New York Governor Signs Retail Worker Safety Act

By Siddharth Cavale

NEW YORK (Reuters) – New York Governor Kathy Hochul signed a new law on Thursday that mandates retailers to enhance safety protections for store workers. This law specifically requires major chains to install panic buttons in all New York State locations.

Importance of the Law

The new law, known as the Retail Worker Safety Act (RWSA), was influenced by unions representing retail workers following a rise in high-profile shootings in the state and claims of rising retail crime, though these claims are disputed.

This panic button requirement is the first of its kind across U.S. states. California previously enacted wider workplace safety requirements but did not mandate panic buttons.

Opposition from Retail Groups

Major retailers, including Walmart (NYSE:WMT), the National Retail Federation (NRF), and the Food Industry Alliance of New York State (FIA), have opposed the RWSA. Walmart raised concerns about false alarms related to panic buttons, while others highlighted the associated costs.

Both Walmart and FIA declined to comment, and the NRF referred inquiries to the Retail Council of New York State, which did not respond immediately. Retail associations have previously sent letters to the New York State Senate opposing the panic button measure.

Context of the Law

The RWSA will go into effect in 180 days and mandates that retailers with 10 or more employees adopt a violence prevention plan and maintain records of violent incidents for a minimum of three years. Retailers with 500 or more employees nationwide must install panic buttons in accessible areas or provide wearable panic alarms or mobile-phone-based alert devices to notify emergency services.

This specific provision will take effect on January 1, 2027.

By the Numbers

According to the New York Police Department, New York City has registered at least 40,900 complaints relating to retail theft this year, marking a 2.7% increase from the previous year. In addition, U.S. retailer Target has closed nine locations, including one in East Harlem, citing violence against employees and retail theft as major factors.