Generally speaking, in New York, employers are not allowed to make workers personally pay for broken or lost company property by deducting money from their wages. The state’s employment laws are clear that wage deductions can only occur in very limited circumstances, such as for benefits or other authorized purposes. Losses like damaged equipment, cash shortages, or fines are specifically excluded. In other words, an employer cannot simply reduce your paycheck to cover those costs.
The governing rule is found in New York Labor Law Section 193, which prohibits employers from taking money out of wages unless the deduction is expressly permitted by law or authorized by the employee for approved categories.
Because deductions for breakage or loss are not listed among those categories, they are considered unlawful. Even if the damage was caused by carelessness, the employer must absorb the cost rather than passing it on to the employee through wage deductions.
That said, employers are not without recourse. If an employee intentionally destroys property or engages in misconduct, then the employer may pursue discipline, termination, or even legal action through New York equipment deduction laws.
However, in ordinary cases of accidental loss or damage, the financial responsibility rests with the employer. Workers who experience improper deductions have the right to file a complaint with the New York Department of Labor to recover their wages.
Should you have any questions regarding charges for lost or damaged equipment, then it is recommended to set up a New York lawyer consultation in the near future. New York lawyers in your area will be familiar with handling such matters. They can answer any questions you may have.
In New York, Can Employers Force Payment To Cover the Loss?
No, as noted above, employers in New York cannot legally force employees to pay for losses such as broken equipment, cash shortages, or other damages by deducting money directly from their wages.
Under New York law, wage deductions are only permitted in very specific circumstances, such as for insurance premiums, pension contributions, or other authorized benefits. Any deduction outside of those categories, including those meant to cover business losses, is considered unlawful.
Even if an employee accidentally damages property or loses company equipment, the employer must absorb the cost rather than passing it on through paycheck deductions. Attempting to make workers cover losses in this way violates state labor protections. In fact, employees can file complaints with the New York Department of Labor to recover improperly withheld wages.
Once again, employers may still respond to negligence or misconduct through discipline, termination, or, if the loss was intentional, civil or criminal action. In ordinary cases of accidental damage, the law makes clear that the financial burden rests with the employer, not the employee.
Additionally, New York law also provides further safeguards to ensure that employees are not unfairly penalized for workplace losses. New York Labor Law Section 198 allows employees to bring civil actions to recover unpaid wages, including those unlawfully deducted under Section 193.
This means that if an employer improperly charges an employee for damaged or lost property, the worker may not only recover the withheld wages but also seek additional remedies such as liquidated damages and attorney’s fees. These protections reinforce the principle that wage deductions must strictly comply with statutory requirements and cannot be used as a tool to shift business risks onto employees.
Moreover, employers must also comply with broader labor protections when addressing workplace issues. For example, if an employer selectively enforces repayment demands or disciplinary measures in a way that discriminates against certain employees based on race, gender, age, or other protected categories, such conduct could violate New York State Human Rights Law.
As mentioned above, employers retain the right to discipline or terminate employees for misconduct. However, they cannot impose financial liability in violation of wage laws, nor can they enforce policies in a discriminatory manner. Together, both of these statutes ensure that employees are shielded both from unlawful wage deductions and from discriminatory practices in how workplace losses are handled.
New York State Laws About Charging Employees for Damaged or Lost Property
Once again, employers in New York are prohibited from charging employees directly for damaged or lost property through wage deductions. Under New York law, deductions from wages are only allowed in very limited circumstances, such as for insurance premiums or union dues, and losses like broken equipment or missing items are not included.
If an employer attempts to deduct wages to cover such losses, it is considered unlawful. Importantly, if the damage or loss occurred because of a workplace accident, the matter may instead fall under workers’ compensation, which provides coverage for injuries and related incidents without shifting the financial burden onto the employee.
Employers must also be careful that their policies regarding damaged or lost property do not result in employment discrimination. For example, if an employer selectively enforces repayment demands against certain groups of employees based on race, gender, age, or other protected categories, that could violate state and federal anti-discrimination laws.
While employers may discipline or terminate employees for misconduct or negligence, they cannot impose financial penalties that contravene wage laws or apply them in a discriminatory manner. Thus, New York law ensures that employees are protected both from improper wage deductions and from discriminatory practices in how workplace losses are addressed.
Is It Legal for My Employer To Fire Me for Lying on a Job Application or Resume in New York?
Yes, in New York, it is generally legal for an employer to terminate an employee who has lied on a job application or resume. It is important to note that employment in New York is “at-will.” This means that an employer can discharge an employee at any time and for almost any reason, provided it is not discriminatory or otherwise prohibited by law.
Misrepresentation of qualifications, work history, or credentials is considered a legitimate reason for termination because it undermines the trust relationship between employer and employee.
This can also sometimes create issues with equipment, especially if the person has made misrepresentations about their qualifications to handle certain equipment. Courts have consistently upheld that falsifying application materials constitutes misconduct that justifies dismissal.
It is important to distinguish between employees and independent contractors in this context. Independent contractors are not covered by New York’s at-will employment doctrine in the same way, since their relationship is governed by contract law rather than employment law.
If an independent contractor lies about their qualifications or experience regarding equipment, the hiring party may have grounds to terminate the contract or pursue remedies for breach of contract or fraud. Although both employees and independent contractors can face consequences for dishonesty, the legal framework differs. Employees may be fired under at-will rules, while independent contractors may face contract termination or liability under civil law.
Do I Need a Lawyer if My New York Employer Charges Me for Lost or Damaged Equipment?
If you are having any issues related to an employer charging you for lost or damaged equipment, then it is recommended to set up a consultation with a New York employment law attorney. LegalMatch can assist you in locating a lawyer who can help you determine whether your employer’s actions violate these protections.
They will be able to explain your rights, guide you through filing a complaint with the New York Department of Labor, and advise you on potential remedies to recover any improperly withheld wages. Additionally, they can assess whether your situation involves other legal concerns, such as retaliation, wrongful termination, or discriminatory treatment.
While employers may discipline or terminate employees for misconduct, they cannot impose financial penalties that conflict with wage laws. Having legal counsel ensures that you understand the boundaries of your employer’s authority and that you are protected against unlawful practices in the workplace. Finally, should legal action be necessary, they can also represent you in court, as needed.
