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The New York Legislature passed a bill that would impose new obligations on employers regarding employee personnel records. The bill is currently awaiting action by the Governor.
The bill is intended to provide employees with greater transparency regarding the information maintained in their personnel files, adding a new section to the New York Labor Law. The new law would impose the following requirements on employers:
- Providing employees and former employees with a copy of their personnel record within 5 business days of a written request, at no cost to the employee;
- Requiring retention of personnel records for at least three years following an employee's separation from employment; and
- Notifying employees within 10 days whenever negative information is added to their personnel files – this applies to materials that are used, or may be used, to negatively affect an employee’s qualifications for employment, promotion, transfer, additional compensation or potential disciplinary action.
Additionally, if an employee disagrees with any information in their personnel file, the employee may submit a written statement explaining their position. That statement would become part of the personnel records and must be included if transmitted to a third party.
The legislation does not require employers to permit employees to review their personnel records more than twice per calendar year. However, any review prompted by the placement of negative information in the employee’s personnel file would not count towards this annual limit.
The bill also includes anti-retaliation protections for employees who exercise their rights under the law.
We are closely monitoring developments and any action taken by the governor, and employers should be aware of the potential new obligations this legislation may impose.
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