Beginning December 8, 2026, New York construction employers will be required to provide “reporting pay” when covered employees report for work but are sent home or when a scheduled shift is canceled on less than 12 hours’ notice. Signed on September 9, 2026, the Construction Reporting Pay Act adds two sections to New York Labor Law:
In sum, employers may be required to compensate construction employees even when little or no productive work is ultimately performed.
For covered construction employees who report for work at the employer’s request or with the employer’s permission, the Act generally requires payment for at least four hours, or the number of hours in the employee’s regularly scheduled shift if less, at the applicable rate. This is commonly known as “reporting pay.”
Additionally, if a covered employee’s scheduled shift is canceled on less than 12 hours’ notice, the employer must pay the employee for two hours at the applicable rate. This is commonly known as “scheduling pay.”
New Labor Law Section 224-g applies to construction projects subject to New York’s prevailing wage laws, including publicly funded construction, covered renewable energy projects and climate risk-related projects. Under the new law, a laborer, worker or mechanic who reports for work at an employer’s request or with the employer’s permission must be paid no less than four hours at the prevailing wage rate, including supplements, for the employee’s regularly scheduled classification of work—even if they are sent home early (e.g., for lack of work, inclement weather, subcontractor cancellations, permitting issues, etc.).
The four-hour requirement acts as a floor, not a ceiling. It does not apply when the posted prevailing wage schedule already provides reporting-pay wages or benefits that are greater than those required by Section 224-g.
Separately, when a scheduled shift is canceled on less than 12 hours’ notice, the employee must be paid for two hours at the prevailing wage rate, including supplements, for the employee’s regularly scheduled classification of work.
All amounts owed under the section are deemed prevailing wages or supplements under Article 8.
New Labor Law Section 196-e applies very broadly, covering employees engaged in any “constructing, reconstructing, altering, maintaining, moving, rehabilitating, repairing, renovating or demolition of any building, structure, or improvement, or relating to the excavation of or other development or improvement to land.” This broad definition goes far beyond the prevailing wage law requirements.
If a covered employee reports for work at the employer’s request or with the employer’s permission, the employee must be paid for at least four hours, or the number of hours in the regularly scheduled shift if less, at the employee’s promised hourly wage.
If the scheduled shift is canceled on less than 12 hours’ notice, the employee must be paid for two hours at the promised hourly wage. Payments owed under Section 196-e are deemed wages under the Labor Law.
Construction employers should review their scheduling and payroll practices before December 8, 2026. In particular, employers should:
Careful tracking will be important to determine when reporting pay or scheduling pay is owed and to support compliance with the Act.
Additional Assistance
For further assistance, please contact any of the attorneys on our Labor and Employment Practice Team or the Phillips Lytle attorney with whom you have a relationship.
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