Assembly Bill A5593A

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

                                 5593--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            February 27, 2015
                               ___________

Introduced by M. of A. KAVANAGH -- read once and referred to the Commit-
  tee  on  Ways  and  Means  -- recommitted to the Committee on Ways and
  Means in  accordance  with  Assembly  Rule  3,  sec.  2  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN  ACT  to amend the civil practice law and rules, in relation to money
  judgments in satisfaction of actions brought by employees  for  unpaid
  or  underpaid  wages;  to  amend the state finance law, in relation to
  creating the employee wage safety fund; and to  require  dissemination
  of certain information by the division of labor standards

  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 "wage safety act".
  S  2.  The  civil  practice  law  and rules is amended by adding a new
section 5020-b to read as follows:
  S 5020-B. JUDGMENTS; TAXES PAID IN CERTAIN CASES. IN  CASES  OF  MONEY
JUDGMENTS  IN SATISFACTION OF ACTIONS BROUGHT BY EMPLOYEES FOR UNPAID OR
UNDERPAID WAGES, THE JUDGMENT DEBTOR SHALL BE REQUIRED TO PAY AN  AMOUNT
EQUAL TO TEN PERCENT OF SUCH JUDGMENT INTO THE EMPLOYEE WAGE SAFETY FUND
ESTABLISHED  IN  SECTION NINETY-NINE-Y OF THE STATE FINANCE LAW.  MONIES
IN SUCH FUND SHALL BE AVAILABLE TO MAKE  FULL  OR  PARTIAL  PAYMENTS  ON
JUDGMENTS  FOR  UNPAID  OR  UNDERPAID  WAGES WHERE SUCH JUDGMENTS REMAIN
UNSATISFIED FOR A PERIOD OF TIME TO BE SPECIFIED BY THE COMMISSIONER  OF
LABOR.
  S  3. The state finance law is amended by adding a new section 99-y to
read as follows:
  S 99-Y. THE EMPLOYEE WAGE SAFETY FUND. 1. THERE IS HEREBY  ESTABLISHED
IN  THE  JOINT  CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSIONER OF
TAXATION AND FINANCE A FUND TO BE KNOWN AS  THE  "EMPLOYEE  WAGE  SAFETY
FUND".

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04941-03-6
              

A. 5593--A                          2

  2.  THE  FUND  SHALL  CONSIST  OF THE ADDITIONAL FEE OR SUCH CHARGE ON
MONEY JUDGMENTS ENTERED AGAINST EMPLOYERS ON CLAIMS FOR UNPAID OR UNDER-
PAID WAGES PURSUANT TO SECTION FIVE THOUSAND TWENTY-B OF THE CIVIL PRAC-
TICE LAW AND RULES.
  3.  MONIES  FROM  THIS FUND SHALL BE PAYABLE TO EMPLOYEES WHO MEET THE
REQUIREMENTS SET FORTH IN SUBDIVISION FOUR OF THIS SECTION ON THE  AUDIT
AND  WARRANT  OF  THE  COMPTROLLER  BASED  ON  VOUCHERS CERTIFIED BY THE
COMMISSIONER OF LABOR.
  4. THE COMMISSIONER OF LABOR SHALL CERTIFY VOUCHERS FOR  PAYMENTS  SET
FORTH IN SUBDIVISION THREE OF THIS SECTION UPON APPROVAL OF APPLICATIONS
BY  EMPLOYEES  FOR  COMPENSATION OR PAYMENTS BY THE FUND FOR UNSATISFIED
MONEY JUDGMENTS WHICH WERE  ENTERED  AGAINST  EMPLOYERS  FOR  UNPAID  OR
UNDERPAID  WAGES.    THE  COMMISSIONER  OF  LABOR  MAY AUTHORIZE FULL OR
PARTIAL PAYMENT ON CLAIMS BASED UPON CRITERIA SET FORTH  IN  REGULATIONS
TO BE ADOPTED AND IN CONSIDERATION OF THE AMOUNTS AVAILABLE THEREFOR.  A
JUDGMENT  SHALL  BE  CONSIDERED  UNSATISFIED WHERE THE DIVISION OF LABOR
STANDARDS IS UNABLE, AFTER REASONABLE EFFORTS ARE MADE, TO COLLECT  SUCH
JUDGMENT  AMOUNT FROM AN EMPLOYER OR FORMER EMPLOYER. AN EMPLOYEE MAKING
A CLAIM THROUGH THE DIVISION SHALL COOPERATE FULLY IN SUCH EFFORTS.
  S 4. The department of labor, by and through  the  division  of  labor
standards  shall  require  all  applicants filing a complaint for unpaid
wages with the division to provide either his  or  her  social  security
number or, in case of a noncitizen or undocumented immigrant, his or her
tax  identification  number. The division shall inform each applicant of
his or her duty to report his or her income to the department  of  taxa-
tion  and  finance and shall provide him or her with an I-1099 tax form.
The division shall make available  to  all  applicants  instruction  and
assistance  in  completing  such  forms,  including  but not limited to,
translation of such instructions for non-English speaking individuals or
those with limited English proficiency.
  S 5. The commissioner of taxation and finance is  hereby  directed  to
implement  procedures  to  provide for the payment or partial payment of
income taxes due on judgments for unpaid or underpaid wages at the  time
that the division of labor standards distributes an award to an eligible
employee.
  S  6. The commissioner of labor is hereby authorized to promulgate any
rules or regulations necessary for the implementation of this act on  or
before its effective date.
  S 7. This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2018.