New York Labor Compliance
Under New York's Fair Workweek legislation, restaurant employers must take certain measures to ensure that their employees have predictable and fair work schedules.
In this article, you'll learn how to enable New York labor compliance in 7shifts, understand the types of labor exceptions, and run reports to help you stay compliant with state regulations.
SKIP AHEAD TO:
Enable New York Labor Compliance
Types of Exceptions in New York
View Exception Warnings
Prerequisites
⚠️ Access to this feature may require an upgrade from your current plan.
⚠️ The Labor Exceptions report is only available with 7punches or a POS labor integration.
Enable Labor Compliance
- Log in as an Admin on the web app.
-
In the left navigation bar, head to Settings (or, hover over your profile photo) > Company Settings.
Tip: Setting your Labor Rules here at the Company level will apply these settings to your entire Company (all locations) by default.
If you need to set or customize these compliance options for specific locations, you can do so by navigating to the Locations settings for the relevant location and modifying the Labor & Compliance section there.
Learn how to set Location-Level Settings here: Labor & Compliance Settings - Select the Labor & Compliance tab.
- Under Jurisdiction, select New York:
- Review and set your overtime, break, custom break, and wages & pay settings.
- Under the Advanced Labor section, New York labor compliance settings will automatically populate as per the Jurisdiction set earlier. Checkmark the options according to your preferences:
- Be sure to hit Save to complete these changes!
- To restore default New York settings (including Overtime rules), click Re-sync labor & compliance settings:
Types of Exceptions in New York
Spread of Hours
Triggered when an employee’s workday extends beyond 10 hours, between the beginning and end of their workday. This includes the total time spent working, meal breaks, and intervals when the employee is off duty.
Here's an example to illustrate a spread of hours exceeding 10 hours: Liam's workday is from 7 AM to 10 AM, and from 7 PM to 10 PM. Even though Liam worked for a total of 6 hours, the spread of hours = 15 hours.
Clopen
An exception occurs when less than 11 hours separate two shifts across consecutive days.
Last Minute Schedule Change
Changes made to an Employee's schedule with fewer than 14 days notice. Including:
- Change in shift times
- Deletion of a shift
- Variances in an employee's punch times exceeding 15 minutes (manual entries for late, no-show, or sick shifts are excluded)
If a last-minute schedule change is made within 14 days of an Employee's hire date, this will not cause an exception.
Call-in Pay / Reporting Pay
Under New York State regulations, employees who report to work for any length of time are entitled to receive a minimum of 3 hours of pay at the applicable rate, even if their shift is cut short. This compensation ensures that employees who are scheduled to work but are sent home before completing their shift are paid for unworked hours.
Call-in/reporting pay requirements can vary by industry. For example, in New York City, restaurant employees typically receive a minimum of 4 hours for call-in/reporting pay.
Find more information on New York's Fair Workweek legislation here.
⚠️ Reporting Pay / Call-in Pay may require an upgrade from your current plan.
⚠️ Managers/Assistant Managers require the following permissions to have visibility on this feature: ‘Can manage time punches’, ‘Can manage exceptions’, and ‘Can run reports’.
⚠️ Reporting Pay / Call-in Pay hours do not contribute to calculating hours worked, such as overtime hours.
⚠️ If rounding rules have been enabled for 7punches, this may affect shifts eligible for Reporting Pay and the costs associated.
Schedule Changes by Employer with less than 14 days' notice
New York City's Fair Workweek Law requires employers to provide predictable schedules for employees. If an employer makes changes to an employee's scheduled shift with less than 14 days' notice, they may be required to compensate the employee with schedule change premiums. The penalties vary based on the type of change and how close to the shift the change occurs.
No Change in the Number of Hours
If the employer moves the shift to a different time or date without increasing or decreasing the total number of scheduled hours:
- Less than 14 days’ notice: $10 per change
- Less than 7 days’ notice: $15 per change
- Less than 24 hours’ notice: $15 per change
Adding Hours to the Schedule
If the employer increases the number of scheduled hours for a shift:
- Less than 14 days’ notice: $10 per change
- Less than 7 days’ notice: $15 per change
- Less than 24 hours’ notice: $15 per change
Subtracting Hours from the Schedule
If the employer reduces the number of scheduled hours for a shift, including canceling a shift entirely:
- Less than 14 days’ notice: $20 per change
- Less than 7 days’ notice: $45 per change
- Less than 24 hours’ notice: $75 per change
View Exception Warnings
Exception warning will appear for Admins and Managers/Assistant Managers in the following areas:
To avoid/reduce exceptions, you will be warned about potential exceptions as you make changes to your schedule. Each time you make a change to a shift that causes one or more exceptions, a warning modal will appear indicating the type of exception and the associated cost.
Before publishing a schedule, view a summary of potential exceptions, costs, and details. Once published, each exception appears in the report.
Once published, the exception will be recorded in the report. Changing a shift multiple times can incur an exception each time, so be sure to consider the costs before making last-minute schedule changes.
You will also see a warning when assigning shifts through the Shift Pool that could cause an exception:
On the Time Clocking page as an exception warning:
On a Punch Overview:
Admins and Managers/Assistant Managers (with permissions) can click on the warning to further dismiss/restore an exception warning:
The Worked Hours and Wages Report:
Similarly, you can export the report directly from a closed timesheet:
The Labor Exceptions Report:
The Punch Audit Report, when the exception has been dismissed: