Relates to the confidentiality of unemployment insurance information

BILL NUMBER:S2841

Title of bill

An act to amend the labor law, in relation to the confidentiality of unemployment insurance information

Purpose or general idea of bill

This bill would amend Labor Law §537 to authorize the Department to disclose unemployment insurance and/or wage reporting information to the State Education Department as necessary to develop and implement a mutually beneficial state workforce longitudinal tracking system for individuals obtaining K-12 and post secondary education, as well as workforce services. The bill would give the Commissioner of Labor discretionary authority to enter into a data sharing agreement with SED that would assist the Department to fulfill its role in connection with the state's Race to the Top grant, as well as its own federal program performance requirements.

Summary of specific provisions

Section 1 would amend Labor Law (3) (g) to authorize the Department to disclose unemployment insurance and/or wage reporting information to the state Education Department in order to develop and implement a state workforce longitudinal administrative data system.

Section 2 would provide for an immediate effective date.

Existing law

Labor Law §537(1) defines confidential unemployment insurance information as information obtained from employers and claimants under Labor Law Article 18. Labor Law §537(3) authorizes the Department to make unemployment insurance and wage information available to Specified state agencies for purposes enumerated therein, subject to the discretion of the Commissioner. The Commissioner is authorized to require entities receiving such information to enter into data sharing agreements that would establish parameters to protect the confidentiality of the data being shared by the Department.

Justification

Labor Law §537(3) authorizes the Department to make unemployment insurance and wage information available to State agencies for specified purposes. The bill would amend subdivision (3) of §537 to authorize the Department to make unemployment insurance and wage reporting information available to the State Education Department as needed in order to develop and implement a state workforce longitudinal administrative data system. This will not only facilitate the Department's role in implementing a Race to the Top grant for which the state has an outstanding application, but it would also allow the Department to compete for federal USDOL grant monies that support the development of longitudinal data systems that support the operation and performance reporting for state workforce programs. Any such disclosure of information would be subject to a confidentiality requirement consistent with the united States Department of Labor

regulation on the confidentiality of unemployment insurance information (20 CFR Part 603). Reciprocal exchanges of data would be subject to confidentiality requirements of the Family Educational Rights and Privacy Act (FERPA). The united States Department of Labor, Employment and Training Administration (ETA) is encouraging State Workforce Agencies to develop and use state workforce longitudinal administrative data systems that will link data longitudinally at the individual level. Such systems will lead to enhanced evaluation of workforce and educational training programs.

Prior legislative history

2010- Died in Rules Committee.

Fiscal implications

None.

Effective date

This act shall take effect immediately.