Employment and labor laws comprise some of the most complex and extensive laws, not only in New York but in other states as well. Therefore, it is very critical for you, as an employer, to be cognizant of what laws, whether local or federal, apply to specific employment issues and jurisdictions, especially owing to the ubiquity of an explosion in lawsuits in the U.S., which has been coherent with a public obsession for litigation, a growing lawyer population, and the enactment of new laws and amendments of others.
Under this context, this blog reviews some of the requirements concerning recordkeeping and record retention for employers under the New York City Commuter Benefits Law (6 RCNY § 7-306), a local employment law in New York. Accordingly, some of the key elements discussed include applicable statutes under this law, including types of records required to be retained by employers and other relevant information for employers concerning compliance with requirements for recordkeeping and the retention of records.
However, it is crucial to mention that the information provided herein does not address requirements for the retention of records when a complaint or charge has been filed by an employee under the New York City Commuter Benefits Law. Nonetheless, although the requirements may apply to both public and private employers, the information is intended for the latter.
Types of Records that Must be Retained Pursuant to the New York City Commuter Benefits Law
Pursuant to 6 RCNY § 7-306, all New York City employers are required to maintain and keep records that show one among a number of offers to every eligible, full-time employee. While every employee’s response must be included in the records, such an offer may be (1) a transit pass, often proved at the expense of the employer, or a payment of a similar kind at the federal maximum or (2) the chance to utilize pretax earnings by purchasing qualified transportation fringe benefits.
Duration of Retention Requirements Pursuant to the New York City Commuter Benefits Law
Pursuant to the same statute, New York City employers are required to retain such commuter benefit records for a duration of not less than two years.
Penalties and/or Citations Following Failure to Comply with the New York City Commuter Benefits Law
Pursuant to 6 RCNY § 7-309(a)– (c), any employer who violates the New York City Commuter Benefits Law and/or fails to maintain and retain such commuter benefit records is subject to (1) $250 in civil penalties that should be paid to the City of New York for a first violation, unless the New York City Department of Consumer Affairs is satisfied with the compliance on the employer’s part within the cure period, (2) $250 in civil penalties that should be paid to the City of New York for any and each recidivist violation and any and each subsequent violation. Further, pursuant to N.Y.C. Admin. Code § 20-926, such an employer will be notified that they have violated the New York City Commuter Benefits Law, answerable to the New York City Department of Consumer Affairs.
Other Key Information for Compliance
This means that as a best practice, all New York City employers covered by the New York City Commuter Benefits Law should ensure that they have maintained and retained commuter benefit records in accordance with the provisions and regulations of this law.
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