What's happening
This bill bans individuals and entities guilty of wage theft from bidding on or participating in New York public works contracts.
Why it matters
Targets both individuals and business entities. , ensuring that anyone with a history of wage theft—whether as a direct bidder or as an owner, manager, or stockholder—cannot participate in public works projects, thus closing loopholes for repeat offenders operating through different business structures.
Creates strong disclosure requirements. , requiring all bidders to reveal the full list of people with ownership or managerial interest, allowing the state to screen for wage theft violations among all key figures, not just the entity itself.
Mandates ongoing compliance. , not just at the time of the bid but throughout the life of the contract—if someone with a wage theft record is brought into a company after a contract is awarded, the contract must be immediately terminated, deterring backdoor involvement.
Imposes a permanent ban for intentional violators. , meaning those who knowingly engage in wage theft cannot ever work on public projects again, creating a powerful deterrent and signaling zero tolerance for wage theft in public contracting.
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Who cares
Public works contractors and bidders
They would have to disclose members, managers, individuals and stockholders to the labor commissioner for review and could not receive contracts if interested members, managers or stockholders had been found guilty of or debarred for wage theft.
Contractor owners and managers
Individuals who knowingly or intentionally commit wage theft would be permanently barred from bidding or participating as members, managers or stockholders in entities bidding on or awarded public works projects.
Agencies awarding public works contracts
Contracts would face immediate termination if a contractor subsequently allowed someone previously debarred or found guilty of wage theft to hold an interest as a manager, member or stockholder.
Workers owed wages or benefits
The bill would tie public works eligibility to wage theft, defined as denying employees wages or benefits rightfully owed to them.
Headline styles
Ban Wage Thieves from Contracts
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to labor
- 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.
Ban Wage Thieves from Contracts
In Assembly Committee · Labor · Sponsor Brian Barnwell
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6075
2017-2018 Regular Sessions
IN SENATE
May 11, 2017
Introduced by Sen. ALCANTARA -- read twice and ordered printed, and when printed to be committed to the Committee on Labor
AN ACT to amend the labor law, in relation to banning individuals who have violated wage theft laws from bidding on public works projects
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The labor law is amended by adding a new section 224-a to read as follows:
§ 224-a. Prohibition against awarding public works project contracts due to wage theft. 1. For the purpose of this section, "wage theft" shall mean the denial of wages or employee benefits that are rightfully owed to an employee.
2. Before the awarding of a contract for any public works project, an individual; limited liability company; limited liability partnership; corporation; partnership or any other legal entity bidding on such public works project must reveal to the commissioner for review the full names of all members; managers; individuals; and/or stockholders of such limited liability company; limited liability partnership; corporation; partnership or any other legal entity or person bidding on such project.
3. A public works contract shall not be awarded to any person; limited liability company; limited liability partnership; corporation; partnership or any other legal entity, who has any members; managers; and/or stockholders who have interest in such legal entity, who has previously been found guilty and/or debarred for wage theft.
4. At no time after the awarding of a public works project, shall a person; limited liability company; limited liability partnership; corporation; partnership or any other legal entity authorize an individual as manager; member and/or stockholder who has ever been debarred and/or found guilty of wage theft to hold any interest in such legal entity. The violation of this subdivision shall result in the immediate termination of the contract.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09315-02-7
S. 6075 2
5. Any individual person who knowingly or intentionally commits wage theft, shall permanently be barred from bidding themselves, or being a part; member; manager; and/or stockholder of any limited liability company, limited liability partnership, corporation, partnership or any other legal entity that bids on or is awarded any public works project.
§ 2. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the labor law, in relation to banning individuals who have violated wage theft laws from bidding on public works projects
Purpose
To ban individuals who have previously violated wage theft laws from being able to bid on public works projects
Summary of provisions
Before the awarding of a contract for any public works project, an individual, the LLC, LLP, Corporation, Partnership, or any other legal entity bidding on such public works project must reveal to the Commissioner for review the full names of all members/managers/individuals/stockholders, of such LLC, LLP, Corporation, Partnership, or any other legal entity or person bidding on such project.
A public works contract shall not be awarded to any person, LLC, LLP, Corporation, Partnership, or any other legal entity, who has any members/managers/stock-holders who have interest in such legal entity, who has previously been found guilty and/or debarred for wage theft.
At no time after the awarding of a public works project, shall a person, LLC, LLP, Corporation, Partnership, or any other legal entity authorize an individual as manager/member/stock holder who has ever been debarred and/or found guilty of wage theft to hold any interest in such legal entity. The violation of this provision shall result in the immediate termination of the contract.
Any individual who knowingly or intentionally commits wage theft shall permanently be barred from bidding themselves, or being a part, member, manager, and/or stock-holder of any LLC, UP, Corporation, Partnership, or any other legal entity, that bids on or is awarded any public works project.
Justification
To combat the rise of wage theft, stricter laws are required. Currently, various legal entities (who are awarded public works projects) exist (and because of how they are set up) make it difficult to determine the actual members of such legal entities. When a wage theft violation occurs by these legal entities, many of the individuals who make up these entities are not held accountable because they are unknown.
Because they are unknown, it is possible many members continuously commit wage theft violations on current and future projects. This bill would force legal entities bidding on public works projects to reveal all their members to the commissioner. This would allow the commissioner to determine if these legal entities have any individuals who have committed wage theft and/or have been debarred. This bill would also ban any individual who has ever knowingly or intentionally ever committed a wage theft violation and/or is debarred from being able to bid or be granted a public works project, either individually or as part of any legal entity. This bill would also prevent any legal entity (attempting to obtain a public works project) who hires or who has as a manager, share-holder, member of such legal entity, any individual who has committed a wage theft violation and/or is debarred from bidding and/or being granted a public works project.
Legislative history
New bill.
Fiscal impact
To be determined.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.