sponsored by Assemblymember Rosenthal L and co-sponsored by a broad coalition of legislators, this legislation amends multiple state laws to secure payment of wages for work already performed.
The bill introduces a lien remedy that enables all employees to claim a lien against their employers for unpaid wages, significantly expanding the legal avenues available for workers to recover their dues. Furthermore, it lays down grounds for attachment, providing a more robust mechanism for employees to claim unpaid wages.
The legislation streamlines the process for holding shareholders of non-publicly traded corporations personally liable for wage theft. It delineates specific conditions under which employees can pursue claims directly against individual shareholders, aiming to close the loopholes that previously allowed wage theft to go unpunished.
Additionally, the act grants rights to victims of wage theft to target the ten members with the largest ownership interests in a company, holding them personally liable for unpaid wages. This provision is part of a broader effort to ensure that workers can recover wages from those with significant control over company finances.
This comprehensive approach to combating wage theft represents a significant advancement in labor rights in New York. By amending the lien law, labor law, civil practice law and rules, business corporation law, and limited liability company law, the state sets a precedent for protecting workers against exploitation and ensuring they receive the wages they are duly owed.