New York 2025-2026 Regular Session

New York Senate Bill S07776

Introduced
5/6/25  
Refer
5/6/25  
Report Pass
5/20/25  
Refer
1/7/26  

Caption

Enacts the "faithless servant reform act", creating a rebuttable presumption of retaliation or discrimination for certain actions of an employer; provides that the employer maintains the burden of proof in certain actions against an employee; limits an employer's remedy of forfeiture against an employee's compensation.

Impact

The implementation of S07776 is expected to significantly reshape the landscape of labor law in New York. By altering the conditions under which employers can act against employees for alleged disloyalty, the bill intends to diminish the incidence of retaliatory practices within workplaces. Furthermore, it restricts the employers' ability to forfeit wages, ensuring that any potential forfeiture is limited to the pay periods in which disloyal acts occurred and does not affect minimum wage or overtime payments. This legislative measure aims to promote fair practices and enhance job security for workers.

Summary

Bill S07776, known as the 'Faithless Servant Reform Act', focuses on safeguarding employee rights in employment disputes, particularly concerning claims of disloyalty. The legislation establishes a rebuttable presumption of retaliation against employers who attempt to counter an employee's claim for unpaid wages by seeking forfeiture of compensation. This presumption shifts the burden of proof to employers, requiring them to demonstrate that their actions are not retaliatory. Such provisions aim to protect employees from unjust consequence for asserting their rights.

Contention

The bill sparked discussions regarding the balance of power between employees and employers. Proponents argue that it is necessary to prevent employers from misusing claims of disloyalty to evade payment of wages, while critics express concern that the language may impose undue burdens on employers. This legislation further clarifies the limited instances in which wage forfeiture is permissible, aiming to prevent vague interpretations that could result in excessive penalties against workers. The debate continues to focus on how this shift in law might impact employer-employee relationships and the enforcement of workplace standards.

Companion Bills

NY A08336

Same As Enacts the "faithless servant reform act", creating a rebuttable presumption of retaliation or discrimination for certain actions of an employer; provides that the employer maintains the burden of proof in certain actions against an employee; limits an employer's remedy of forfeiture against an employee's compensation.

Previously Filed As

NY A08336

Enacts the "faithless servant reform act", creating a rebuttable presumption of retaliation or discrimination for certain actions of an employer; provides that the employer maintains the burden of proof in certain actions against an employee; limits an employer's remedy of forfeiture against an employee's compensation.

NY S07453

Provides protection to employees and former employees from retaliatory actions by employers for the reporting of illegal or dangerous business activities.

NY S07437

Prohibits agreements between employers that directly restrict the current or future employment of any employee; allows for a cause of action against employers who engage in such agreements.

NY S2502

Protects bullying/psychological abuse in workplace inflicted upon employees by employers/co-employees/provides civil remedies to affected employees/fines against employers/imprisonment/fines against co-employees.

NY H8505

Protects bullying/psychological abuse in workplace inflicted upon employees by employers/co-employees/provides civil remedies to affected employees/fines against employers/imprisonment/fines against co-employees.

NY S0959

Protects bullying/psychological abuse in workplace inflicted upon employees by employers/co-employees/provides civil remedies to affected employees/fines against employers/imprisonment/fines against co-employees.

NY SB744

Labor; prohibiting employers from taking certain adverse actions against certain employees. Effective date. Emergency.

NY SB744

Labor; prohibiting employers from taking certain adverse actions against certain employees. Effective date. Emergency.

NY SB396

Labor and Industrial Relations; retaliatory actions by certain employers against certain employees for disclosing potentially unlawful activities; prohibit

NY HB5423

Labor: discrimination; employees who are victims of certain crimes; prohibit employers from discriminating against because of. Creates new act.

Similar Bills

HI HB126

Relating To Property Forfeiture.

HI SB722

Relating To Property Forfeiture.

CO HB1250

Procedures Related to Civil Asset Forfeiture

NJ SR80

Urges New Jersey Supreme Court to study reasonableness of lowering court fees in civil asset forfeiture cases.

HI SB320

Relating To Property Forfeiture.

HI SB320

Relating To Property Forfeiture.

HI SB722

Relating To Property Forfeiture.

AZ HB2324

Forfeiture; digital assets; reserve fund