Assemblymember Steck’s Legislation Cracks Down on Wage Theft

Assemblyman Phil Steck (D-Colonie) announced that legislation he authored and passed earlier this year to prevent foreign limited liability companies (LLCs) from committing wage theft in New York passed the state Senate and is now on its way to the governor (A.453).

“New Yorkers work hard for their money and deserve to be paid every dime they’ve earned,” Steck said. “Businesses have an obligation to pay their employees for the work they perform and unscrupulous companies scamming New Yorkers will not be tolerated. My legislation makes sure all businesses that employ New Yorkers play by the rules.”

Steck’s bill will ensure that foreign LLCs are treated the same as New York-based LLCs, holding the 10 largest shareholders responsible for unpaid wages if the company fails. A longtime advocate of workers’ rights, Steck has championed this legislation for years. The measure builds on a law that Steck authored in 2015 to hold shareholders of out-of-state corporations liable for back wages owned to New Yorkers (Ch. 421 of 2015). He also authored legislation last year that would crack down on contracts that put employees and consumers at risk, including ones that force arbitrations in other states (A.423).