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Employers Need to Know About Recent Changes to New York Employment Laws

New York recently enacted a number of new laws that affect employers operating in New York. Employers should be aware of new obligations they now face. Below is a brief summary of some of the new requirements:

Minimum Wage: Rates increased to $16/hour in NYC, Westchester, Nassau and Suffolk and $15/hour elsewhere, with annual 50 cent increases thereafter through 2027.

Overtime Exemptions: Minimum salary thresholds for administrative and executive exemptions were raised on January 1, 2024 and will continue to increase annually through 2026, following Department of Labor guidance.

Freelance Protections: As of May 20, 2024, freelancers contracting for over $800 within 120 days are ensured written contracts, payment terms, retaliation protections and a private right of action for noncompliance.

Human Rights Act: The statute of limitations for unlawful discriminatory claims was extended from 1 to 3 years effective February 15, 2024, aligning with NYC standards.

Social Media Privacy: As of March 12, 2024, employers cannot demand access to personal online accounts of employees or prospective employees.

Pay Transparency: Regulations on posting minimum and maximum pay ranges for most job opportunities took effect September 17, 2023. Businesses with four or more employees must list compensation ranges for job postings, promotions or transfers.

Non-Compete Ban: Earlier this year, the FTC announced a rule that would ban non-compete agreements nationwide. The rule has not yet gone into effect and it may still be challenged, but employers should be aware of the possible implications.

Employers should review policies and monitor developments closely to ensure ongoing compliance. With new bills anticipated, the legal landscape in New York continues to rapidly evolve.

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