What's happening
This bill requires workers’ compensation payments to be made by direct deposit if requested by the recipient, removing employer discretion.
Why it matters
Empowers injured workers and beneficiaries. by giving them the right to choose direct deposit for compensation payments, rather than leaving that choice up to employers or insurers.
Reduces payment delays and increases reliability. by ensuring funds are deposited directly into recipients’ bank accounts, which can be especially important for those recovering from injury or dealing with sudden income loss.
Promotes financial inclusion and convenience. , as direct deposit can make it easier for workers to access their money quickly and avoid check-cashing fees or lost payments.
Removes administrative barriers. that previously allowed employers or their insurance carriers to block direct deposit, making the process more uniform and predictable for all claimants.
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Require Direct Deposit Payments
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.
Require Direct Deposit for Compensation
In Senate Committee · Labor · Sponsor David Carlucci
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
377
2019-2020 Regular Sessions
IN ASSEMBLY (Prefiled)
January 9, 2019
Introduced by M. of A. STECK -- read once and referred to the Committee on Labor
AN ACT to amend the workers' compensation law, in relation to direct deposit of compensation payments
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (a) of subdivision 9 of section 25 of the workers' compensation law, as amended by chapter 70 of the laws of 2005, is amended to read as follows:
(a) Compensation payments or any portion of compensation payments [may] shall be allowed, upon the written request from an injured worker or a person entitled to a death benefit provided by this chapter, to be deposited directly in a bank for any purpose to an account in the name of such injured worker or person entitled to a death benefit, on forms provided by the board, and duly filed in accordance with such regulations[, provided that an injured worker's employer, if such employer is an authorized self insured employer, or otherwise such employer's insurance carrier, has elected to permit the direct deposit of such compensation payments].
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03521-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.