New York Enacts Sweeping Amendments to Child Labor Laws

On May 9, 2025, Governor Kathy Hochul signed into law major amendments to New York’s child labor protections as part of the FY26 State Budget. These changes—contained in Parts W and X of the Education, Labor, Housing, and Family Assistance Budget Bill (ELFA)—increase civil penalties for violations, overhaul permitting and reporting requirements, and eliminate longstanding exemptions. Penalty increases (Part W) took effect immediately, while the permitting and reporting reforms (Part X) and exemption eliminations will take effect May 9, 2027.

Existing Law

Article 4 of the New York Labor Law (NYLL §§130–144) imposes strict requirements on the employment of minors that supplement federal restrictions under the Fair Labor Standards Act (FLSA). Current law prohibits employment of minors under 14, with limited exceptions (NYLL §130); requires employment certificates (“working papers”) for minors aged 14–17, issued by schools (NYLL §§131, 135; Education Law §3216); restricts hazardous occupations (NYLL §133); limits hours and night work (NYLL §§142–143); and mandates posting of schedules and compliance with meal periods (NYLL §144). Violations previously carried civil penalties capped at $1,000 for a first offense, and penalties for repeat violations were capped at $3,000 (NYLL §141).

Increased Civil Penalties

Effective May 9, 2025, NYLL §141 now authorizes penalties up to $10,000 for a first violation, $2,000–$25,000 for a second, and $10,000–$55,000 for subsequent violations. Where a violation results in serious injury or death, penalties range from $3,000–$30,000 for a first violation to $30,000–$175,000 for repeat violations. These changes coincide with a 68% rise in child labor violations in New York and a national enforcement push by the USDOL’s Strategic Enforcement Initiative on Child Labor. Employers should expect aggressive audits and coordinated investigations. 

Structural Shift in Child Labor Compliance

This change represents a fundamental restructuring of how child labor compliance will be managed in New York. Under current law, school districts play a central role in issuing working papers and monitoring compliance, as required by NYLL §§131 and 135 and Education Law §3216. Minors must apply for working papers in person through their school, and employers must keep these certificates on file.

ELFA Part X, effective May 9, 2027, amends this framework by transferring these responsibilities to the New York State Department of Labor (NYSDOL). The amendments require NYSDOL to create a statewide electronic database of minor employees and their employers, implement an online portal for electronic working papers, and oversee employer certifications that minors are employed in legally permitted roles only. This centralization marks a major departure from decades of practice, reducing the role of school districts and giving NYSDOL primary control over child labor certification and enforcement.

Elimination of Certain Exemptions

Also effective May 9, 2027, the law repeals the newspaper carrier exemption, which previously allowed minors as young as 11 to deliver newspapers, and removes the provision permitting certain 15-year-olds to work under special employment certificates when further schooling was deemed unnecessary. These changes close loopholes and signal the state’s intent to apply child labor protections uniformly across all industries.

Key Takeaways

• Penalties for child labor violations in NY now reach up to $175,000.
• NYSDOL assumes responsibility for working papers starting May 9, 2027.
• Employers must prepare for electronic certification and reporting.
• Exemptions for newspaper carriers and special certificates are eliminated.

Next Steps for Employers

With penalties now reaching six figures and compliance responsibilities shifting to NYSDOL, employers cannot afford to take a wait-and-see approach. We recommend that employers of minors under the age of 18 in New York begin by auditing current practices—including scheduling, job assignments, and recordkeeping—to ensure compliance with existing law. The combination of higher penalties, increased enforcement, and new administrative requirements means employers should consider taking steps now to help mitigate risk and ensure compliance under both state and federal law.

Looking ahead, employers should prepare now for the 2027 changes, which will require electronic working papers, employer certifications, and participation in a statewide database administered by NYSDOL. Finally, employers can monitor forthcoming guidance from NYSDOL, which is expected to clarify reporting obligations and implementation timelines.

*Jerry Zhang is a pre-bar associate in Littler’s New York City office.