senate Bill S2706A

Enacts the "Unemployment Insurance Liability Act of 2014"

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 23 / Jan / 2013
    • REFERRED TO LABOR
  • 08 / Jan / 2014
    • REFERRED TO LABOR
  • 10 / Feb / 2014
    • AMEND (T) AND RECOMMIT TO LABOR
  • 10 / Feb / 2014
    • PRINT NUMBER 2706A

Summary

Enacts the "Unemployment Insurance Liability Act of 2014;" requires that employers that are relocated out of New York State continue to contribute to the unemployment insurance fund when former employees of the employer are receiving benefits for two quarters; mandates that employers shall identify all employees being terminated as a result of the relocation and include the amount of weekly wages paid to such individuals as part of the final quarterly payroll report submitted to the department of insurance.

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Bill Details

See Assembly Version of this Bill:
A5375A
Versions:
S2706
S2706A
Legislative Cycle:
2013-2014
Current Committee:
Senate Labor
Law Section:
Labor Law
Laws Affected:
Amd ยง562, Lab L
Versions Introduced in Previous Legislative Cycles:
2011-2012: S6045, A3917
2009-2010: A3788, A3788
2007-2008: A3621, A3621

Sponsor Memo

BILL NUMBER:S2706A

TITLE OF BILL: An act to amend the labor law, in relation to enacting
the Unemployment Insurance Liability Act of 2014

PURPOSE OR GENERAL IDEA OF BILL: Amends the labor law to require that
employers who have relocated their businesses outside of New York
State have continued liability for contributions to the unemployment
insurance fund.

SUMMARY OF SPECIFIC PROVISIONS: The bill would require that employers
who have relocated out of state remain liable for contributions to the
fund for two quartets from the date of relocation. Contributions would
be based on the employer's last quarterly report. The bill would also
require that a relocating employer identifies all employees being
terminated as a result of the relocation and specifies the amount of
their weekly wages.

EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER: Amends section
562 of the labor law.

JUSTIFICATION: Because contributions to the unemployment insurance
fund are based on quarterly payroll reports, businesses that relocate
out of state no longer make contributions to the fund. Still, workers
who have lost their jobs as a result of the relocation are eligible
for benefits for two quarters beyond the time when the business was no
longer required to pay into the fund. The burden of paying benefits to
a relocating business's former employees results in an increased drain
on the funds.

PRIOR LEGISLATIVE HISTORY: S.6045 - 2011-12 - Referred to labor A.3788
- 2009-10 - Referred to labor A.3621 - 2007-08 - Referred to labor
A.7363 - 2005-06 - In Labor Committee A.3870 - 2003-04 - In Labor
Committee A.4748 - 2001-02 - In Labor Committee A.2203 - 1999-00 - In
Labor Committee A.4709 - 1997-98 - Labor Committee A.3554 -
1995-Reported from Labor to Ways & Means

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: None.

EFFECTIVE DATE: This act shall take effect immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2706--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 23, 2013
                               ___________

Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
  printed to be committed to the Committee on Labor  --  recommitted  to
  the  Committee  on  Labor  in accordance with Senate Rule 6, sec. 8 --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted to said committee

AN  ACT to amend the labor law, in relation to enacting the Unemployment
  Insurance Liability Act of 2014

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Short  title. This act shall be known and may be cited as
the "Unemployment Insurance Liability Act of 2014".
  S 2. Legislative findings. The legislature hereby finds  and  declares
that  employers  that  have  relocated  out  of  New  York state are not
required to make scheduled quarterly contributions to  the  unemployment
insurance fund once they have left the state.
  The  legislature further declares that this creates a continuing hard-
ship on the fund which threatens its solvency.
  Therefore, the legislature declares that employer contributions to the
unemployment insurance fund shall continue even after the  employer  has
left New York state, where former employees are receiving benefits.
  S  3.  Subdivision  1  of  section 562 of the labor law, as amended by
chapter 103 of the laws of 1965, is amended to read as follows:
   1.  Required coverage. (a)  Any employer who has once  become  liable
for  contributions under this article with respect to persons other than
persons employed in personal or domestic service in private homes  shall
[cease  to  be  liable  as  of] REMAIN LIABLE UNTIL the first day of the
calendar quarter next following the filing of  his  written  application
provided  the commissioner finds that the employer has not RELOCATED OUT
OF STATE OR, with respect to [such] persons OTHER THAN THOSE EMPLOYED IN
PERSONAL OR DOMESTIC SERVICE IN  PRIVATE  HOMES,  paid  remuneration  of

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06939-02-4

S. 2706--A                          2

three  hundred  dollars  or  more  in  any of the four calendar quarters
preceding such day.
   (b)  AN  EMPLOYER  WHO HAS RELOCATED OUT OF STATE SHALL REMAIN LIABLE
FOR CONTRIBUTIONS TO THE FUND FOR TWO QUARTERS FROM THE  DATE  ON  WHICH
THE RELOCATION OCCURRED. CONTRIBUTIONS TO THE FUND SHALL BE BASED ON THE
FINAL QUARTERLY REPORT AS SUBMITTED.
  (C) AN EMPLOYER WHO HAS RELOCATED OUT OF STATE SHALL:
  (I)  IDENTIFY  ALL EMPLOYEES BEING TERMINATED AS A RESULT OF THE RELO-
CATION, AND
  (II) INCLUDE THE AMOUNT OF WEEKLY WAGES PAID TO  SUCH  INDIVIDUALS  AS
PART OF THE FINAL QUARTERLY PAYROLL REPORT SUBMITTED TO THE DEPARTMENT.
  (D)    Any employer who has once become liable for contributions under
this article with respect to persons employed in  personal  or  domestic
service  in  a private home shall cease to be liable as of the first day
of the calendar quarter next following the filing of his written  appli-
cation,  provided  the commissioner finds that the employer has not with
respect to such persons  paid  remuneration  in  cash  of  five  hundred
dollars or more in any of the four calendar quarters preceding such day.
  S 4. This act shall take effect immediately.

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