Assembly Bill A7638A

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

                                  7638

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                              May 29, 2013
                               ___________

Introduced  by  M. of A. MOYA -- read once and referred to the Committee
  on Consumer Affairs and Protection

AN ACT to amend the general business law, in relation to fees charged by
  employment agencies for class "A" or "A-1" employment

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

  Section  1.  Subdivision 1 of section 185 of the general business law,
as amended by chapter 460 of the laws of 2012,  is  amended  and  a  new
subdivision 1-a is added to read as follows:
  1. Circumstances permitting fee. An employment agency shall not charge
or  accept  a  fee  or other consideration unless in accordance with the
terms of a written contract with a job applicant[, except:
  (a) for class "A" and "A-1" employment, and  except]  AND  after  such
agency  has  been  responsible  for  referring  such job applicant to an
employer or such employer to a job applicant and where as a result ther-
eof such job applicant has been employed by such employer[; and
  (b)], EXCEPT for class "C" employment: [(i)] (A) after an  agency  has
been responsible for referring an artist to an employer or such employer
to an artist and where as a result thereof such artist has been employed
by  such employer; or [(ii)] (B) after an agency represents an artist in
the negotiation or renegotiation of an original or pre-existing  employ-
ment  contract  and  where  as a result thereof the artist enters into a
negotiated or renegotiated employment contract. For class "C" employment
pursuant to this paragraph, an employment agency shall provide an artist
with a statement setting  forth  in  a  clear  and  concise  manner  the
provisions  of  this  section and section one hundred eighty-six of this
article.  The maximum fees provided for herein for all types  of  place-
ments  or  employment  may be charged to the job applicant and a similar
fee may be charged to the employer provided, however, that  with  regard
to  placements  in class "B" employment, a fee of up to one and one-half
times the fee charged to the job applicant may be charged to the employ-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04101-04-3
              

A. 7638                             2

er. By agreement with an employment agency, the employer may voluntarily
assume payment of the job applicant's fee. The fees charged to employers
by any licensed person conducting an  employment  agency  for  rendering
services in connection with, or for providing employment in classes "A",
"A-1"  and  "B",  as  hereinafter  defined  in  subdivision four of this
section where the applicant is not charged a fee shall be determined  by
agreement  between the employer and the employment agency.  No fee shall
be charged or accepted for the registration of applicants for  employees
or employment.
  1-A.  FEE REFUND.   AN EMPLOYMENT AGENCY WHO HAS CHARGED OR ACCEPTED A
FEE OR OTHER CONSIDERATION FOR CLASSES "A" AND "A-1" EMPLOYMENT  WITHOUT
A  CONTRACT  PRIOR TO JULY FIRST, TWO THOUSAND THIRTEEN SHALL REFUND THE
FULL AMOUNT TO THE JOB APPLICANT BY AUGUST FIRST, TWO THOUSAND  THIRTEEN
IF:  (I)  SUCH  FEE  OR  CONSIDERATION DID NOT LEAD TO THE JOB APPLICANT
OBTAINING EMPLOYMENT THROUGH THE EMPLOYMENT AGENCY; OR (II) THE  FEE  OR
CONSIDERATION  WAS  NOT  APPLIED  TO  THE  JOB  APPLICANT'S  ACCOUNT FOR
SERVICES RENDERED BY THE EMPLOYMENT AGENCY.
  S 2. Subdivision 3 of section 185 of  the  general  business  law,  as
amended  by  chapter  1010  of  the  laws of 1960, is amended to read as
follows:
  3. Deposits, advance fees. Notwithstanding  any  other  provisions  of
this  section,  an employment agency [may] SHALL not require OR ACCEPT a
deposit or advance fee from any applicant [except an applicant for class
"A" or class "A1" employment, and only to the extent of the maximum fees
hereinafter provided. Such  deposit  or  advance  fee  shall  be  offset
against  any  fee  charged or accepted when such employment is obtained.
Any excess above the lawful fee shall be returned without demand  there-
for, immediately after the employment agency has been notified that such
employment  has  been  obtained;  and all of such deposit or advance fee
shall be returned immediately upon demand therefor, if at  the  time  of
the  demand  such  employment  has  not  been  obtained]. ANY DEPOSIT OR
ADVANCE FEE COLLECTED BY AN EMPLOYMENT AGENCY PRIOR TO JULY  FIRST,  TWO
THOUSAND THIRTEEN MUST BE REFUNDED TO THE APPLICANT BY AUGUST FIRST, TWO
THOUSAND  THIRTEEN  IF:  (I) SUCH DEPOSIT OR ADVANCE FEE DID NOT LEAD TO
THE JOB APPLICANT OBTAINING EMPLOYMENT THROUGH THE EMPLOYMENT AGENCY  OR
(II)  THE  DEPOSIT OR ADVANCE FEE WAS NOT APPLIED TO THE JOB APPLICANT'S
ACCOUNT FOR SERVICES RENDERED BY THE EMPLOYMENT AGENCY.
  S 3. This act shall take effect July 1, 2013; provided, however,  that
if  this  act  shall have become a law after July 1, 2013 this act shall
take effect immediately and shall be deemed to have been in  full  force
and effect on and after July 1, 2013.