NY Scaffold Law Under Fire: Will 2025 Bring Reform After Construction Dive Report?

New York’s Scaffold Law, officially known as Labor Law 240, has been a contentious issue in the state’s construction industry for decades. Enacted in 1885, this law places absolute liability on property owners and contractors for gravity-related injuries, such as falls from heights or falling objects, regardless of negligence. With the construction industry facing rising costs and calls for reform, will 2025 be the year New York finally revisits this controversial legislation?

Understanding the NY Scaffold Law

New York’s Scaffold Law is unique in the United States. It mandates that owners and contractors are 100% liable for elevation-related construction injuries, even if the injured worker was partly at fault. This strict liability standard means that traditional defenses, like contributory negligence or compliance with OSHA standards, are often ineffective. The law applies to a wide range of construction-related activities, including:

Erection
Demolition
Repairing
Altering
Painting
Cleaning
Pointing of a building or structure

The law requires contractors and owners to provide proper safety equipment such as scaffolding, hoists, ladders, slings and other devices to ensure the safety of workers.

The Controversy and Calls for Reform

While the Scaffold Law aims to protect construction workers, it has faced criticism for its impact on construction costs and insurance premiums. Opponents argue that the law’s strict liability standard creates opportunities for fraudulent claims and drives up expenses for both public and private projects.

Rising Costs

The Scaffold Law has been blamed for significantly increasing construction costs in New York. According to industry estimates, the law can add 5% to 10% to overall project expenses. These costs are driven by higher insurance premiums, increased litigation, and inflated settlement payouts.

The New York State School Boards Association estimates that the Scaffold Law costs upstate schools approximately $200 million annually.
In New York City, the School Construction Authority’s insurance costs reached $240 million in a single year, equivalent to the cost of building eight new schools over three years.
Industry-wide, Scaffold Law-related expenses consume an estimated $785 million in public funds each year.
Insurance costs on large construction projects have risen from around 4% of total project value in 2010 to over 12% by 2023–2024.

Fraudulent Claims

Another concern is the potential for fraudulent or exaggerated claims. Because the Scaffold Law imposes strict liability, injured workers can bypass traditional workers’ compensation systems and pursue legal action against property owners and contractors, even if their actions contributed to the incident. Some claimants, assisted by unethical legal or medical professionals, have reportedly staged accidents or overstated injuries, leading to costly litigation.

Legislative Efforts

In response to these challenges, several legislative proposals have emerged to mitigate fraudulent claims and reform the Scaffold Law. One measure introduced in Albany would classify the deliberate staging of construction accidents for insurance fraud as a felony offense.

U.S. Rep. Nick Langworthy introduced the Infrastructure Expansion Act of 2025, which would exempt federally funded construction projects from New York’s Scaffold Law. This bill aims to reduce liability insurance premiums by over 30% for contractors operating in the state. The bill directs claims arising from such projects to federal court, where judges and juries would apply the more common standard of contributory negligence, weighing the extent to which plaintiffs are responsible for their injuries.

Arguments in Favor of the Scaffold Law

Despite the criticisms, many argue that the Scaffold Law is essential for protecting construction workers and ensuring safe working conditions.

Worker Safety

Proponents of the Scaffold Law argue that it creates a powerful incentive for owners and contractors to invest in safety measures. By holding them strictly liable for elevation-related hazards, the law encourages them to prioritize worker safety and implement comprehensive safety protocols.

Compensation for Injuries

The Scaffold Law allows injured workers to seek additional damages, including money for pain and suffering, beyond what workers’ compensation would pay. This is particularly important in cases of severe injuries that can have long-lasting physical, emotional, and financial consequences.

Non-Delegable Duty

The strict liability for safe scaffolding creates a “non-delegable” duty for owners and contractors. They cannot delegate responsibility to someone they hire in an effort to avoid liability should an accident occur.

Potential Reforms in 2025

Several factors suggest that 2025 could be a pivotal year for Scaffold Law reform.

Increased Awareness

The ongoing debate and media coverage surrounding the Scaffold Law have raised awareness of its impact on the construction industry and the need for potential reforms.

Legislative Pressure

With legislative proposals gaining traction and support from industry groups, there is increasing pressure on lawmakers to address the issue and consider potential changes to the law.

Construction Safety Report

According to the NYC Construction Safety Report worker injuries dropped by 30 percent in 2024 compared to 2023. Construction-related incidents fell by 24 percent. Worker injuries reached a nine-year low and construction-related incidents reached a 10-year low; additionally, worker fatalities remained at a 10-year low.

Infrastructure Investment

The Bipartisan Infrastructure Law, which provides significant funding for infrastructure projects across the country, has further amplified the need for Scaffold Law reform in New York. Exempting federally funded projects from the law could save taxpayers billions of dollars and encourage more construction activity in the state.

Navigating Scaffold Law Claims

Regardless of potential reforms, construction workers injured in elevation-related accidents in New York have the right to seek compensation for their injuries. Understanding the complexities of the Scaffold Law and navigating the legal process can be challenging, making it essential to seek guidance from an experienced New York scaffolding accident lawyer.

Eligibility Requirements

To pursue a lawsuit under the Scaffold Law, injured workers must demonstrate that:

They were performing construction, repair, or maintenance work covered by New York Labor Law 240.
The construction accident involved an elevation-related hazard, such as a fall from height or being struck by a falling object.
The property owner or contractor failed to provide necessary and adequate safety equipment.

Challenges Workers Face

Even with the protections of the Scaffold Law, injured construction workers may encounter several challenges when pursuing a claim, including:

Disputes over fault
Insurance company pushback
Complex legal process

Conclusion

The NY Scaffold Law remains a hotly debated topic in New York’s construction industry. While proponents argue that it is essential for protecting worker safety, opponents contend that it drives up costs and creates opportunities for fraud. As 2025 approaches, the pressure for reform is mounting, with legislative proposals and industry groups advocating for changes to the law. Whether these efforts will succeed remains to be seen, but one thing is clear: the future of the Scaffold Law will have a significant impact on the construction industry and the safety of workers in New York State.

If you or someone you know has been injured in a construction accident, it is crucial to understand your rights and seek legal guidance from a qualified attorney. Contact our firm today for a consultation to discuss your case and explore your options for pursuing compensation.