NEW YORK (NEWS10) — On Wednesday, the New York State Department of Labor announced that new regulations for farm labor overtime have been finalized. The regulations will follow recommendations made by the Farm Laborers Wage Board to lower the current 6-hour threshold for overtime pay to 40 hours per week by January 1, 2032.
Starting on January 1, 2024, the threshold will be set at 56 hours. The overtime threshold will then be reduced by 4 years every other year until reaching 40 hours in 2032.
“These new regulations ensure equity for farm workers, who are the very backbone of our agriculture sector,” said New York State Department of Labor Commissioner Roberta Reardon. “By implementing a gradual transition, we are giving farmers time to make the appropriate adjustments. These new regulations advance New York State’s continued commitment to workers while protecting our farms.”
Governor Kathy Hochul and the New York State Legislature recently enacted new tax credits to assist farm employers to ease the implementation of the lower overtime standard. This includes:
The Investment Tax Credit was increased from 4 percent to 20 percent for farm businesses, providing an encouragement for potential automation of farm production.
The Farm Workforce Retention Tax Credit was increased to $1,200 per employee to provide near-term relief to farmers.
A refundable tax credit was established for overtime hours paid by farm employers at the level established by the new regulation up to 60 hours.