What's happening
This bill allows the suspension of liquor licenses for employers who owe over $1,000 in unpaid wages or labor law violations until they resolve the violations.
Why it matters
Strengthens enforcement of labor laws by tying liquor licenses to compliance. Employers who violate wage or labor laws risk losing their ability to sell alcohol, creating a direct financial incentive to resolve violations quickly.
Targets significant violations. The suspension mechanism only applies when the employer owes more than $1,000 in unpaid wages or labor law violations, focusing on more serious or repeated offenders rather than minor infractions.
Creates a clear and time-limited path to compliance. Employers are given a 15-day window to address violations before the suspension process begins, ensuring due process but also swift action for workers seeking owed wages.
Enhances inter-agency cooperation. The Department of Labor and the State Liquor Authority are required to coordinate, potentially streamlining enforcement and making it harder for bad actors to operate with impunity in industries where liquor sales are central.
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Who cares
Headline styles
Suspend Liquor Licenses for Wage Theft
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to labor
- Referred to labor
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
167
2025-2026 Regular Sessions
IN SENATE (Prefiled)
January 8, 2025
Introduced by Sen. RAMOS -- read twice and ordered printed, and when printed to be committed to the Committee on Labor
AN ACT to amend the labor law and the alcoholic beverage control law, in relation to suspending certain liquor licenses of employers who are in violation of certain provisions of the labor law
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 1 of section 219 of the labor law, as amended by chapter 564 of the laws of 2010, the opening paragraph as further amended by section 104 of part A of chapter 62 of the laws of 2011, is amended to read as follows:
1. (a) (i) If the commissioner determines that an employer has failed to pay wages, benefits or wage supplements required pursuant to article six (payment of wages), article nineteen (minimum wage act) or article nineteen-A (minimum wage standards and protective labor practices for farm workers) of this chapter, or a rule or regulation promulgated thereunder, the commissioner shall issue to the employer an order directing compliance therewith, which shall describe particularly the nature of the alleged violation. A copy of such order shall be provided to any employee who has filed a complaint and to [his or her] such employee's authorized representative. Such order shall direct payment of wages or supplements found to be due, liquidated damages in the amount of one hundred percent of unpaid wages, and interest at the rate of interest then in effect as prescribed by the superintendent of financial services pursuant to section fourteen-a of the banking law per annum from the date of the underpayment to the date of the payment.
(ii) At the discretion of the commissioner, the commissioner shall have full authority to provide for inclusion of an automatic fifteen percent additional amount of damages to come due and owing upon expiration of ninety days from an order to comply becoming final. The commis-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00687-01-5
sioner shall provide written notice to the employer in the order to comply of this additional damage.
(b)(i) If the commissioner determines the employer is in violation of article six (payment of wages), article nineteen (minimum wage act), article nineteen-A (minimum wage standards and protective labor practices for farm workers), section two hundred twelve-a, section two hundred twelve-b, section one hundred sixty-one or section one hundred sixty-two of this chapter, or a rule or regulation promulgated thereunder, and such aggregate amount exceeds one thousand dollars, the commissioner shall notify the employer of such violation, in writing, and such employer shall have fifteen days to address all violations. If the employer does not address all violations within the allotted fifteen-day period, the commissioner shall notify the chair of the state liquor authority, in writing, of the name and address of any employer holding a license pursuant to section sixty-four of the alcoholic beverage control law authorizing the sale of liquor at retail for consumption on the premises to suspend such license.
(ii) The chairperson of the state liquor authority shall act in accordance with sections one hundred eighteen and one hundred nineteen of the alcoholic beverage control law; provided, however, that the chairperson shall not reinstate a license suspended pursuant to subparagraph (i) of this paragraph until the chair receives written notice from the commissioner that the employer whose license was suspended is in compliance with article six (payment of wages), article nineteen (minimum wage act), article nineteen-A (minimum wage standards and protective labor practices for farm workers), section two hundred twelve-a, section two hundred twelve-b, section one hundred sixty-one or section one hundred sixty-two of this chapter, and any rule or regulation promulgated thereunder.
§ 2. Section 119 of the alcoholic beverage control law is amended by adding a new subdivision 6 to read as follows:
6. Where a licensee is found to be in violation of article six (payment of wages), article nineteen (minimum wage act), article nineteen-A (minimum wage standards and protective labor practices for farm workers), section two hundred twelve-a, section two hundred twelve-b, section one hundred sixty-one or section one hundred sixty-two of the labor law, or any rule or regulation promulgated thereunder, and such aggregate amount exceeds one thousand dollars, as determined by the department of labor and the chair of the authority is notified of such violations, the authority shall suspend such license in accordance with this section and the provisions of subdivision one of section two hundred nineteen of the labor law.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the labor law and the alcoholic beverage control law, in relation to suspending certain liquor licenses of employers who are in violation of certain provisions of the labor law
Purpose
Amends the labor and the alcoholic beverages control law to suspend certain liquor licenses of employers violating certain provisions of the labor law.
Summary of provisions
Section 1. Amends the opening paragraph of Subdivision 1 of Section 219 of the labor law stating that if the commissioner determines that an employer has not paid required wages, benefits, or wage supplements, the commissioner shall issue the employer an order of compliance addressing the violation. This order of compliance shall result in payment of outstanding wage, or the commissioner shall notify the State Liquor Authority of such violation.
Section 2. Amends Section 119 of the alcoholic beverage control law to suspend licenses that violate worker protection legislation, exceeding an aggregate amount of one thousand dollars, as determined by the Department of Labor.
Section 3. This act shall take effect immediately
Justification
Every year in New York State, thousands of workers have their wages stolen, very predominately from the restaurant industry. From 2017 through 2021, Federal and State investigators found more than 13,000 cases of wage theft, according to an analysis of two databases obtained from the U.S. and New York Labor departments. The databases provide previously unreported details on how much money has been stolen from workers and also shed light on which businesses have committed wage theft. In all, federal and state investigators determined during the five-year period that more than $203 million in wages had been stolen from about 127,000 workers in New York, the analysis shows.
Federal and State investigators determined that more than $52 million had been stolen from people working in restaurants, more than in any other industry in New York, accounting for more than 25% of all reported wage theft, the analysis shows. This bill is needed to act as a preven- tative measure and increase the likelihood that victims of wage theft will be able to secure payment of wages due from their employers.
Legislative history
2023-24: S8451 (Ramos) Referred to Labor / A9033 (Epstein) referred to labor
Fiscal impact
To be determined
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.