New York Attorney General Letitia James has announced a $148,000 settlement with Southerntier Custom Fabricators, Inc., an Elmira-based sheet metal manufacturer, for unlawfully denying paid sick leave to unionized employees during the height of the COVID-19 pandemic.
A state investigation revealed that between September 2020 and April 2022, Southerntier granted paid sick leave to non-union workers while withholding the same benefits from approximately 200 unionized employees, violating New York Labor Law.
“Every worker deserves equal access to sick leave, especially during a public health crisis,” said Attorney General James. “By denying paid sick leave to its unionized workers, Southerntier violated its workers’ rights and put their health and safety at risk.”
The Office of the Attorney General launched its investigation in 2022 after receiving a complaint from a member of Sheet Metal Workers Local 112. It was later determined that members of both Local 112 and Local 58 were excluded from sick leave benefits for 19 months, even as COVID cases surged statewide.
Although Southerntier eventually amended its union contracts to comply with the law, the affected workers never received compensation for the lost leave time.
As part of the settlement, the company will pay $148,252.47 in restitution, along with up to $13,000 in administrative costs to manage the claims process. The payments will be distributed through a third-party administrator, and the Attorney General’s Office retains the right to pursue legal action if the company fails to meet the terms of the agreement.
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