While it may have been a relatively silent night for employers in 2025, Albany’s legislative elves toiled away to gift employers with plenty of stocking stuffers to look forward to in 2026. Before you ring in the new year, take a moment to unwrap key New York employment laws enacted in 2025, peek into the bills awaiting a signature, and preview what may arrive down the chimney in early 2026.
2025 ENACTED LAWS – THIS YEAR’S FULLY WRAPPED GIFTS
NYC Earned Safe and Sick Time Act (ESSTA) Expansion
Effective February 22, 2026:
- Expanded qualifying reasons for leave.
- Created new leave entitlements.
- Transferred obligation under Temporary Schedule Change Act to the ESSTA.
- Details available HERE.
Amendments to the New York Retail Worker Safety Act (RWSA) (S740/A1678)
- Postponed effective date for policy, training, and notice requirements to June 2, 2025.
- Eased training requirement for small businesses.
- Modified headcount requirement for silent response buttons.
- Details available HERE.
Expanded New York Public Employment Relations Board’s (PERB) Authority (S8034A)
Effective September 5, 2025 – currently blocked by preliminary injunction:
- Allows PERB to step in if the NLRB does not successfully assert jurisdiction.
- Authorizes PERB to certify existing bargaining units and maintain status quo throughout the verification process.
BILLS PASSED BY BOTH HOUSES – GIFTS ASSEMBLED AND AWAITING A BOW
Anti-Retaliation for Accommodation Requests (S3398/A4898): Clarifies that requesting an accommodation is protected activity under the New York State Human Rights Law (NYSHRL).
Codifies Disparate Impact Under the NYSHRL (S8338/A8699A)
- Provides that discriminatory effect (regardless of intent) may establish liability.
- Includes defense for business necessity and no less discriminatory alternative.
- Pushes back on Executive Order 14281, which is intended to eliminate the use of disparate-impact liability (see HERE).
Ban on Credit History in Employment Decisions (S3072/A1316)
- Prohibits requesting or using consumer credit reports in most employment decisions.
- Includes limited statutory exceptions.
Liberal Interpretation of New York Labor Law (NYLL) (S7388/A7863)
- Directs courts to broadly interpret NYLL protections for workers and to narrowly construe exceptions.
- Aims to secure workers’ wage floors and protect workers against retaliation.
Trapped at Work Act (S4070B/A584C)
- Bans repayment obligations tied to an employee’s decision to leave.
- Applies to employees, independent contractors, externs, interns, volunteers, apprentices, and sole proprietors.
New York Health Information Privacy Act (S929/A2141)
- Regulates how entities collect and use physical or mental health data.
- Applies to New York-based entities and out-of-state entities processing data of New York residents or visitors.
PENDING 2025 LEGISLATION – GIFTS STILL IN THE WORKSHOP
Discrimination & Harassment
- Lowers Standard for Proving Discrimination (S2447/A4992): Clarifies that a plaintiff need only show an unlawful motive was a “motivating factor” – not the “sole” or “but-for cause” – in a NYSHRL discrimination or retaliation claim.
- Ban on Age-Related Inquiries (S2271/A1037): Prohibits asking for age, birthdate, or graduation year unless it is a bona fide occupational qualification.
- Sexual Harassment Training Acknowledgment (A368): Requires employers to obtain, and retain for six years, a signed acknowledgment of policy and training information.
- Extended Filing Deadline for Workplace Discrimination Claims (S1142/A188): Extends statute of limitations from three to six years.
- Increased Penalties Under Workers’ Compensation Law (A9009): Triples damages for discriminatory conduct with half the penalty payable to the employee.
Wage & Hour/Labor Protections
- Stop-Work Orders for Employee Misclassification (S1514/A6664): Authorizes issuance of stop-work orders against employers who knowingly misclassified employees as independent contractors and fail to cure within 72 hours of notice.
- Stop-Work Orders for Wage & Hour Violations (S162/A7421): Authorizes issuance of stop-work orders for unpaid wages that exceed $1,000 and fail to be cured within 72 hours of notice.
- Labor Law Enforcement Parity Act (S4473/A5000): Confirms entitlement to both statutory and liquidated damages in wage theft class actions.
- Empowering People in Rights Enforcement Worker Protection Act (S448A/A4278A): Allows individuals and labor organizations to bring public enforcement actions where the state is unable to fully enforce labor law protections.
Leave & Accommodations
- Temporary Disability Insurance Enhancements (S172/A84): Expands short-term disability benefits by providing annual benefit increases through 2029 to match Paid Family Leave levels; six weeks of Paid Family Leave for stillbirths; updated contribution rates; and daily intermittent leave option.
- Flexible Working Arrangements Requests (A218): Requires employers to evaluate flexible working arrangement requests based on burden of undue costs; effect on employee morale or the ability to meet consumer demand; inability to reorganize work with existing staff or inability to recruit additional staff; impact on business quality or performance; insufficiency of work during the time the employee requests to work; planned structural changes; and any other reasons specified by the Labor Commissioner.
Employment Contracts and Agreements
- Prohibition on Non-Compete Agreements (S4641A): Bans non-competes for most employees earning less than $500,000 and certain health professionals. See details HERE.
- No Severance Ultimatums Act (S372A): Establishes attorney notice requirement, and consideration and revocation periods for severance agreements.
- “Unconscionable” Contract Terms (S4996/A636): Limits the use of contract provisions that are neither negotiated nor bargained for by defining certain terms in standard form contracts as presumptively “unconscionable.”
- Anti-Waiver of Employment Rights Act (S4424A/A5411A): Invalidates most waivers or limitations on substantive or procedural rights, remedies, or claims under the NYLL and NYSHRL, with the exception of certain post-dispute waivers in severance and settlement agreements.
- NDA Notice Requirement (S496/A618): Requires express notice to employees that non-disclosure provisions do not prevent them from speaking to law enforcement, civil rights agencies, or their attorney.
Worker Protections and Well-Being
- Restrictions on Electronic Monitoring and AEDTs (S185A/A3779A): Restricts use of electronic monitoring and automated employment decision tools by prohibiting primary reliance on the tools to make employment decisions; requiring pre-use notice to affected individuals; mandating annual impact assessments; and granting employees access to AEDT data used to make employment decisions.
- Whistleblower Protections (S502): Prohibits retaliation against employees for disclosing or threatening to disclose violations of internal fraud prevention controls.
- Heat-Related Illness Prevention Plan (A365): Requires written heat-related illness prevention plans and training to employees who may be exposed to high heat levels.
- Mental Health Resource Posting (S381): Mandates workplace posting with information on mental health awareness and support.
Employer Takeaways
Before the New York legislative session resumes in 2026, employers should:
- Update ESSTA policies to reflect the new entitlements.
- Continue to comply with obligations under the RWSA, including 2027 silent response button requirements.
- Monitor pending bills that may advance quickly.
- Schedule training on updated policies to mitigate risk heading into 2026.
If you have any questions related to any new laws or pending legislation, or need assistance getting your workplace ready for 2026, please reach out to the NFC Attorney with whom you typically work or call us at 973.665.9100.