Requires that certain companies pay an annual tax if the chief executive receives compensation 100 to 250 times greater than the median pay of all their employees.

New York Assembly Bill A00970, introduced on January 8, 2025, proposes that companies whose chief executive officers (CEOs) earn between 100 and 250 times the median compensation of their employees must pay an annual tax. This tax aims to address income inequality by targeting companies with significant disparities between executive and employee pay. The bill has been referred to the Assembly Ways and Means Committee for further consideration.

While specific media coverage on Assembly Bill A00970 is limited, similar legislative efforts in other regions have been met with support from labor unions and progressive organizations. These groups argue that such measures promote fair wages and reduce income inequality. For instance, similar proposals in other states have garnered endorsements from labor unions and social justice groups advocating for equitable compensation practices.

Conversely, business associations and conservative commentators have often criticized similar bills, arguing that they could lead to job losses, reduced investment, and hinder economic growth. They contend that imposing additional taxes on companies based on executive compensation ratios may discourage businesses from operating in the state. For example, similar proposals in other states have faced opposition from business groups concerned about potential negative impacts on the business climate.