New York Law Protecting Warehouse Workers From ‘Unreasonable Quotas’ Goes Into Effect

Legislation aimed at protecting New York warehouse workers from “unreasonably demanding work quotas” is now in effect.

New York Governor Kathy Hochul said the Warehouse Worker Protection Act includes new requirements for distribution centers to disclose work speed data to current and former employees and to inform them about their job performance and rights in the workplace.

The legislation also protects workers from disciplinary action or firing exclusively because of a failure to meet undisclosed quotas or performance standards, including those that do not allow for proper breaks.

The legislation was originally written to go into effect in February; however it was delayed for several amendments including exemptions for farm product warehouses and for couriers/drivers from warehouse centers.

The law applies to single warehouses with at least 100 employees. The amended bill raised the threshold for multiple warehouses in the state from 500 to 1,000 employees in the aggregate.

Under the law, employees can request quota information at any time, and are protected from being forced to work through meals to make quota; limiting their use of bathroom facilities to make quota; and retaliation from an employer for requesting quota information or reporting violations related to quotas.

“New York’s warehouse workers deserve to be treated with fairness, dignity, and respect, and we are making a significant stride toward achieving that,” Hochul said.

“The revised version, while diluted by amendments, still marks a sea change for employers of warehouse workers,” the law firm Foster Phillips wrote in anticipation of its enactment.

Affected Employers

The law applies to employers and employees including at warehouse distribution centers including Amazon. Under the law, a warehouse distribution center is defined using the North American Industry Classification System codes for warehousing and storage (excluding farm product warehousing and storage), merchant wholesalers, electronic shopping and mail-order houses, and couriers and express delivery services.

Employees covered by this law are those that work at a warehouse distribution center, are subject to quotas, and are not exempt from the minimum wage or applicable minimum wage orders, or any overtime compensation provisions of the Labor Law. Drivers or couriers to and from a warehouse are not included in this law.

The act does not require employers to use quotas or monitor work speed data and only applies to employers who choose to do so. Employers that use them must share any quotas with employees through a written description within 30 days of an employee’s start date.

Employees who believe their employer is in violation of these protections can request a written description of the quota to which they are subject. They can also request a copy of the most recent 90 days of personal work speed data and a copy of the aggregate work speed data for similar employees at the same establishment during the same period. Employers must provide this information no later than 14 calendar days after a request is made.

The law provides for civil and criminal penalties for violators but does not create a private right for employees to enforce their rights in court.

Amazon Targeted

The New York State Department of Labor projects that the warehouse industry will grow faster than any other industry in the state between 2018 and 2028.

Senator Jessica Ramos, chair of the Senate Labor Committee and a sponsor of the new law, said the state’s labor laws need to keep pace with the changing nature and conditions of work, including algorithms used in production.

“The algorithms that drive these productivity quotas in warehouses and fulfillment centers come at a serious physical toll on the workers. We simply cannot allow any multi-national corporation – like Amazon, FedEx, or Walmart – to drive their profits on the literal backs of working people in our state,” said Ramos.

One of the targets of the law is Amazon, which operates numerous giant distribution warehouses across the country and where worker injury rates tend to be higher than in other warehouses, according to one analysis. Labor and workplace safety groups blame the higher rate on the company’s fast- paced warehouses that track productivity and allow customers to get their packages quickly.

However, Amazon has questioned the injury rates studies. It also maintains it does not use fixed quotas in its warehouses and insists it adheres to safe work practices.

The federal Occupational Safety and Health Administration (OSHA) has cited Amazon for exposing workers to a higher risk of lower back injuries and other musculoskeletal disorders due to the high frequency with which workers are required to lift heavy packages; assume awkward postures such as twisting, bending and long reaches; and work long hours to complete their duties.

Last month, OSHA alleged that Amazon failed to provide adequate medical treatment for traumatic and chronic injuries at a fulfillment center in Castleton, New York.

Labor leaders welcomed the New York law.

“These workers routinely spend entire shifts speeding through tasks in an attempt to meet quotas mandated by their employers, all too often suffering musculoskeletal and repetitive stress injuries as a result,” said Mario Cilento, president of the New York State AFL-CIO.

Stu Appelbaum, president of the Retail, Wholesale and Department Store Union, said the legislation is an “important step in ensuring that workers are not forced to choose between their job and their safety.”

California enacted a similar law governing warehouses and worker quotas in 2021.