You are correct; the employer cannot make any unauthorized deduction: here is the relevant statute:
195-2.1 Prohibited Practices (a) Wage deductions. No employer shall make any deductions from wages except those that fall within the following four categories: (1) Any deductions made in accordance with any law, rule or regulation issued by any governmental agency; (2) Deductions specified by, or similar to those specified by, section 193 of the Labor Law, authorized by, and for the benefit of, the employee; (3) Deductions for the recovery of overpayments made in accordance with this Part; and (4) Deductions for the repayment of wage advances made in accordance with this Part. (b) Separate transactions. No employer shall make any charge against wages, or require an employee to make any payment by separate transaction unless such charge or payment is permitted as a deduction from wages under this Part or is permitted or required under any provision of a current collective bargaining agreement.
Such action can be reported to the Labor Board
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