Chapter 629 of the Laws of 2007, effective February 2008, requires public contractors in New York to notify all laborers, workers, and mechanics working for them of the prevailing wage for their particular job classification. The employer must give all employees written notice of the wage rate on their first pay stubs and on every pay stub thereafter. Also, at the beginning of performance of every public work contract, and with the first paycheck after July 1 of each year, the contractor and all subcontractors must notify all laborers, workers, and mechanics in writing, on a form prescribed by the Labor Department, of the Department's phone number and address, and of their right to contact the Department if, at any time while working on the contract, they do not receive the proper prevailing wage rate for their job classifications.

If, after investigation, the Department finds that a contractor or subcontractor has failed to show the prevailing wage on the pay stub, shows the incorrect prevailing wage, or willfully shows the incorrect prevailing wage, the Department must assess the contractor or subcontractor a fine of up to $50 for a first violation, $150 for a second violation, and $500 for each subsequent violation. In assessing the amount of the penalty, the Department will consider the size of the business, the good faith of the employer, and the gravity of the violation.

According to the Empire State chapter of the Associated Builders and Contractors (ABC), the signing of this bill was a trade-off for Governor Spitzer's earlier veto of a more onerous notification proposal. Much of the information required by this new law is already provided on employee pay stubs, the ABC maintains.