Industry Update: Legislative Changes Impacting Contractors & Employers

On January 20, MCA members came together for an important legislative briefing with Erik Ortmann, Partner and Co-Chair of the Construction Practice Group at Kaufman Dolowich, to discuss new laws and regulatory changes affecting the New York construction industry.

The session focused on upcoming state and local legislation that will directly impact contractors, subcontractors, fabricators, and construction employers- particularly around prevailing wage requirements, retainage limits, litigation timelines, and expanded employee leave policies.

Key Topics Covered

Members received practical guidance on several major changes, including:

Expansion of prevailing wage laws to certain off-site custom fabrication work for public projects
A 5% cap on retainage in private construction contracts
Shortened deadlines for third-party litigation claims under the AVOID Act
Expanded Paid Family Leave eligibility for union construction workers
Updates to NYC sick, safe, and prenatal leave requirements

These updates carry real implications for compliance, contract language, payroll administration, and project costs, making early preparation critical for construction businesses operating in New York.

Supporting Members Through Industry Change

Erik’s clear, practical breakdown helped translate complex legal requirements into actionable steps our members can take now — from reviewing contracts and policies to coordinating with payroll providers and benefit administrators.

At MCA, keeping our membership informed and ahead of regulatory change remains a top priority, and we appreciate everyone who joined the conversation and shared thoughtful questions.

What’s Next at MCA

While we will not hold an Association meeting in February, we’re looking forward to reconnecting at our Annual Meeting in March. In the meantime, we hope you’ll join us at several upcoming programs, including: