New York Recovers $674K in Back Wages for Retail Staff

Thousands of retail employees will receive back pay after a state audit uncovered spread of hours rule violations.

Updated on Oct. 30, 2026 in Employment

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The New York State Department of Labor has recovered $674,526 in back wages for 7,577 TJX Companies employees following a state-wide payroll audit. AI Illustration. Upload story photo >

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The New York State Department of Labor has recovered $674,526 in back wages for 7,577 employees of The TJX Companies. The enforcement action follows a state audit of 185 store locations across New York regarding violations of labor pay regulations.

Why it matters

This recovery stems from the state's 'spread of hours' rule, which requires employers to pay an additional hour of wages when a workday spans more than 10 hours. The oversight ensures employees receive mandated compensation for their full workdays, helping household budgets stay intact.

The state recovered $674,526 for 7,577 workers, with individual back wage payments reaching up to $4,686. This action is part of a broader effort that has seen the department recover $35 million in unpaid wages during 2025.

The players

New York State Department of Labor

The state agency responsible for enforcing labor laws and recovering unpaid wages for workers.

The TJX Companies

The parent corporation of retail chains like Marshalls that employed the workers involved in the wage recovery.

The details

State investigators identified the violations after an unannounced visit to a Marshalls store in the Bronx led to a broader payroll record review. The audit covered records from August 2020 through August 2023, confirming that The TJX Companies failed to provide the required extra hour of pay for shifts exceeding the 10-hour threshold. The company ultimately conducted a self-audit of 185 New York locations to resolve the discrepancy.

Timeline

  1. August 2020 marked the start of the period covered by the company self-audit.

  2. The state labor department initiated the investigation in April 2023.

  3. The audit concluded its review of payroll records in August 2023.

  4. The Department of Labor announced the wage recovery on October 30, 2026.

Money Landscape

This recovery is part of a larger state push, with $35 million in unpaid wages returned to workers in 2025 alone. It underscores the active enforcement of the state's spread of hours rule for retail staff working long shifts.

Workers who regularly work shifts spanning more than 10 hours should review their pay stubs to ensure they are receiving the mandated 'spread of hours' pay. If you believe your employer is not following state wage laws, consult a professional regarding how to file a formal claim.

The takeaway

Retail workers with long daily shifts should ensure their total hours and extra pay are accurately reflected in their pay records. Maintain your own personal log of start and end times if you suspect your employer is not paying the mandated spread of hours premium.

Further reading

Learn more about your rights in the Employment section.

More information

To review your pay or report a potential labor violation, visit the Department of Labor wage complaint filing portal.

Source note: This article includes information reported by WRGB.

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