Protecting New York Employee: The Urgent Need for the Wage Payment Integrity Act
In our ongoing commitment to safeguard the rights and wages of New York’s employees, NELA-NY is championing a pivotal piece of legislation: the Wage Payment Integrity Act (S4973A/A5348A). https://www.nysenate.gov/legislation/bills/2023/A5348/amendment/A
This Act introduces essential measures to combat wage theft, an issue that plagues too many New Yorkers. Here’s why every New Yorker should stand behind this vital legislation.
Ending Wage Kickbacks
It’s unacceptable for employers to demand that employees return part of their hard-earned wages. The Wage Payment Integrity Act makes Article 6’s civil remedies available to victims of wage kickback schemes.
Ensuring Severance and Benefits are Paid
Too often, employees find themselves deprived of rightfully earned severance pay, benefits, and wage supplements. Courts often compound the problem by mistakenly concluding that many of these unpaid employees are excluded from Article 6’s civil remedies (e.g., liquidated damages and attorney’s fees). The Wage Payment Integrity Act addresses this injustice by ensuring that employers who withhold these earnings will be liable for Article 6’s civil remedies.
Establishing a Rebuttable Presumption for Wage Notice Failures
A significant barrier many employees face is proving the terms of employment when employers neglect to provide a wage notice statement as required by Labor Law 195. The Wage Payment Integrity Act offers a solution by establishing a rebuttable presumption in favor of the employee’s account of the agreed terms, providing much-needed protection and leverage.
Clarifying the Definition of “Wages”
At the heart of many wage disputes is the ambiguity surrounding what constitutes “wages.” The Act clarifies that all bonuses and other forms of supplemental compensation that are not purely discretionary count as wages, despite the fact that such bonus or compensation may be due to more than one person’s job performance.
Why Support the Wage Payment Integrity Act?
The Wage Payment Integrity Act is more than just legislation; it’s a statement of our values as New Yorkers. It will help eradicate wage kickback schemes, ensure that employees receive all promised compensation, and foster transparency in our labor markets. It will also ensure that honest employers are not at a competitive disadvantage as compared to employers who mislead their employees about compensation.
This Act represents common-sense reform that will significantly benefit employee in New York. The Wage Payment Integrity Act will move us towards a fairer, more transparent labor market where the rights and wages of employees are protected. Please call and write to your assembly members and senators today and ask them to co-sponsor and support the Wage Payment Integrity Act (S4973A / A5348A).