Amends the waterfront commission act

Section 2. If any part or provision of this act is deemed invalid by any court of competent jurisdiction, that judgment shall only be applied to the specific provision found invalid and it shall not affect or impair the remainder of this act.

Section 3. This act constitutes an agreement between the states of New York and New Jersey, and shall be viewed as supplementary to the Water Commission Compact and adopted to accomplish the purposes of this compact.

Section 4. Effective Date.

Justification

Forty-three years ago New York and New Jersey supplemented their bistate Waterfront Commission Compact by enacting Section 5-p, the "controlled register statute." The statute empowers the Waterfront Commission of New York Harbor to control the size of the longshore workforce in the PONYNJ by periodically opening and closing the register of persons licensed to work on the docks. Employers in the PONYNJ are the only employers in the nation engaged in the business of international maritime commerce who are denied the ability to expeditiously perform the basic management function of hiring new workers or replacing those lost through attrition and retirement.

Since the enactment of the Civil Rights Act of 1964 established specific agencies such as the Equal Employment Opportunity Commission, New Jersey Division on Civil Rights, and the New York State Division of Human Rights to address issues related to fair employment practices, and the conditions which prompted the need for section 5-p. no longer exist, section 5-p. has become an anachronism that impedes the expeditious hiring and training of additional dockworkers when necessary to handle increases in cargo volume and to capitalize on opportunities for economic growth in the PONYNJ. Failure to have an adequate workforce skilled in the operation of modern cargo handling equipment has and will continue to hinder efficient Port operations and threatens the economic engine propelled by the Port. At risk is the Port's hard won share of the increasing amount of international trade that can easily be diverted to other ports. It is expected that projects to deepen the New York Harbor shipping channels and raise the level of the Bayonne Bridge's Roadway in preparation for the projected late 2016 completion of an expansion project underway in the Panama Canal will result in a major opportunity for growth in the industry. The opportunity and challenge to secure adequate manpower to handle the anticipated increases by the industry will be a major consideration in the decision making process of beneficial cargo owners and ocean carriers who prefer to use the PONYNJ as their primary port of call. The potential for economic loss to the economies of New York, New Jersey, and the Northeast Region could be staggering if productivity is lacking due to continued use of the current slow and antiquated hiring process.

On September 9, 2013 following the ratification of a new Collective Bargaining Agreement, industry representatives submitted a request to hire an additional 682 workers in the Port workforce. The primary reasons for the request was to replace senior members of the workforce who had accepted an early retirement incentive plan and to put in place provisions of the new CBA designed to activate essential productivity and efficiency improvements. As the result of the slow inefficient process currently in place, it was not until February 4, 2014, that the first new workers were hired in the PONYNJ. It then took until late September of 2015, more than two years, to complete the hiring of the entire 682 workers requested. Because of the cumbersome hiring process currently in place, industry leaders now estimate they are one year behind schedule on implementing critical productivity and efficiency improvements. Looking forward, the ability to agilely maintain adequate manpower levels to address the demands of its customers, will be a major factor in the PONYNJ's ability to both sustain and strengthen itself as the economic engine for the world's wealthiest consumer market as it competes for a larger share of the economic prosperity and qua lity of life benefits that international maritime commerce brings to this region and nation.

This legislation gives employers at the PONYNJ the authority to adjust the size of the longshore workforce without the artificial constraints of an administrative agency ill-suited for making market- driven commercial decisions to meet the demands of its customers. However, it retains the Commission's traditional role in the longshore licensing process. Under this legislation, hiring in the longshore industry would conform to hiring practices in other industries employing licensed personnel where private industry determines the number of new employees needed and selects the individuals to fill these positions. These individuals would still be subject to federal and state criminal history background check review by the Commission to insure the good character and integrity of the workers selected. This legislative change does not interfere with the Waterfront Commission's core police powers in any way.

Prior legislative history

2014: A.4636/S.3984 -- Died in Corporations, Authorities and Commission; 2012: A.7155-D/S4688-C - Died in Corporations, Authorities and Commissions; 2010: A5274 Farrell 2010: S5039 Hassell-Thompson.

Fiscal implications

None.

Effective date

This act shall take effect upon the enactment into law by the state of New Jersey of legislation having an identical effect with this act, but if the state of New Jersey shall have already enacted such legislation, then it shall take effect immediately; and provided that the waterfront commission shall notify the legislative bill drafting commission upon the occurrence of the enactment of the legislation provided for in section one of this act in order that the commission may maintain an accurate and timely effective data base of the official text of the laws of the state of New York in furtherance of effecting the provisions of section 44 of the legislative law and section 70-b of the public officers law.