S T A T E O F N E W Y O R K
________________________________________________________________________
5011
2015-2016 Regular Sessions
I N A S S E M B L Y
February 10, 2015
___________
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.
LBD01899-01-5
A. 5011 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 OCTOBER FIRST, TWO THOUSAND FIFTEEN SHALL REFUND THE
FULL AMOUNT TO THE JOB APPLICANT BY NOVEMBER FIRST, TWO THOUSAND FIFTEEN
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 OCTOBER FIRST,
TWO THOUSAND FIFTEEN MUST BE REFUNDED TO THE APPLICANT BY NOVEMBER
FIRST, TWO THOUSAND FIFTEEN 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 October 1, 2015.