The New York State Legislature has amended New York Labor Law (“the Law”) to reduce statutory damages for first-time violations of pay frequency requirements for manual workers while preserving the ability to impose liquidated damages on repeat offenders. The amendment, which took effect on May 9, 2025, is intended to provide relief from what many characterized as disproportionate penalties for technical, non-willful violations. Notably, the amendment applies to both pending and future actions.
Section 191(1)(a) of the Law mandates that employers pay “manual workers” on a weekly basis, unless they obtain authorization from the New York State Department of Labor to pay on a semi-monthly schedule. Prior to the recent amendment, even a single pay frequency violation could expose employers to substantial liability. The statute had been interpreted to allow plaintiffs to recover liquidated damages equal to 100% of the late-paid wages, in addition to statutory interest and attorneys’ fees.
The scope of employer liability under Section 191 changed dramatically in 2019 when the Appellate Division, First Department issued its decision in Vega v. CM & Associates Construction Management, LLC [1] that a private right of action exists under Labor Law § 191(1)(a). The Vega decision spurred a flurry of class action litigation, exposing employers to potentially large liability for inadvertent, first-time infractions. While the Appellate Division, Second Department reached a contrary...
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