NOTE FOR EMPLOYERS
NEW LAW EFFECTIVE OCTOBER 26, 2009
THE LABOR LAW IN NEW YORK [SEC. 195(1)]REQUIRES NEW EMPLOYEES
TO GET WRITTEN NOTICE OF THEIR PAY RATES
Effective October 26, 2009, New York law now requires employers to provide a special notice to new employees about their pay.
Newly hired employees must be given written notice of their pay rate, pay day and, if applicable to the employee, overtime rate of pay. Employers must also obtain a written acknowledgment from employees that the employees have received the notice. See Labor Law §195(1) at the end of this posting.
The law states indicates that the acknowledgment must meet requirements established by the Department of Labor (DOL).
The DOL has now issued notice and acknowledgment forms to complying with Labor Law
§195(1), but there are some issues with the form DOL has issued.
The form does not seem to address situations in which commissions or bonuses must be included in the overtime calculation, so the overtime rate cannot be known in advance. It also does not say how to inform employees of their overtime rate if that overtime will fluctuate from week to week
The law seems to indicate that employers must use the form of acknowledgment issued by the DOL, but it does not specifically require use of the exact notification form published by the DOL. If employers must use that form, it would be potentially problematic given these open issues.
A copy of the "Notice and Acknowledgement of Wage Rate and Designated Payday, Hourly Rate Plus Overtime" form can be found at the DOL's website.
Just cut and paste the below web site into your internet browser to get to the new DOL forms and information on the new law.
http://www.labor.state.ny.us/workerprotection/laborstandards/workprot/lshmpg.shtm
While there are open issues with the form and its sufficiency that need to be cleared up, employers would be well advised to, at minimum, use the form published by the DOL until there is further guidance or clarification from DOL about changes or updates to the form.
Please confirm with your Human Resources staff that you are complying with the above requirement for all hires brought on after October 26, 2009.
_____________________
NY Labor Law § 195(1)
§ 195. Notice and record-keeping requirements. Every employer shall:
1. notify his or her employees, in writing, at the time of hiring of
the rate of pay and of the regular pay day designated by the employer in
accordance with section one hundred ninety-one of this article, and
obtain a written acknowledgement from each employee of receipt of this
notice. Such acknowledgement shall conform to any requirements
established by the commissioner with regard to content and form. For all
employees who are eligible for overtime compensation as established in
the commissioner's minimum wage orders or otherwise provided by law or
regulation, the notice must state the regular hourly rate and overtime
rate of pay;
Robert G. McDermott
McDermott Law Offices
110 Marcus Boulevard, Suite 300
Hauppauge, New York 11788
Tel: 631-414-0094
Fax: 631-414-0098
Email: bob@mcdermottlaw.com
Internet: www.mcdermottlaw.com
