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History
- Substituted by A6964
- Ordered to third reading cal.1017
- Committee discharged and committed to rules
- Reported and committed to finance
- Reported and committed to codes
- Referred to labor
- Reported and committed to finance
- Reported and committed to codes
- Referred to labor
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Relates to unemployment benefits for innocent bystanders during industry controversy
Signed by Governor · Sponsor Susan John
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
Title of bill
An act to amend the labor law, in relation to unemployment benefits for innocent bystanders during an industrial controversy
Purpose
This bill would protect innocent bystanders who suffer periods of unemployment as the result of a strike in which they are not participating by removing the seven-week waiting period for unemployment benefits that otherwise applies. It would also delete the requirement that employers pay interest on unemployment benefits improperly suspended when employers mislead the Commissioner regarding their intention to rehire striking workers at the conclusion of the strike.
Summary of provisions
Section 1 of the bill would amend Labor Law § 592(1) to remove the seven-week waiting period for receipt of unemployment benefits that currently applies to claimants who have lost their jobs due to a strike or other industrial controversy, for claimants who are "innocent bystanders." Specifically, the bill would exempt a claimant from the seven-week waiting period where the Commissioner determines that the claimant is not working for an employer or bargaining unit involved in the industrial controversy, and is not otherwise participating in the controversy. This section also deletes the requirement that employers pay interest on benefits improperly suspended against worker who are replaced during the strike and are not re-hired once the strike ends, after their employer certified to the Commissioner that the workers were being replaced on a temporary basis and would be re-hired.
Read the full memo (757 words)
Section 2 of the bill would establish an immediate effective date and provide that the bill will apply to loss of employment beginning on or after the effective date.
Existing law
Labor Law § 592 requires a seven-week waiting period prior to eligibility for unemployment insurance benefits for claimants who become unemployed as a result of a strike, regardless of whether they are participating in the strike. Labor Law § 592 also requires employers to pay interest and a penalty on unemployment benefits improperly suspended against strikers when their employers mislead the Commissioner regarding their intention to rehire the workers when the strike ends.
Prior legislative history
This is a new proposal.
Statement in support
Unemployment insurance benefits are intended to provide a critical safety net to workers who lose their employment through no fault of their own by preserving some income for the unemployed worker and his or her family. Individuals who are unable to work because their place of employment is closed or their work is interrupted as a result of a strike in which they are not involved, should be eligible to take advantage of the protection afforded by the unemployment insurance law. Under current law, striking employees may receive unemployment benefits, but must wait seven weeks before being eligible for benefits. This legislation is intended to ensure that innocent bystanders who do not participate in the strike and whose employers or bargaining units are not included in the strike, but who lose their jobs nonetheless as a result of the strike, are not penalized by also having to wait seven weeks to receive benefits. The bill would also help secondary employers who are not responsible for the strike to retain their workforce, where they are compelled to suspend operations and layoff workers due to a downturn in business from the strike. By allowing their workers to receive unemployment benefits, the workers will have income to support their families during the strike and may be less likely to look for other jobs before the strike ends.
In addition, the bill would eliminate the requirement that employers pay interest on unemployment benefits for workers who were not re-hired at the conclusion of a strike in violation of an employer's commitment. Chapter 609 of the laws of 2008 created the interest remedy to compensate employees where their employers certified to the Commissioner that replacement workers hired during the strike were temporary replacements when, in fact, they were retained following the strike. In addition, the Chapter added a significant employer penalty of $750 per employee for each week of benefits lost as a result of the employer deception. The change included in this bill will not affect that penalty. It would merely eliminate an interest payment which would in most circumstances be a nominal monetary amount that would cost far more to implement and administer than the resulting benefit to the employee.
Budget implications
There is no fiscal impact associated with this proposal.
Effective date
This proposal would take effect immediately and apply to loss of employment beginning on or after such effective date.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.