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Bill > S07438


NY S07438

NY S07438
Relates to prohibiting contract provisions that waive certain substantive and procedural rights relating to a claim of discrimination, non-payment of wages or benefits, retaliation, harassment or violation of public policy in employment.


summary

Introduced
04/16/2025
In Committee
04/16/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the labor law, in relation to contract provisions waiving certain substantive and procedural rights

AI Summary

This bill aims to protect employees from contractual provisions that could undermine their rights in employment-related disputes by establishing new legal protections under New York labor law. Specifically, the bill prohibits any contract provisions that waive an employee's substantive or procedural rights related to claims of discrimination, wage or benefit non-payment, retaliation, harassment, or public policy violations in employment. Such waiver provisions would be deemed unconscionable, void, and unenforceable. The bill also prohibits contract provisions that attempt to conceal details about these types of claims, including those submitted to arbitration. Additionally, the law prevents employers from taking retaliatory actions against employees who refuse to sign agreements containing these prohibited waiver clauses. Employers who attempt to enforce such unconscionable waivers can be liable for reasonable attorney's fees and costs. Employees who are aggrieved by violations of this section can file a civil action within three years, seeking tort remedies, injunctive relief, litigation costs, and attorney's fees. The bill explicitly does not apply to collective bargaining agreements and does not preempt other available legal remedies. The law will take effect immediately and apply to all contracts entered into, renewed, modified, or amended on or after its effective date.

Committee Categories

Labor and Employment

Sponsors (4)

Last Action

REFERRED TO LABOR (on 04/16/2025)

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