As we reported earlier, last year, New York amended its wage deduction statute [pdf] and greatly expanded categories of permissible deductions from employees’ pay. In an earlier post, we discussed the regulations interpreting Labor Law Section 193 proposed by the New York Department of Labor. The New York Department of Labor has now adopted those proposed regulations [pdf], and they went into effect on October 9, 2013.
Employers should review the permissible deductions for the “benefit” of the employee to identify if there are additional benefits they want to offer employees through payroll deduction. Additionally, employers should consider developing policies, procedures, and notices that conform to the requirements of the regulations, in order to permit them to make deductions for overpayments and for advances.