A federal court has temporarily blocked a New York law that aimed to extend prevailing wage requirements to off-site custom fabrication for public works projects. This legislation, signed into law in 2025, would have required contractors and subcontractors to pay prevailing wages at the county level and to submit certified payroll records for all off-site custom fabrication related to public projects in New York. This includes custom woodworking (such as cabinets and counters), plumbing, HVAC, and mechanical insulation.

In May, a coalition of construction industry groups filed a lawsuit against the state, claiming that the mandate is both unconstitutional and impractical. The law, set to take effect on June 18, is currently on hold while the lawsuit is resolved. As a result, the expanded prevailing wage rules do not apply to fabrication shops during this period. NFIB will continue to monitor the developments in the case.