New York Attorney General Letitia James today announced a $148,000 settlement with Southerntier Custom Fabricators, Inc. (Southerntier), a sheet metal manufacturer in Elmira, Chemung County, for failing to provide paid sick leave to unionized employees during the peak of the COVID-19 pandemic. An Office of the Attorney General (OAG) investigation found that between September 2020 and April 2022, Southerntier unlawfully withheld paid sick leave benefits from approximately 200 unionized workers while granting those benefits to non-unionized employees. As part of the settlement, Southerntier will deliver $148,252.47 in restitution to impacted employees for the paid sick leave hours they rightfully accrued.
“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. My office will continue to do everything in our power to uphold workers’ rights, and I will always stand proudly with our unions in the fight for fair treatment.”
The OAG opened an investigation into Southerntier in 2022 following a complaint from a member of Sheet Metal Workers Local 112 (Local 112). The OAG found that while the company had provided paid sick leave to its non-unionized employees, it had failed to extend the same benefits to unionized workers from Local 112, as well as from Sheet Metal Workers Local 58, in violation of New York Labor Law. Although Southerntier later amended its collective bargaining agreement to comply with the law, unionized employees were left without critical sick leave benefits for 19 months at the height of the COVID-19 pandemic.
Under the terms of the settlement, Southerntier will pay $148,252.47 in restitution to approximately 200 affected employees, along with up to $13,000 in settlement administration costs. Restitution will be distributed through a claims process overseen by a settlement administrator, ensuring that all eligible employees receive compensation. The agreement also enables OAG to pursue legal action if Southerntier fails to comply with the payment terms.
Attorney General James encourages New Yorkers who believe they have been victims of labor law violations to contact the OAG by filing a confidential complaint online or calling (212) 416-8700.
This is the latest of Attorney General James’ efforts to combat exploitative labor practices. In June 2025, Attorney General James secured $400,000 for underpaid New York City school security guards. In May 2025, Attorney General James secured over $660,000 for health care workers who were recruited from abroad and coerced into exploitative contracts. In March 2025, Attorney General James secured $750,000 and critical reforms to address sexual harassment and discrimination at Con Ed. In February 2025, Attorney General James secured $16.75 million from DoorDash for cheating its delivery workers out of tips and in January 2025, Attorney General James recovered $1.1 million for Rikers Island cleaners cheated out of fair pay. In December 2024, Attorney General James recovered $4 million in withheld tips for former Drizly alcohol delivery workers. In September 2024, Attorney General James secured $17 million from two home health agencies for cheating its workers in a landmark wage parity agreement. Also in September 2024, Attorney General James returned $750,000 in stolen wages to employees of cell phone company Best Wireless. In July 2024, Attorney General James ended unfair labor practices at a major auto services company, Valvoline, and in April 2024, Attorney General James secured nearly $230,000 for building employees cheated out of fair pay. In November 2023, Attorney General James recovered $328 million for Uber and Lyft drivers whose earnings were shortchanged for years.
This matter was handled by Assistant Attorney General Abigail Ramos under the supervision of Deputy Bureau Chief Young Lee and Bureau Chief Karen Cacace, all of the Labor Bureau. The Labor Bureau is a part of the Division for Social Justice, which is led by Chief Deputy Attorney General Meghan Faux and overseen by First Deputy Attorney General Jennifer Levy.
