|Aug. 20, 2018 | www.fisherphillips.com|
One of the key provisions of New York City’s Fair Workweek Law was just put on hold while a federal judge sorts out a constitutional challenge brought by two restaurant advocacy organizations. The “Deductions Law” portion of the new city statute allows certain employees of fast food establishments to authorize a portion of their wages to be paid to registered and approved not-for-profit organizations, and also directs fast food establishments to deduct, collect, and remit those employee wages to the designated organizations. However, thanks to a lawsuit brought by the Restaurant Law Center and the National Restaurant Association, enforcement of the Deductions Law has been put on pause, and could be permanently scrapped if found unconstitutional.