New York cannabis businesses no longer have to sign labor peace agreements with unions to hold a state license. Gov. Kathy Hochul signed the change into law on Oct. 28. But she signed it only after securing a deal to strip out a major piece of the bill that business groups had fought: a board that would have recommended a minimum wage for cannabis workers.
That leaves an unusual gap. The labor peace repeal is already law. The wage board's removal is promised, not passed.
What Hochul signed
The state Senate's bill record lists S10643, carried by Sen. Jessica Ramos, with its Assembly companion A11562 carried by Assemblymember Harry Bronson, as signed on Oct. 28 as Chapter 369, with an approval memo. The Senate passed it 37-23 on June 4, and the Assembly passed it the next day.
The text as passed does three main things:
- Ends mandatory labor peace agreements. It strikes the requirement from the Cannabis Law for licensees and registered organizations, along with related grounds for denying renewal or suspending a registration. This part took effect immediately.
- Adds reporting. Applicants and renewal applicants would disclose their full ownership structure and management service agreements, plus a public report on pay ranges by job title and average hours by position.
- Creates a wage board. A three-member Cannabis Industry Wage Board would hold its first hearing by March 1, 2027, and report recommended minimum wages by Dec. 31, 2027.
The reporting and wage board sections are set to take effect Jan. 31, 2027. The law also tells regulators to consider, for applicants with 25 or more employees, whether they have an agreement with a building and construction trades organization for work on their facilities.
The deal behind the signature
According to Marijuana Moment's report on her approval memo, Hochul wrote that "New York's cannabis industry is in its infancy." She said the bill would impose a "burdensome reporting requirement" and create a wage board that "could raise costs for licensees and drive consumers to the illicit market."
In New York, this kind of arrangement is called a chapter amendment: the governor signs a bill after lawmakers agree to pass changes in the next session. The memo says the agreement removes the wage board and would give the Cannabis Control Board discretion to prioritize adult-use applications based on an applicant's voluntary labor peace agreement.
Two things remain open. We have not seen the amendment's text, and the reporting we could read does not say whether the ownership and pay disclosures survive. Until lawmakers act, the signed text is what stands.
Who is cheering, and who isn't
Business groups had pressed for this outcome. The Cannabis Association of New York asked members in July to urge a veto, warning about the risk to small equity businesses. After the signing, the Empire Cannabis Manufacturers Alliance, the Association of New York Cannabis Processors and the Cannabis Farmers Alliance praised Hochul for stopping a wage board, and Safe and Affordable Cannabis for New York called it "a major victory." We did not find a public response from the bill's sponsors or from organized labor.
The bill's own justification said its provisions aimed to help ensure workers are treated fairly. If the amendment passes, New York will be left without the industry-specific wage review its sponsors proposed. General labor laws still apply, and the signed text keeps language protecting existing collective bargaining agreements from being voided after a market-share review.
What it means for New York
For operators, the immediate change is one less licensing condition. It may matter quickly for growers: a law firm summary of the state's nursery license window, published before the signing, said a labor peace agreement must be provided before a nursery license is issued. That window opens Nov. 5. We found no Office of Cannabis Management guidance yet on how the new law changes that step, so applicants should confirm with the agency.
For workers, the question is whether unions keep the same footing to organize. The industry had already been shedding jobs, and falling prices are squeezing margins, which is the case employers made against a wage floor.
For shoppers, nothing changes at the counter. Purchase limits, the 21+ rule and the list of licensed stores stay the same. For adults 21+.