Failure to Comply with Wage Notice Provisions of New York Law Brings Steep Penalties.

• Author: DeMaria, Alfred T.
• Position: [HR UPDATE]

* With the recent flurry of litigation surrounding the technicalities of complying with wage statement requirements, many insurance industry executives are taking the opportunity to review their compliance with wage statement and wage notification laws. The New York law is part of a growing trend to ensure greater wage transparency. Neighboring states are developing similar laws and these should completely be monitored.

New York's Wage Theft Prevention Act requires an employer to provide written notice of compensation to employees in their own languages. Foreign language forms are available via the New York State Department of Labors website. The following must be included in the wage notification:

* Regular pay day;

* Rate of pay;

* How the employee is paid: by the hour, shift, day, week, piece, commission, etc.

* Official name of the employer and any names used for doing business;

* Address and phone number of the employers main office or location; and

* Allowances taken as part of the minimum wage: tips, meal, lodging, etc.

The notice of compensation must be provided both at the time of hire and a week before any changes are made. However, wage notifications are not required when the rate of pay increase and the new rate is indicated on the next wage statement.

The Act also requires employers to provide employees' wage statements at each pay period. The wage statements (which may be in the form of a paystub) must include:

* Employee's name;

* Employer's name, address, and phone number;

* Dates covered by the payment;

* Hours worked: regular and overtime;

* Rate of pay;

* How the employee is paid: by the hour, shift, day, week, piece, commission, etc.;

* Employee's gross and net wages;

* Itemized deductions; and,

* Allowances taken as part...