What's happening
This bill exempts New York agricultural employers from unemployment insurance payments for farmworkers federally ineligible for such benefits.
Why it matters
Reduces financial burden for New York farms. by exempting them from state unemployment insurance payments on behalf of certain farmworkers who are already ineligible for these benefits under federal law, potentially lowering labor costs for agricultural employers.
Targets workers with H-2A visas. (temporary agricultural workers), making it clear that services performed by these individuals do not count as “employment” for state unemployment insurance purposes if they’re also excluded federally.
Aligns state and federal law. to prevent New York agricultural employers from paying into a system that doesn’t ultimately provide coverage or benefits to these specific workers, addressing a perceived inequity.
May affect funding for unemployment programs. by narrowing the payroll base from which unemployment insurance is collected, which could have longer-term implications for the stability of the unemployment insurance fund or shift costs to other employers.
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Who cares
Agricultural employers
The bill would exclude qualifying services by federally admitted agricultural workers from unemployment insurance coverage, relieving employers of unemployment contributions for that work.
Farmworkers admitted under 8 USC 1188
Their agricultural services would be excluded from state unemployment coverage if those services are also excluded under the Federal Unemployment Tax Act when performed.
New York State Department of Labor
The agency would need to apply the new exclusion based on workers’ admission status and the federal treatment of their services.
Headline styles
End Farm Jobless Pay Mandate
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to labor
- Print number 5823a
- Amend and recommit 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.
End Farm Unemployment Tax
In Assembly Committee · Labor · Sponsor Donna Lupardo
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5823--A
2019-2020 Regular Sessions
IN SENATE
May 15, 2019
Introduced by Sen. METZGER -- read twice and ordered printed, and when printed to be committed to the Committee on Labor -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the labor law, in relation to exempting agricultural employers from paying for unemployment benefits for federally ineligible farm labor
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 2 of section 564 of the labor law is renumbered subdivision 3 and a new subdivision 2 is added to read as follows:
2. Exclusion from coverage. The term "employment" shall not include services rendered by an individual who is admitted to the United States to perform agricultural labor pursuant to 8 USC 1188 if, at the time such services are rendered, they are excluded from the definition of employment in section 3306(c) of the Federal Unemployment Tax Act.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11611-03-9
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 exempt- ing agricultural employers from paying for unemployment benefits for federally ineligible farm labor
Purpose
The purpose of this legislation is to exempt employers of H-2A agricul- tural workers from paying into unemployment insurance fund for employees who are ineligible from receiving such benefits.
Summary of provisions
Section 1: Subdivision 2 of section 564,of the Labor Law is renumbered to subdivision 3, and a new subdivision 2 is added to exempt employers of federal H2A agricultural employees from paying into the unemployment insurance fund.
Section'2: This section provides for the effective date of this legis- lation.
Justification
Currently, New York is the only state in the country that requires agri- cultural employers to pay unemployment insurance premiums for federal H-2A agricultural employees. This bill would rectify this inequity in the New York State Labor Law by exempting agricultural employers from paying for unemployment coverage for H-2A Visa farm workers. Currently, New York agricultural employers who participate in the H-2A Visa farm worker program are required to pay unemployment insurance premiums for temporary visa workers. However, section 3306(c) of the Federal Unem- ployment Tax Act excludes these guest workers from collecting unemploy- ment insurance benefits for their work in the United States, as they will be returning to their home countries. Thus, New York agricultural employers are contributing to an unemployment insurance plan that can never be collected on by the employee.
It is important to note that these guest workers perform a valuable service to the agricultural community by performing work which otherwise would not be performed by the local labor force. Farmers often hire H-2A Visa farm workers when the local labor force is unequipped to provide agricultural workers for these important positions. If enacted, the bill will have a negligible impact on the unemployment insurance fund, as no workers have been allowed to collect unemployment benefits, and no impact on the individuals hired through the H-2A Visa program. This bill is a necessary step in providing financial relief to many of our state's farmers.
Legislative history
New Bill.
Fiscal implications
This legislation would have minimal fiscal implication to the State unemployment fund as no H-2A workers ever collect from the fund.
Effective date
This legislation shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.