On Tuesday, New York governor David Paterson signed the Wage Theft Prevention Act to fight back against employers who may cheat their employees out of required minimum-wage salaries or overtime pay.
The new law makes it mandatory for employers to provide annual records of wages paid, increasing notifications, protect employees from the unlawful practices by their employers and more WIVB-TV reports. Employers who do not comply will be subject to financial and legal penalties under the new law geared toward protecting low-income earners.
"At a time when so many New Yorkers are living paycheck to paycheck, it is vital that we protect the right to receive their hard-earned pay and afford them every protection against wage theft,” Governor Paterson said. “I am proud to sign this legislation, which will combat misconduct by unscrupulous employers who fail to pay statutorily-mandated minimum wages and overtime."
According to GovMonitor, the law raises penalties up to one year in prison and a $5,000 fine for employers who fail to comply. Additionally, employees who win a lawsuit challenging unfair payment practices can now recover 100 percent of the lost income. Previously, the ceiling was 25 percent.
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