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A1167Assembly2025-2026 Session

Hazard Pay for Essential Workers

Official title

“Relates to providing hazard payments to essential workers during a state disaster emergency”

Sponsor Nily RozicAD-25+12 co-sponsorsAffects Economy
Status
In Assembly Committee
Labor
Impact
8/10
Significant
Passage
17%

Bill progress

Step 2 of 7

In committee · Labor

What's happening

This bill requires employers to provide hazard payments to essential workers during a declared state disaster emergency in New York.

Why it matters

  1. Expands the definition of "essential worker". to include a wide range of roles beyond health care, such as grocery workers, transportation employees, utility workers, child care providers, and others directly supporting critical infrastructure during emergencies—potentially covering hundreds of thousands of New Yorkers.

  2. Targets large businesses and retail chains. by requiring hazard payments from formula retail stores, large employers (with $50 million+ in annual revenue), transportation companies, and certain franchisees or subcontractors—while exempting manufacturers and nonprofits. This focuses financial responsibility on major employers with significant resources.

  3. Sets clear financial parameters for hazard pay. , capping annual payments at $25,000 for workers earning less than $200,000, and $5,000 for those earning more. This aims to provide meaningful compensation to front-line workers, especially those in lower-wage jobs, while preventing disproportionately high payouts to top earners.

  4. Empowers the state labor commissioner with broad authority. to determine payment amounts and issue necessary regulations, which means the details of implementation (such as payment rates and enforcement mechanisms) could change with each declared emergency—potentially leading to faster, more responsive support in crises, but also regulatory uncertainty for employers.

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Who cares

  • Essential workers at covered employers

    Workers facing unavoidable, clear and direct health and safety hazards during a state disaster emergency would receive hazard pay in addition to their regular salary, without reducing other benefits.

  • Retail and restaurant chains, transportation businesses and large employers

    Covered employers would have to fund hazard payments at a percentage or fixed dollar amount set by the labor commissioner.

  • Franchisees and service subcontractors

    Employers providing services such as janitorial work, security, staffing and food services to covered businesses would also face hazard-pay requirements for qualifying essential workers.

  • New York State Department of Labor

    The labor commissioner would direct covered employers to make hazard payments, set payment amounts within the bill’s caps and adopt implementing regulations.

Headline styles

Hazard Pay for Essential Workers

Plain English, a few words. Used as the page title.

Sponsors

History

  1. Referred to labor
  2. Referred to labor

Full text

2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

1167

2025-2026 Regular Sessions

IN ASSEMBLY

January 9, 2025

Introduced by M. of A. ROZIC, CRUZ, EPSTEIN, GIGLIO, HEVESI, LUNSFORD, McDONOUGH, OTIS, REYES, ROSENTHAL, SEAWRIGHT, SIMON, WEPRIN -- read once and referred to the Committee on Labor

AN ACT to amend the labor law, in relation to providing hazard payments to essential workers during a state disaster emergency

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. The labor law is amended by adding a new section 196-e to read as follows:

§ 196-e. Essential worker hazard payments. 1. For the purposes of this section:

(a) "essential worker" means any employee of an employer providing essential services or functions during any state disaster emergency declared pursuant to article two-B of the executive law and designated as an essential worker pursuant to any law, rule, regulation or executive order including but not limited to essential health care operations including research and laboratory services; essential infrastructure including utilities, telecommunication, airports and transportation infrastructure; essential retail including grocery stores and pharmacies; essential services including trash collection, mail, and shipping services; news media; banks and related financial institutions; providers of basic necessities to economically disadvantaged populations; construction; vendors of essential services necessary to maintain the safety, sanitation and essential operations of residences or other essential businesses; vendors that provide essential services or products, including logistics and technology support, child care and services needed to ensure the continuing operation of government agencies and provide for the health, safety and welfare of the public;

(b) "employer" means a formula retail store, large employer, transportation business, or franchisee or subcontractor, and includes any individual, partnership, association, corporation, limited liability compa-

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD03422-01-5

ny, business trust, legal representative, or any organized group of persons acting as such an employer;

(c) "formula retail store" means any employer that operates a retail sales or restaurant establishment either directly or through franchisees and that, along with eleven or more other retail sales or restaurant establishments located in the United States, maintains two or more of the following features: (i) a standardized array of merchandise, a standardized facade, a standardized decor and color scheme, a uniform apparel, standardized signage, a trademark; or (ii) a servicemark;

(d) "large employer" means any employer that has annual gross revenue of fifty million dollars or more, but shall not include: (i) an employer whose principal industry is manufacturing; or (ii) a not-for-profit organization. An employer shall be deemed to have annual gross revenue of fifty million dollars or more if it had revenue at or exceeding that level in any of the past three fiscal or calendar years;

(e) "manufacturing" means the process of working raw materials into products suitable for use or which gives new shapes, new quality or new combinations to matter which has already gone through some artificial process by the use of machinery, tools, appliances, or other similar equipment;

(f) "not-for-profit organization" means an entity exempt from taxation under section 501(c)(3) of the federal internal revenue code;

(g) "transportation business" means any industry, business, or establishment operated for the purpose of conveying persons or property from one place to another whether by rail, highway, air, or water, and all operations and services in connection therewith; and

(h) "franchisee or subcontractor" means any employer that operates under a franchise agreement with a formula retail store or large employer, or that provides services, including but not limited to janitorial, maintenance, security, staffing, passenger services, food services, or temporary services to a formula retail store, large employer, or transportation business.

2. During a state disaster emergency, when essential workers are exposed as a result of their work assignments to an unavoidable, clear and direct risk and hazard to safety and health, the commissioner shall direct all employers of essential workers to make hazard payments to such essential workers. Such payment shall be a percentage or a fixed dollar amount, as prescribed by the commissioner, provided, however, no hazard payment shall exceed twenty-five thousand dollars in any year for any essential worker earning less than two hundred thousand dollars per year or five thousand dollars for any essential worker earning more than two hundred thousand dollars. Such payments shall be in addition to and shall not be part of an essential worker's basic annual salary, and shall not affect or impair any performance advancement payments, performance awards, longevity payments or other rights or benefits to which an essential worker may be entitled. A hazard payment shall be terminated upon the cessation of the state disaster emergency.

3. The commissioner shall adopt regulations necessary to carry out the provisions of this section.

§ 2. This act shall take effect immediately.

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.