S T A T E O F N E W Y O R K
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11174
I N A S S E M B L Y
December 4, 2020
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Introduced by COMMITTEE ON RULES -- (at request of M. of A. Zebrowski,
Cusick) -- read once and referred to the Committee on Labor
AN ACT to amend the labor law, in relation to providing that non-profit
organization, certain governmental entities and certain Indian tribes
which are liable for unemployment insurance payments in lieu of
contributions shall only be liable for fifty percent of payments for
benefits to claimants that were a result of the closure of such
employer or a reduction in the workforce of the employer for reasons
related to COVID-19
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 563 of the labor law is amended by adding a new
subdivision 8 to read as follows:
8. NOTWITHSTANDING THE PROVISIONS OF THIS SECTION TO THE CONTRARY, A
NON-PROFIT ORGANIZATION WHICH IS LIABLE FOR PAYMENTS IN LIEU OF CONTRIB-
UTIONS SHALL ONLY BE LIABLE FOR FIFTY PERCENT OF PAYMENTS FOR BENEFITS
TO CLAIMANTS THAT WERE A RESULT OF THE CLOSURE OF SUCH EMPLOYER OR A
REDUCTION IN THE WORKFORCE OF THE EMPLOYER FOR REASONS RELATED TO NOVEL
CORONAVIRUS, COVID-19, OR DUE TO A MANDATORY ORDER OF A GOVERNMENT ENTI-
TY DULY AUTHORIZED TO ISSUE SUCH ORDER TO CLOSE SUCH EMPLOYER, ON OR
AFTER MARCH TWELFTH, TWO THOUSAND TWENTY.
§ 2. Section 565 of the labor law is amended by adding a new subdivi-
sion 10 to read as follows:
10. COVID-19 CLOSURE OR REDUCTION. NOTWITHSTANDING THE PROVISIONS OF
THIS SECTION TO THE CONTRARY, A GOVERNMENTAL ENTITY WHICH IS LIABLE FOR
PAYMENTS IN LIEU OF CONTRIBUTIONS SHALL ONLY BE LIABLE FOR FIFTY PERCENT
OF PAYMENTS FOR BENEFITS TO CLAIMANTS THAT WERE A RESULT OF THE CLOSURE
OF SUCH EMPLOYER OR A REDUCTION IN THE WORKFORCE OF THE EMPLOYER FOR
REASONS RELATED TO NOVEL CORONAVIRUS, COVID-19, OR DUE TO A MANDATORY
ORDER OF A GOVERNMENT ENTITY DULY AUTHORIZED TO ISSUE SUCH ORDER TO
CLOSE SUCH EMPLOYER, ON OR AFTER MARCH TWELFTH, TWO THOUSAND TWENTY.
§ 3. Section 566 of the labor law is amended by adding a new subdivi-
sion 12 to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD17609-02-0
A. 11174 2
12. COVID-19 CLOSURE OR REDUCTION. NOTWITHSTANDING THE PROVISIONS OF
THIS SECTION TO THE CONTRARY, AN INDIAN TRIBE WHICH IS LIABLE FOR
PAYMENTS IN LIEU OF CONTRIBUTIONS SHALL ONLY BE LIABLE FOR FIFTY PERCENT
OF PAYMENTS FOR BENEFITS TO CLAIMANTS THAT WERE A RESULT OF THE CLOSURE
OF SUCH EMPLOYER OR A REDUCTION IN THE WORKFORCE OF THE EMPLOYER FOR
REASONS RELATED TO NOVEL CORONAVIRUS, COVID-19, OR DUE TO A MANDATORY
ORDER OF A GOVERNMENT ENTITY DULY AUTHORIZED TO ISSUE SUCH ORDER TO
CLOSE SUCH EMPLOYER, ON OR AFTER MARCH TWELFTH, TWO THOUSAND TWENTY.
§ 4. This act shall take effect immediately.