PARTIAL REPEAL OF WAGE THEFT PREVENTION ACT REQUIREMENTS

Woods Warnings- Labor & Employment Alert - By Lorisa D. LaRocca, Esq.

On December 29, 2014, Governor Cuomo signed a bill eliminating the requirement that before February 1st of each year employers must notify and receive written acknowledgment from every worker about their rate of pay, allowances, pay day and employment classifications. However, the bill also increases penalties for non-compliance with the Act, closes a longstanding loophole in the law by providing that the 10 members with the largest percentage ownership in a limited liability company are now jointly and severally liable for unpaid wages and salaries, imposes successor liability for violations of the Act and requires that any investigation of alleged wage payment violations conducted by the Department of Labor cover the entire six year statute of limitations period absent notice from the Commissioner of Labor.

Please contact us if you would like to discuss how these Amendments affect your business.