Pagan Lopez

NEW YORK LABOR LAW CHANGES FOR 2025: WHAT EMPLOYERS NEED TO KNOW – PART 2

In our previous blog, we presented three key laws that will bring significant changes to labor regulations in New York. Now, we continue with a second part where we dive into more essential updates that every employer should be aware of to be prepared for 2025.

THE “FREELANCE ISN’T FREE” LAW

What is a Freelancer?

A freelancer is a self-employed professional who offers services to clients on a project or contract basis rather than being committed to a single employer. Freelancers typically work in fields like writing, design, programming, marketing, and consulting, enjoying flexibility in their schedules and choice of projects.

What was the situation before?
Freelancers often faced difficulties in receiving timely payments or faced disputes with employers due to the lack of clear written agreements.

What happened?
The Freelance Isn’t Free Act, was enacted on November 16, 2016, and went into effect on May 15, 2017, for all the boroughs of New York City. However, since August 28, 2024, the “Freelance Isn’t Free” law went into effect in New York state. Now, the law has been expanded statewide, extending these protections beyond New York City to all freelance workers across New York State.

What does this mean for employers?
Employers must now ensure they have a written contract with freelancers hired for over $800 of work. It has to include key details such as services to be provided, payment terms, and deadlines. Employers may be subject to civil penalties, including fines of up to $1,000 – $3,000 per violation. Additionally, freelance workers can bring actions in court for damages, and prevailing plaintiffs are entitled to reasonable attorney’s fees and costs.

UPDATES TO THE NEW YORK PAID FAMILY LEAVE LAW

What was the situation before?
The New York Paid Family Leave Law (NYPFLL) has been in effect for several years, but the paid benefits were not as substantial, and employee contributions were not clearly defined.

What happened?
Starting January 1, 2025, significant changes to the New York Paid Family Leave Law will take effect.

What does this mean for employees?
Qualified employees will be eligible for up to 12 weeks of paid leave for specific family-related reasons, such as the birth, adoption, or placement of a new child, caring for a family member with a serious health condition, or a qualifying exigency arising from a family members military service. The weekly benefit is calculated as a percentage of the employees average weekly wage, with a cap based on the state average weekly wage. Additionally, mothers and expecting mothers will be entitled to 20 hours of paid prenatal leave and 30 minutes of daily paid break time for expressing breast milk for up to three years post-childbirth.

What does this mean for employers?

Employers must provide employees with said coverage and must display a notice of compliance and provide written notification of rights to employees taking paid family leave for more than seven consecutive days.

AMENDMENTS TO THE NEW YORK CITY HUMAN RIGHTS LAW

What was the situation before?
Before the amendments, some employers could make agreements that shortened timeframes for filing discrimination or harassment claims, limiting employees’ options to defend their rights.

What happened?
On May 11, 2024, amendments to the New York Human Rights Law came into effect.

What does this mean for employers?
The new amendments prohibit employers in the city from agreeing to shorten the timeframes for filing claims or complaints regarding discriminatory practices, harassment, or violence, thereby expanding legal protections for employees. Employers must review their employment agreements to ensure they comply with this regulation.

WORKERS’ RIGHTS POSTER: DISPLAY REQUIREMENT BEGINNING JULY 1, 2024

What was the situation before?
Not all employers were required to provide clear and accessible information about workers’ rights, making it difficult for many employees to be aware of their labor rights.

What happened?
Beginning July 1, 2024, New York City employers must post the “Know Your Rights at Work” poster  (which contains detailed information about labor rights) both in a visible workplace location and online.

What does this mean for employers?
This notice should be provided to all current employees by July 1, 2024, and to new employees by their first day of work. Additionally, New York State law requires employers with over fifty full-time employees to display a veterans’ benefits poster with information on available services for veterans. Employers must also offer digital versions of all required workplace notices on their websites or via email, ensuring accessibility to employees. In case of non-compliance, employers will have 30 days to correct any violation before facing penalties, including a civil fine of $500.

These updates are crucial for employers in New York to stay up-to-date with the new labor regulations. If you have any questions or need guidance on how to comply with these laws, feel free to contact us. At Pagan Lopez Law, we are here to help you navigate these legislative changes and ensure your business complies with all current regulations.

Contact us today to answer your questions!

×