New York is the city that “never sleeps”. It is full of life and every year there is an influx of people from all parts of the world who come to this metropolitan city with the dreams of creating a life for themselves. This also means that the NY job market is highly competitive, and the recruiters are always on the lookout for an exceptional workforce. Another factor that makes working in NY very desirable is that companies here relatively pay higher salaries to their employees. Here is a recap of four of the biggest changes in New York labor laws that would affect both employers and employees in 2022 and beyond.
New York Labor Law Amendments – More Leeway for Employees?
The New York employment statutes have seen some significant amendments along with some completely new laws, thereby placing a new set of obligations on the recruiters.
The amendments aren’t just related to minimum wage and the Covid-19 pandemic but are also about other pivotal issues such as whistleblowing, salary range, remote monitoring of employees, and the usage of artificial intelligence in the recruitment process. With so many significant changes made in such little time, it’s hard to keep track of them. Here are the key points for you to gain perspective on the gravity and impact of these amendments.
Amendments Pertaining to Remote Monitoring
This amendment will be in effect as of May 7 and it is pertinent to those employers who keep tabs on their employees’ emails, calls, internet usage, etc. Such employers are required to notify their employees beforehand and post a formal notice so that all employees are aware of the monitoring.
The law requires that this formal notice should be posted in a “conspicuous” place for all the employees to see, and the communication should be preferably made electronically so that not just the full-time employees but also the part-time workers are kept in the loop. In addition to issuing a formal notice, employees must also issue this in their employee handbook.
Job Postings and Salary Ranges
This amendment will be effective from 15th May 2022. It requires employers to mention salary ranges in the relevant job offer postings. The purpose of this is to make the employment process more transparent. In addition to that, this law will make it unlawful for any employer to post about a job, transfer, or promotion without mentioning the maximum or minimum salary in their job posting.
Any employer having four or more employers is legally bound to abide by this law. However, this law doesn’t apply to staffing firms or temporary job positions. Any employer or company that fails to comply with this law will be charged with fines and penalties of a maximum of $125,000.
The laws related to whistleblowing were put into effect on 26th January 2022. The purpose of this law is to protect employees from any potential retaliatory actions taken by their employers and contractors in the event of whistleblowing.
This law will also provide employers with the opportunity to fix or reverse their illicit business activities and conducts.
As per this law, employers are advised to include this amendment in their employee handbook to encourage employees to bring any illegal activities at their workplace to the attention of the competent authorities.
Artificial Intelligence and the Screening Process
Over the last decade, many employers and agencies have embraced Artificial Intelligence to automate the job screening process.
However, with the recent amendments in the New York employment laws, such employers and agencies will now face certain limitations in regards to the type of AI tools they can use.
The laws pertaining to AI tools will be in effect from 1st January 2023. The new laws are meant to prohibit employers and companies from incorporating AI tools in the screening process without conducting an audit at least a year before deploying the AI tool.
In addition to that, the companies are also required to post a summary of the audit report on their official website and employees must be informed about the usage of AI tools in the screening at least ten days prior. A fine of $500 to $1500 will be imposed if companies and employers fail to comply with this law.
Undoubtedly, there will be many employers and agencies that will have a hard time complying with these laws. However, many will have to face no inconvenience. All in all, the new set of laws will protect employees in the long run and help them protect their privacy, while also promoting transparency across NY workplaces.