Businesses in New York State must maintain compliance with both state and federal laws in order to avoid legal trouble, as well as hefty fines and penalties. Here are the labor law penalties and fines for New York State in 2024.
Labor Law Penalties and Fines for 2024
New York labor law compliance is a responsibility that every employer knows they have. However, many struggle with actually managing compliance, and even more managers are unaware of just how detrimental some of the fines and penalties can be.
For the convenience of New York State businesses, here are the federal and state penalties for non-compliance in 2024.
Federal Labor Law Penalties for 2024
Below are the five most important, and common labor law penalties to be aware of regarding federal labor laws. Important to note, is that the list is not all-inclusive, rather it includes the most common penalties.
Fair Labor Standards Act (FLSA)
For repeated or willful violations of the FLSA’s minimum wage or overtime requirements, the maximum monetary penalty is $2,451 for 2024.
In 2023, the fine was $2,374.
Penalties for violation of the FLSA’s child labor restrictions can be up to a maximum of $15,629 per under-18 worker, for 2024.
In 2023, the fine was $15,138.
Violations resulting in the child’s death will result in a fine of up to $71,031. This may be doubled for repeated or willful violations.
In 2023, the fine was $68,801.
Occupational Safety and Health Act (OSHA)
Under OSHA, the maximum penalty for posting, other-than-serious, serious, and daily failure-to-abate violations is $16,131 for 2024.
In 2023, the fine was $15,625.
The maximum penalty for willful violations is $161,323 for 2024.
In 2023, the fine was $156,239.
Family and Medical Leave Act (FMLA)
The penalty for failing to comply with the posting requirement of FMLA is $211 for 2024.
In 2023, the fine was $204.
Form I-9
The penalty for the first offense for substantive violations or uncorrected technical errors now ranges from $272 to $2,701 for 2024.
In 2023, the range was from $252 to $2,507.
Second and subsequent paperwork offenses now range from $5,404 to $27,108.
In 2023, the range was from $1,161 to $2,322.
The 2024 penalty for recruiting, referring, and rehiring unauthorized non-citizens ranges from $676 to $5,404 for the first offenses.
EEOC & Discrimination
Compensatory and punitive damages may be awarded in cases involving intentional discrimination based on a person’s protected class under Federal Equal Opportunity Employment Laws (for example, a person’s race, color, national origin, disability, etc.).
Maximum compensatory and punitive damages depend on the size of the employer and can still range from a recovery amount of $50,000 to a recovery amount of $300,000. This range for 2024 is unchanged from 2023.
In intentional age discrimination, or in cases involving intentional sex-based wage discrimination under the Equal Pay Act, victims cannot recover either compensatory or punitive damages, but may be entitled to liquidated damages in the amount equal to the back pay awarded to the victim.
New York State Labor Law Penalties for 2024
Below are the seven most important, and common labor law penalties to be aware of regarding New York State labor laws. Important to note, is that the list is not all-inclusive, rather it includes the most common penalties.
New York State Paid Sick Leave
Failure to provide benefits such as New York Sick Leave is equivalent to a failure to pay employee wages. Employers who fail to provide sick leave benefits may be subject to an order assessing the full amount of the wage underpayment, 100% of liquidated damages, and civil penalties up to double the amount to be due to the employee.
New York State Sexual Harassment Prevention
Fines start at $100 per employee for the first violation of New York State Sexual Harassment Laws and increase from there. Fines go up per employee and per number of violations which include not providing training to employees annually, not providing a sexual harassment prevention policy, and not supplying a complaint form.
New York State Paid Family Leave and Disability
During a period of noncompliance with New York State PFL and/or DBL benefits, penalties imposed on the employer would be a maximum of .5% of the employer’s payroll. Per additional periods of noncompliance, an additional, maximum penalty would be imposed of $500.
Failure to secure required PFL and/or DBL benefit insurance is a misdemeanor, which is punishable by a fine that could range from $100-$500, or imprisonment, or both.
A second violation of failing to secure PFL/DBL benefit insurance may range from $250-$1,250 and a third or subsequent violation of a maximum of $2,500.
New York State Worker’s Compensation Board
For employers with 5 or fewer employees, the penalty for failing to secure WC coverage within a 12-month period is a misdemeanor punishable by a fine between $1,000 and $5,000.
Failure to secure WC coverage for more than 5 employees within a 12-month period is a class E felony punishable by a fine between $5,000 and $50,000. Other penalties may apply.
If the Board does not receive information on an employer’s coverage, the penalties for non-compliance can be as high as $2,000 for every 10-day period without coverage. By the time an employer receives their first penalty notice, the penalty may be more than $12,000.
Meal Periods
Employers who fail to give employees their required meal periods under New York State Law must compensate employees for their time worked. If the time adds up to more than 40 hours in one week, the employee is entitled to overtime pay.
Labor Posting Requirements
Employers who fail to provide employees with digital copies of all required labor postings, and fail to post all required labor postings in a conspicuous place in the physical workplace, will be subject to monetary fines. Penalties may consist of $100 for the first offense, a fine between $100 and $500 for the second offense, and fines of not less than $300 for all subsequent offenses.
Businesses looking for an easy solution for labor law posting requirements should contact EBC regarding labor law poster services.
No-Fault Attendance Policies
Employers with No-Fault Attendance Policies should ensure that their policy does not apply demerits, points, or deductions to employees who take legally protected absences under federal, state, or local law. Some examples of legally protected absences include, but are not limited to, New York State Paid Sick Leave, New York State Disability, and New York State Paid Family Leave, and Family and Medical Leave Act (FMLA). Noncompliance with this can result in civil penalties, liquidated damages, rehiring/reinstatement of a discharged employee for their former or equivalent positions, and/or award pack pay or front pay. Civil penalties can be as high as $20,000.
Get Help With New York Labor Law Compliance
Businesses will want to look to avoid these fines at all times, as any single fine can be a big detriment to any business. Unfortunately, the fines don't end with the above list.
Businesses should also familiarize themselves with what is permissible via New York State At-Will Employment Law when terminating employees, in order to avoid any unnecessary fines.
For companies who are struggling with compliance management or companies that don't want to spend the time or resources on compliance management, New York HR Services may be the answer for you.
Contact us today to learn about how EBC HCM is already helping countless businesses with compliance management and human resources.
