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New York Enacts Worker Protections, Bans Debt Contracts

12/31/2025

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Summary

Story summary

New York Governor Kathy Hochul signed three employment bills into law on December 19, 2025.
The Trapped at Work Act bans debt-creating contracts for workers who leave, including "TRAP" agreements.
Employers may not use consumer credit histories in hiring, effective April 18, 2026, with exceptions.
Amendments to the New York State Human Rights Law allow disparate-impact claims.
Hochul vetoed a bill to broaden worker protections, citing vague mandates.

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Story summary

New York Governor Kathy Hochul signed three employment bills into law on December 19, 2025.
The Trapped at Work Act bans debt-creating contracts for workers who leave, including "TRAP" agreements.
Employers may not use consumer credit histories in hiring, effective April 18, 2026, with exceptions.
Amendments to the New York State Human Rights Law allow disparate-impact claims.
Hochul vetoed a bill to broaden worker protections, citing vague mandates.