Hochul Drops Cannabis Wage Board From Repeal Bill

Chapter amendments remove the proposed cannabis wage board while keeping the repeal of labor peace agreement requirements for licensed businesses.

Updated on Nov. 4, 2026 in Unions

Hochul Drops Cannabis Wage Board From Repeal Bill

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Gov. Kathy Hochul signed legislation repealing labor peace agreements required for cannabis businesses, and agreed to chapter amendments removing the proposed Cannabis Wage Industry Board. The repeal is preserved in full, so cannabis businesses will not be required to enter into or maintain labor peace agreements to obtain or keep licenses.

Why it matters

The original bill would have added a burdensome reporting requirement for applicants and a wage board that could raise costs for licensees, which supporters argued could push consumers toward the illicit market. Removing the board addresses those concerns while the repeal stands.

The Assembly passed the bill 98-34 and the Senate passed it 37-23, and the chapter amendments removing the wage board are slated for a floor vote after the new session begins in January. Chapter amendments remain unvoted, and a federal challenge to labor peace agreements is still pending in the Southern District of New York.

The players

Kathy Hochul

Kathy Hochul is the Governor of New York, who signed the repeal legislation and agreed to the chapter amendments removing the cannabis wage board.

Liz Krueger

Liz Krueger is a Democratic New York state senator representing Manhattan who opposed the creation of the cannabis wage board.

The details

Sen. Liz Krueger, D-New York City, opposed creating the wage board. Five licensed dispensaries in Jamestown are among the businesses affected by the decision.

Timeline

  1. Late October 2026: A federal judge in the labor peace lawsuit died.

  2. November 2026: Hochul signed the legislation and agreed to remove the wage board through chapter amendments.

  3. January 2027: The chapter amendments are to be brought to the legislative floor.

Political Context

Labor peace agreements have been a point of contention for New York's cannabis industry, with the state now repealing the requirement for licensed businesses. The removed wage board reflects opposition that such oversight could raise costs and push consumers toward the illicit market.

Cannabis businesses across New York will no longer need labor peace agreements to obtain or keep their licenses. Licensed dispensaries, including the five in Jamestown, will avoid the reporting requirement and potential wage board costs that the original bill proposed.

The takeaway

Removing the wage board while keeping the labor peace repeal shows lawmakers weighing industry costs against labor oversight, a balance that will continue to shape New York's cannabis market.

What happens next

The chapter amendments removing the cannabis wage board are scheduled to be brought to the legislative floor after the new session starts in January 2027.

Further reading

Explore more on Unions to see how labor agreements shape the state's industries.

Source note: This article includes information reported by Observertoday.

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