NY Labor Law (Cannabis Retail Employers)
New York labor laws apply to every dispensary in the state, regardless of size or license type. These rules govern hiring, wages, breaks, training, payroll, and required workplace notices.
Labor violations are common and can result in penalties, back pay, audits, and enforcement actions.
What This Covers
- Employee onboarding and new-hire requirements
- Wage, overtime, and pay frequency rules
- Meal and rest break requirements
- Mandatory harassment training
- Payroll recordkeeping obligations
- Required workplace postings
- Enforcement authority
Onboarding Requirements
Required steps when hiring any employee.
- Provide a written Wage Theft Prevention Act (WTPA) Notice including:
- Rate of pay
- Overtime rate
- Pay schedule
- Employer information
- Collect standard new-hire forms:
- Form W-4
- Form IT-2104
- Form I-9
- Provide New York State Paid Sick Leave notice
- Provide written workplace policies, including attendance, scheduling, safety, and harassment
- Provide workers’ compensation and disability insurance information
- Report all new hires to the New York New Hire Reporting Program within 20 days
Wage Rules
Mandatory wage and pay practices.
- Pay at least the applicable New York minimum wage
- Pay overtime at 1.5× for hours worked over 40 in a workweek
- Pay manual workers weekly (most budtenders qualify)
- Provide a written wage statement each payday showing:
- Hours worked
- Rate of pay
- Deductions
- Gross and net wages
- Pay for all time worked
- Off-the-clock work is prohibited
Wage violations can create automatic liability.
Break Requirements
Meal and rest break rules based on shift length.
- Shifts over 6 hours that include a meal period:
- One 30-minute unpaid meal break
- Shifts over 10 hours:
- A second 30-minute meal break
- Short breaks (5–20 minutes), if offered, must be paid
Harassment Training
Mandatory annual training for all employers.
- Train all employees once per year using a New York State–approved program
- Provide the NYS Sexual Harassment Prevention Policy and complaint form on the first day of employment
- Maintain records of completed training for each employee
There are no size-based exemptions.
Payroll Records
Required payroll documentation and retention.
- Maintain records for at least 6 years, including:
- Payroll records
- Timecards or timesheets
- Wage statements
- WTPA notices
- Overtime logs
- Work schedules used to calculate pay
Missing records can result in automatic violations.
Required Workplace Notices
Mandatory posters and notices that must be displayed.
- Minimum wage poster
- Paid Sick Leave notice
- Workers’ compensation notice
- Disability benefits notice
- Sexual harassment prevention policy
- Smoke-free workplace sign
- “Time Off to Vote” notice (posted before elections)
Enforcement and Oversight
Identifies the enforcing authority.
- Enforcement agency: New York State Department of Labor (NYSDOL)
- NYSDOL enforces wage, hour, hiring, training, recordkeeping, and posting requirements
What Operators Usually Miss
- Budtenders are often classified as manual workers
- Weekly pay rules apply even with payroll software
- Missing records are treated as violations
- Training and posting requirements apply to all employers
When This Comes Up
- Hiring your first employee
- Adding staff or managers
- Payroll setup or changes
- Labor audits or complaints
- License renewal reviews
What Happens If You Ignore This
- Back pay and liquidated damages
- Civil penalties and fines
- Government audits
- Increased scrutiny across agencies
Related Pages
Source Material
