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N.Y. Mayor Bloomberg Sues City Council Challenging Wage Laws

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July 27 (Bloomberg) -- New York Mayor Michael Bloomberg sued the City Council, challenging so-called living-wage and prevailing-wage bills approved over his veto earlier this year, the city’s Law Department said.

The bills require landlords who rent office space to the city and many industrial companies and real-estate developers that get city financial aid to pay employees who work on the premises more than the state’s minimum wage, the Law Department said in a statement. The suit was filed today in state Supreme Court in Manhattan, the department said.

“The council seeks to impose a regulatory minimum wage upon selected sectors of the city economy that are remote from direct city involvement,” Michael A. Cardozo, the city corporation counsel, said in the statement. The highest state court “has held that minimum wage regulation is a subject matter reserved to the state,” he said.

Bloomberg said at the time of his veto that the bills would harm the ability to attract business to the city and make it less desirable to do business, the Law Department said.

“We are confident that in passing the prevailing-wage and living-wage laws, the council acted within its authority under state law and the City Charter,” Zoe Tobin, a City Council spokeswoman, said in a statement.

The filing of the suit couldn’t be immediately confirmed in court records.

The mayor is the founder and majority owner of Bloomberg LP, the parent company of Bloomberg News.

To contact the reporters on this story: Chris Dolmetsch in New York at cdolmetsch@bloomberg.net; Henry Goldman in New York at hgoldman@bloomberg.net.

To contact the editors responsible for this story: Michael Hytha at mhytha@bloomberg.net; Stephen Merelman at smerelman@bloomberg.net.

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