Mamdani administration recovers $2.3 million for workers in labor enforcement

The Mamdani administration has secured more than $2.3 million in restitution for workers from four employers accused of violating New York City's worker protection laws, with more than 1,600 workers set to receive compensation, city officials announced Monday.

The settlements, reached by the Department of Consumer and Worker Protection, require Walgreens, Allstar Security, Consulting, Calzedonia — the parent company of lingerie retailer Intimissimi — and Kinship Coffee to pay a combined $2.1 million in restitution to workers, along with more than $218,000 in civil penalties and costs.

Mayor Zohran Mamdani said the city's labor laws are intended to provide workers with stability, arguing that unpredictable schedules and denied time off can have significant consequences for working families.

"When a company shorts a worker on their schedule or their time off, that worker pays for it," Mamdani said. "These laws exist because working families deserve stability on the job. If corporations choose to break them, they will pay what they owe."

The largest settlement was with Walgreens, which will pay more than $1.6 million to more than 570 workers at three Brooklyn stores after investigators found the company repeatedly violated the city's Fair Workweek Law by failing to provide required advance notice of schedules and assigning additional hours without proper notice or employee consent.

Allstar Security & Consulting agreed to pay $270,000 to more than 900 workers after failing to provide paid protected time off required under city law. Calzedonia will pay more than $154,000 to over 50 workers for Fair Workweek violations, while Kinship Coffee will pay more than $67,000 to more than 90 workers at three Queens locations for violating the city's Protected Time Off Law.

DCWP Commissioner Samuel Levine said unpredictable scheduling and unlawful denials of time off can disrupt childcare, education and workers' financial stability. 

"These actions will provide over two million dollars to workers whose rights were violated and serve as a reminder that DCWP will continue taking decisive action against employers, including national corporations like Walgreens, that violate workplace protections," he said.

According to the administration, DCWP has recovered more than $10.1 million in restitution for workers since Mamdani took office.