Legislation Introduced to Fight Wage Theft (3/12/10)

The RWDSU joined with the community group Make the Road New York, New York State Senator Diane Savino, New York State Assembly Member Carl Heastie, and the other members of Coalition to Prevent Wage Theft & Protect Responsible Businesses today in front of the SOHO location of Scoop NYC to announce the introduction of comprehensive state legislation to reform the New York State Labor Law (S.7050/A.10163). The legislation would help put an end to wage theft by stores like Scoop NYC, which illegally withheld half a million dollars in overtime pay from workers. The coalition is comprised of low-income workers, not-for-profit organizations, civic legal organizations, labor unions, and small businesses.

"New York State has become a free- fire zone for the abuse of low wage workers. This vital piece of legislation must be passed now," said RWDSU President Stuart Appelbaum (above).

Ana Maria Archila (above), Co-Executive Director of Make the Road New York said, “Wage Theft is rampant in New York – in NYC alone, more than $18.4 million a week and nearly $1 billion each year is stolen from workers and their families by their employers. This money that would otherwise be spent on food, rent and school supplies. This bill will turn around the perverse economic incentives that currently encourage wage theft, undermine responsible businesses, and steal from our tax base.”

Low income workers were on hand to tell their stories of being robbed of wages.

“For six years, I have been working as a cashier at a shop in Brooklyn for less than the minimum wage,” Modesta Turbio said. “When I started, I was paid $5 per hour, and now I get $6.60. My boss knows he’s breaking the law, but he feels confident that he won’t ever have to pay up.”

“Businesses that are good citizens and pay their employees, exactly what is owed them and on time--as is required by law--should not be at a disadvantage to companies that are illegally witholding wages from thei workers.  Wage theft not only hurts hard-working families who are trying to make ends meet in this difficult economy, but also hurts New York State taxpayers," said Senator Diane J. Savino.

Assemblyman Heastie added, “Responsible businesses can’t compete when law-breaking employers are driving down pay rates. The Wage Theft Prevention Act is a comprehensive bill to change the perverse incentive by increasing penalties, increasing protection for workers who speak up, and adding tools that the Department of Labor and Courts can use to investigate cases and actually collect the money that workers are owed.”