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VIEWPOINT: N.Y. Offers Relief for Employers Unaware of Weekly Pay Provision in Labor Law
It is common practice across the country for employees to be paid every other week or twice per month, because that imposes much less time and manpower on an employer than running payroll weekly. But such a practice can subject certain employers in New York to liability. Section 191 of the New York Labor Law […]
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It is common practice across the country for employees to be paid every other week or twice per month, because that imposes much less time and manpower on an employer than running payroll weekly. But such a practice can subject certain employers in New York to liability. Section 191 of the New York Labor Law (NYLL) requires employers to pay employees who fall under the broad definition of “manual worker” to pay such employees weekly. For a long time, there was little to no private litigation against an employer who paid such workers biweekly or semimonthly; such employers would simply pay a penalty if cited by the New York State Department of Labor.
That changed in 2019 when New York’s Appellate Division, First Department held that a manual worker could bring a suit in court seeking damages for not being paid on a weekly basis. This resulted in a wave of “frequency of pay” litigation claims. The reason is that Section 198 of the New York Labor Law allows individuals to recover liquidated damages up to 100 percent of the total amount of any unpaid wages. So, for example, a manual worker paid $2,000 biweekly, instead of $1,000 weekly, would seek liquidated damages in the amount of $1,000 for each week not paid weekly — even though the employee received full pay every other week. Because of New York’s long, six-year statute of limitations for such claims, this created a large amount of liability for any employer that did not pay manual workers weekly. An employer with a 200-employee workforce could find itself subject to a $30 million, bankrupt-the-business lawsuit.
Employers were initially hopeful early last year when the Appellate Division, Second Department came to the exact opposite decision of the First Department, finding that a manual worker could not bring a suit in court for a frequency-of-pay violation. However, this only created a split among the courts that has not been resolved, and the issue has not yet reached the Court of Appeals. Likewise, talks of a legislative fix last year ultimately fizzled out.
However, both the governor’s office and state legislature took up the issue this year. Gov. Kathy Hochul included legislation amending the damages available under Section 198 of NYLL for frequency-of-pay violations in her proposed budget for the 2026 fiscal year. On May 7, the Education, Labor and Family Assistance (ELFA) budget bill was published, and while it revised some provisions from the governor’s initial proposal, it still limits the damages of frequency-of-pay actions.
The bill amends Section 198 of NYLL to clarify that liquidated damages shall not be applicable to violations of the weekly payment requirement for manual workers set forth in Section 191 of NYLL where the employer paid the employee wages on a regular payday, no less frequently than semimonthly. Instead, the bill sets forth that such violations are limited to “lost interest found to be due for the delayed payments of wages calculated at the daily interest rate for each day payment is late based on the annual rate of interest then in effect.” The interest rate is set by the state Department of Financial Services under Section 14-a of the Bank Law, and is currently 16 percent per annum.
Further, for conduct occurring after the effective date of the amendment, liquidated damages may be sought in an amount equal to 100 percent of the “total amount of wages found to be due” in a Section 191 frequency-of-pay violation for employers that had been the subject of one or more findings and orders of a frequency-of-pay violation.
Finally, the bill states that it “shall take effect immediately and shall apply to causes of action pending or commenced on or after such date”—and it was just signed into law on May 9, and is therefore already in effect.
What does this mean? Immediately, for any pending cases, so long as employees were paid their full pay biweekly or semimonthly, the potential liability will drop drastically. For the hypothetical 200-employee employer described above, the potential liability would drop from about $30 million in liquidated damages to less than $100,000 in interest. Of course, were an employer to be found liable for a frequency-of-pay violation in the future and not fix its weekly pay issue, the next time an employer would face damages equal to 100 percent of “the total amount of wages found to be due.”
Given the immediate impact this will have on pending cases, it is possible that the law’s provision that it will apply to pending causes of action may be challenged.
Michael D. Billok is a member (partner) in the Saratoga Springs and Albany offices of the Syracuse–based law firm of Bond, Schoeneck & King PLLC. Contact him at mbillok@bsk.com. Natalie C. Vogel is an associate attorney in Bond’s Albany office Contact Vogel at nvogel@bsk.com. This article is drawn and edited from the New York Labor and Employment Law Report blog on the law firm’s website.
GSBDC, CenterState CEO partner to help area small businesses
SYRACUSE, N.Y. — A new partnership between CenterState CEO and the Greater Syracuse Business Development Corporation (GSBDC) seeks to scale GSBDC’s lending resources and better serve the region’s small businesses. CenterState CEO is an economic development and chamber of commerce organization, while the GSBDC is a certified development company by the U.S. Small Business Administration
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SYRACUSE, N.Y. — A new partnership between CenterState CEO and the Greater Syracuse Business Development Corporation (GSBDC) seeks to scale GSBDC’s lending resources and better serve the region’s small businesses.
CenterState CEO is an economic development and chamber of commerce organization, while the GSBDC is a certified development company by the U.S. Small Business Administration (SBA) that was formed in 1964.
Together, CenterState CEO and GSBDC will leverage aligned investments, market opportunities, and support services, providing the region’s small-business community with “more streamlined resources,” according to their April 10 joint announcement. The two organizations are already working with each other to explore ways to make capital more accessible for small businesses, they said.
“As we prepare the community for unprecedented growth, we recognize the need to significantly enhance how we’re directly supporting all our region’s small businesses,” Robert Simpson, president and CEO of CenterState CEO, said in the announcement. “As longtime partners with a shared vision, we look forward to working with GSBDC to make it easier for small businesses to access the capital they need to capture the opportunities of a growing community.”
Under the new agreement, GSBDC staff will operate from CenterState CEO’s office in downtown Syracuse. CenterState CEO will provide GSBDC with the staffing and administrative support “necessary to manage and expand” GSBDC operations and lending resources. The partnership will result in a “more uniform, expanded, and easy-to-access set of small business tools,” CenterState CEO said.
“With the support and resources afforded us under this partnership, GSBDC is most excited about the prospects of being able to provide a significantly more robust mission-based small business lending program to our community,” Bob Ellis, executive director of GSBDC, said. “We feel this move may be the most significant advancement in our ability to meet our clients’ needs since GSBDC’s inception. We are proud to be able to call CenterState CEO our strategic partner.”
A majority of the GSBDC’s work is through the SBA 504 Program, which provides long-term, fixed rate financing of up to $5 million for property or equipment used to operate a business. The GSBDC also maintains various revolving-loan funds. These services have helped to create and retain thousands of jobs in Central New York and supported economic-development opportunities as well, CenterState CEO said.
Historic Bateman Hotel building in Lowville wins NYS Historic Preservation Award
LOWVILLE, N.Y. — The state Office of Parks, Recreation and Historic Preservation recently announced that it has recognized 13 projects and individuals with 2025 New York State Historic Preservation Awards. This year’s award winners include a historic-rehabilitation project at a former North Country hotel. The Bateman Hotel building — located in Lowville, in Lewis County
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LOWVILLE, N.Y. — The state Office of Parks, Recreation and Historic Preservation recently announced that it has recognized 13 projects and individuals with 2025 New York State Historic Preservation Awards.
This year’s award winners include a historic-rehabilitation project at a former North Country hotel. The Bateman Hotel building — located in Lowville, in Lewis County — has been honored for Excellence in Historic Building Rehabilitation.
Built in 1869, the massive four-story brick building at 7574 South State St. “is a striking architectural asset in downtown Lowville’s revitalization corridor,” according to the May 9 announcement. A recent $2.7 million rehabilitation project used state and federal historic tax credits to refurbish the property, which is now known as the Bateman Apartments. The Bateman, which includes affordable-housing units and street-level storefronts, now has a new roof, windows based on historic documentation, and interior repairs.
The Bateman Apartments building is managed by Baldwin Real Estate Corp., a DiMarco Group company, according to its website.
Created in 1980, the New York State Historic Preservation Awards are presented by the Office of Parks, Recreation and Historic Preservation each year to honor excellence in the protection and revitalization of historic and cultural resources.
DIA launches retail mini-grant program in Ithaca
ITHACA, N.Y. — The Downtown Ithaca Alliance (DIA), in partnership with the City of Ithaca, has relaunched the Ithaca Retail Mini-Grant Program (IRMGP) to assist small, street-level businesses within the city that are recovering from the ongoing economic effects of COVID-19. “The IRMG is designed to spark collaboration, draw customers back to our commercial districts,
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ITHACA, N.Y. — The Downtown Ithaca Alliance (DIA), in partnership with the City of Ithaca, has relaunched the Ithaca Retail Mini-Grant Program (IRMGP) to assist small, street-level businesses within the city that are recovering from the ongoing economic effects of COVID-19.
“The IRMG is designed to spark collaboration, draw customers back to our commercial districts, and energize local businesses through strategic investments,” DIA CEO Nan Rohrer said in a program announcement. “We’re especially excited to support physical improvements that further elevate the pedestrian and customer experience in our city while also highlighting Ithaca’s charm as a destination for locals and visitors.”
Funded through the city’s allocation of American Rescue Plan Act (ARPA) relief funds, the IRMGP offers targeted grants aimed at boosting local retail through marketing efforts, physical storefront improvements, and innovative cross-promotion campaigns. Grants are available to independently owned businesses with fewer than 500 employees and a physical storefront in the city that were operational prior to March 3, 2021.
Eligible businesses can apply for grants in three categories: marketing for marketing assessments and related enhancements such as e-commerce, physical improvements such as signage and accessibility enhancements, and cross-promotion collaboration campaigns between multiple businesses to increase foot traffic and customer engagement.
All awarded projects require a 10 percent cash match from the business, with maximum grant awards ranging from $2,000 to $10,000 depending on the category.
Applications are due by June 16 at 2 p.m. Successful applicants will be notified by July 1.
“We’re excited to collaborate with the DIA on this important citywide initiative,” Ithaca Mayor Robert Cantelmo said. “Local independent retailers are what makes the commons, downtown, collegetown, the west end, and west MLK corridor special places with unique local character. This initiative is part of the city’s commitment to helping them thrive.”
Solvay Bank announces plans for its 10th branch
DeWITT, N.Y. — Solvay Bank plans to open its 10th branch office in the Wegmans Plaza at 4248 James St. in the town of DeWitt. The bank held a groundbreaking ceremony on May 12 to mark the start of construction on the new 2,200-square-foot Smart*Office, per its announcement. Solvay Bank expects the branch, which it
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DeWITT, N.Y. — Solvay Bank plans to open its 10th branch office in the Wegmans Plaza at 4248 James St. in the town of DeWitt.
The bank held a groundbreaking ceremony on May 12 to mark the start of construction on the new 2,200-square-foot Smart*Office, per its announcement. Solvay Bank expects the branch, which it calls its East Syracuse office, to open its doors by the end of the year.
Solvay Bank describes itself as the oldest community bank established in Onondaga County.
“This expansion is more than just a new branch, it’s a reflection of our continued promise to invest in the communities we serve,” Paul Mello, president and CEO of Solvay Bank, said in the announcement. “For over 108 years, our mission has been to combine innovative financial solutions with the trusted, personal service that defines community banking. We are excited to bring that experience to East Syracuse.”
The new branch will offer personal, business, and municipal-banking products and services. It’ll also offer digital-banking tools and “customer-friendly” features that including parking, full-service ATM, and a “welcoming layout.”
Solvay Bank will hire four full-time employees trained to support customers’ “evolving banking needs,” the bank said.
Founded in 1917, Solvay Bank currently has nine branch locations in Solvay (its main office), Baldwinsville, Camillus, Cicero, DeWitt, Liverpool, North Syracuse, Westvale, downtown Syracuse in the State Tower Building, and a commercial lending presence in the Mohawk Valley.
Solvay Bank’s Insurance Agency, Inc. is a full-service general insurance agency.
CenterState CEO leader to take three-month sabbatical
SYRACUSE, N.Y. — The man who leads CenterState CEO in Syracuse says he plans to step away from his duties for three months in the third quarter of this year. Robert Simpson, president and CEO of CenterState CEO, announced his intention in a May 9 email note to members. “After thoughtful consideration, and with the
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SYRACUSE, N.Y. — The man who leads CenterState CEO in Syracuse says he plans to step away from his duties for three months in the third quarter of this year.
Robert Simpson, president and CEO of CenterState CEO, announced his intention in a May 9 email note to members.
“After thoughtful consideration, and with the full support and involvement of the CenterState CEO Executive Committee, I’ve made the decision to take a sabbatical and will be stepping away from work beginning June 30 and returning Sept. 29,” Simpson said in the email.
The past several years have brought “immense professional pressures, borne of so many exciting opportunities for our region,” Simpson said in the email.
He went on to say, “The intensity of that work is visible to everyone. And easy to talk about. What is harder to vocalize, and far less comfortable to show, are the personal impacts including exhaustion and struggles with my own mental health.”
Simpson also noted that it wasn’t an easy decision because he loves the job, the organization, and the people and partners that make up this “amazing regional community.”
“This is, however, something that I need. This sabbatical is about hitting reset and restoring my emotional well-being and creative energy so that I can return with the perspective needed to continue leading through a time of tremendous growth and opportunity for Upstate New York,” he said.
In Simpson’s absence, Ben Sio will serve as acting CEO of CenterState CEO. “I have every confidence in Ben’s leadership, and he will be well supported by our outstanding Corporate Leadership Team and staff,” Simpson said.
Sio currently serves as CenterState CEO’s chief of staff and senior VP of strategy, policy and planning, per the organization’s website.
Simpson ended his message by saying, “I’m deeply grateful to Ben and the entire CenterState team for their support, and to each of you for your trust. I look forward to rejoining you in late September, reinvigorated and ready for all that lies ahead.”
Simpson has been president and CEO of CenterState CEO since its formation in 2010 — through the combination of the Metropolitan Development Association of Syracuse and Central New York (MDA) and Greater Syracuse Chamber of Commerce. He was named president and CEO of the MDA in early 2009. Before that, Simpson served as assistant to the president at the MDA from 2003-2009.
Anheuser-Busch to spend $300M on its facilities nationwide in Brewing Futures initiative
Anheuser-Busch (NYSE: BUD) says it intends to spend $300 million on its manufacturing operations nationwide. The St. Louis, Missouri–based company — which operates a plant on Route 31 in the town of Lysander — is calling the investment its Brewing Futures initiative. The announcement didn’t provide any specifics on what improvements it plans to make
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Anheuser-Busch (NYSE: BUD) says it intends to spend $300 million on its manufacturing operations nationwide.
The St. Louis, Missouri–based company — which operates a plant on Route 31 in the town of Lysander — is calling the investment its Brewing Futures initiative.
The announcement didn’t provide any specifics on what improvements it plans to make at individual facilities, including the one in Lysander.
With the May 12 announcement, the company contends it has “proudly expanded its commitment to creating and sustaining U.S. manufacturing jobs.”
Anheuser-Busch is the maker of Michelob ULTRA, Busch Light, Budweiser and Bud Light. Its Brewing Futures initiative supports American manufacturing through three key pillars.
They include “creating and sustaining manufacturing jobs” by investing more than $300 million in local communities and facilities in 2025, adding to the nearly $2 billion invested over the past five years.
The second pillar is “building the manufacturing workforce for the future” by expanding its “best-in-class” Technical Excellence Center model beyond its hometown of St. Louis, starting with a new regional facility in Columbus, Ohio, and providing access to local trade schools.
The third pillar is “strengthening manufacturing career opportunities for veterans” by leading the industry in adoption of a new digital-credentialing system to support veterans in pursuing manufacturing careers, per the Anheuser-Busch announcement.
“This new $300 million investment in our manufacturing facilities across the U.S. is the latest example of Anheuser-Busch’s commitment to strengthening our local communities by creating and sustaining jobs and driving economic prosperity,” Brendan Whitworth, CEO, Anheuser Busch said. “Investing in our people and in new technologies and capabilities to drive industry and economic growth is core to who we are.”
“Anheuser-Busch has been a shining example of what ‘Made in America’ means, and their latest investment of $300 million builds on their longtime commitment to grow our workforce and expand U.S. manufacturing,” U.S. Secretary of Labor Lori Chavez-DeRemer said in the announcement. “They are demonstrating exactly what it means to put American workers first, setting a standard for other companies to follow.”
Ask Rusty: Applying for SS at 62; When should I enroll in Medicare?
Dear Rusty: I am writing to ask for your advice on when I should sign up or enroll in a Medicare plan. I have submitted an early retirement application to request my Social Security (SS) benefits to begin 30 days after my 62nd birthday. I am a single lady with no dependents and currently rent
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Dear Rusty: I am writing to ask for your advice on when I should sign up or enroll in a Medicare plan. I have submitted an early retirement application to request my Social Security (SS) benefits to begin 30 days after my 62nd birthday. I am a single lady with no dependents and currently rent my residence. Please advise.
Signed: Approaching Senior Citizenship
Dear Approaching: Even though you are starting your SS retirement benefits at age 62, you will not be eligible to enroll in Medicare until you are 65 years old. Since you will be already receiving SS when you turn 65, you will be automatically enrolled in Medicare Part A (inpatient hospitalization coverage) and Medicare Part B (coverage for outpatient services), effective with the month you turn age 65, and you will get a “Welcome to Medicare” packet about 3 months before your 65th birthday. Your Medicare Part A (inpatient hospitalization coverage) will be free, but there will be a monthly premium ($185 for 2025) for your Medicare Part B (coverage for outpatient services), which will be deducted from your Social Security payment.
Note that Medicare does not cover all health-care expenses so, when the time comes, you may wish to explore other private health-insurance coverage (either a Medicare Supplement plan, or a Medicare Advantage plan). Also, Medicare Part A or Part B do not include coverage for prescription drugs, so you may wish to obtain such coverage separately. One way to explore all of this is by, shortly before you turn 65, is by contacting AMAC’s Medicare department at (800) 334-9330 or www.amac.us/medicare. And until you are eligible to enroll in Medicare at 65, you may wish to seek regular health insurance for those under 65 years of age.
Please understand that we are here to answer all your questions about Social Security and Medicare enrollment. However, at the AMAC Foundation, we are not insurance specialists, which is why I suggest contacting a health-insurance specialist [for that part of the equation.]
I hope this is helpful, but please don’t hesitate to contact us again at any time.
Russell Gloor is a national Social Security advisor at the AMAC Foundation, the nonprofit arm of the Association of Mature American Citizens (AMAC). The 2.4-million-member AMAC says it is a senior advocacy organization. Send your questions to: ssadvisor@amacfoundation.org.
Author’s note: This article is intended for information purposes only and does not represent legal or financial guidance. It presents the opinions and interpretations of the AMAC Foundation’s staff, trained, and accredited by the National Social Security Association (NSSA). The NSSA and the AMAC Foundation and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity.
Coughlin & Gerhart attorney reappointed to state advisory committee
BINGHAMTON, N.Y. — Coughlin & Gerhart, LLP announced that its attorney Alan J. Pope was recently reappointed as a member of the New York State Judicial Hearing Officer (JHO) Selection Advisory Committee for the state’s Third Judicial Department. His new term began on April 1, 2025, and extends through March 31, 2027. The JHO Selection
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BINGHAMTON, N.Y. — Coughlin & Gerhart, LLP announced that its attorney Alan J. Pope was recently reappointed as a member of the New York State Judicial Hearing Officer (JHO) Selection Advisory Committee for the state’s Third Judicial Department.
His new term began on April 1, 2025, and extends through March 31, 2027.
The JHO Selection Advisory Committee plays a key role in evaluating applicants and recommending qualified candidates to serve as judicial hearing officers. Pope will continue to provide valuable insight throughout the selection process, helping to uphold the high standards expected of JHO appointments, according to the May 7 announcement.
“We are proud to see Alan continue his service on this important Committee,” said Rachel Abbott, managing partner at Coughlin & Gerhart. “His thoughtful judgment, extensive legal background, and unwavering dedication to the justice system make him a trusted voice in the selection of judicial officers who serve our courts and communities.”
Pope, of counsel to the firm, is an experienced construction attorney and business and commercial-development attorney, according to his bio on the Coughlin & Gerhart website. He represents a number of commercial developers involving all aspects of large and small commercial developments, convenience stores, automobile dealerships, residential housing, leases and many other business and transactional areas.
Coughlin & Gerhart is a multi-service law firm based in Binghamton that has additional offices in Bainbridge, Cortland, Hancock, Ithaca, Owego, and Walton, New York; as well as Honesdale and Montrose, Pennsylvania.
OPINION: 2025-26 New York Budget: State Spending Continues to Soar
After 11 extenders and more than a month past its April 1 deadline, the 2025-2026 New York State budget is finally complete. The unprecedented $254 billion spending package again does little to truly move the needle to make life in New York more affordable. The lack of fiscal relief and restraint provided by this budget
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After 11 extenders and more than a month past its April 1 deadline, the 2025-2026 New York State budget is finally complete. The unprecedented $254 billion spending package again does little to truly move the needle to make life in New York more affordable. The lack of fiscal relief and restraint provided by this budget is disappointing, and so, too, are the watered-down policy changes accompanying the spending plan.
The components that held up budget negotiations were policy measures involving the involuntary commitment of individuals suffering from severe mental illness, the use of masks during protests, and laws dictating how evidence is handled in criminal trials. While some adjustments were made to make it easier for law enforcement and prosecutors to do their jobs, the resulting legislation could have been stronger, compared to the substantial time it took legislative leaders to draft it.
Further, the budget also provides for two notable bailouts: one for the state attorney general and one for the Metropolitan Transportation Authority (MTA). The MTA has consistently shown it is unable to manage its budget, and the service commuters are getting is nowhere near commensurate with the enormous sums of money the state has provided the failing agency. Also, $10 million set aside to defend criminal charges unrelated to a public official’s duties as Letitia James faces fraud allegations [over personal mortgages] is an insult to taxpayers. These are the types of measures that get included in a budget negotiated behind closed doors and passed hastily before most lawmakers can even read it.
As is the case with most budgets, there were some items included for which the Assembly Minority Conference has advocated. The state will finally address overdue unemployment-insurance payments owed to the federal government — a huge victory for small businesses; an expansion of the Empire State child credit paired with middle-class tax cuts are positive steps in the right direction. Central New Yorkers should celebrate
$450 million to help Upstate University Hospital implement critical upgrades.
However, the best way to evaluate our spending plans is by looking at the return on investment. The 2025-26 plan is
$13 billion more than last year and has increased by $77 billion in the last five years. Despite the state’s runaway spending, the quality of life, economic stability, and public safety continue to lag behind other states that spend far less money than we do. This budget, ultimately, fails to fix what’s actually wrong with New York. Unless the governor and her legislative allies take this reality seriously, we will be having this same conversation next spring.
William (Will) A. Barclay, 56, Republican, is the New York Assembly minority leader and represents the 120th New York Assembly District, which encompasses all of Oswego County, as well as parts of Jefferson and Cayuga counties.
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