New York’s Proposed Wage Payment Integrity Act: What Employers Should Be Doing Now

New York lawmakers have passed Senate Bill 2236-A, known as the “Wage Payment Integrity Act” (the “Act”), which would significantly expand what qualifies as protected “wages” under the New York Labor Law (“NYLL”) and would give employees enhanced tools to recover unpaid compensation. The Act would modify NYLL §§ 190, 195, and 198-c to widen the statutory meaning of “wages,” establish a rigorous disclosure standard for any compensation an employer wishes to classify as purely discretionary, introduce an evidentiary presumption against employers where an employer fails to provide written employment terms, and clarify civil remedies available to higher-paid employees. Should the Act become law, any employee compensation not expressly reserved to the employer’s sole and absolute discretion could fall within the statutory definition of wages, representing a major shift that could capture bonuses historically treated as discretionary and outside the scope of the Act (e.g., those linked to team performance, departmental objectives, or company-wide results). READ MORE