S T A T E O F N E W Y O R K
________________________________________________________________________
9175
I N A S S E M B L Y
February 12, 2024
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Introduced by M. of A. BRONSON -- read once and referred to the Commit-
tee on Labor
AN ACT to amend the labor law, in relation to issuing stop work orders
for misclassification of employees
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The labor law is amended by adding a new section 45 to read
as follows:
§ 45. MISCLASSIFICATION OF EMPLOYEES; STOP WORK ORDERS. 1. IF THE
COMMISSIONER DETERMINES, AFTER AN INVESTIGATION PURSUANT TO THE
PROVISIONS OF THIS CHAPTER, THAT AN EMPLOYER HAS KNOWINGLY MISCLASSIFIED
EMPLOYEES AS INDEPENDENT CONTRACTORS OR PROVIDED FALSE, INCOMPLETE, OR
MISLEADING INFORMATION TO AN INSURANCE COMPANY ON THE NUMBER OF EMPLOY-
EES OF SUCH EMPLOYER, THE COMMISSIONER SHALL ISSUE, NOT LATER THAN
SEVENTY-TWO HOURS AFTER MAKING SUCH DETERMINATION, A STOP WORK ORDER
AGAINST THE EMPLOYER REQUIRING THE CESSATION OF ALL BUSINESS OPERATIONS
OF SUCH EMPLOYER. SUCH STOP WORK ORDER SHALL BE ISSUED ONLY AGAINST THE
EMPLOYER FOUND TO BE IN VIOLATION AND ONLY AGAINST THE SPECIFIC PLACE OF
BUSINESS OR EMPLOYMENT FOR WHICH THE VIOLATION EXISTS. SUCH ORDER SHALL
BE EFFECTIVE WHEN SERVED UPON THE EMPLOYER OR AT THE PLACE OF BUSINESS
OR EMPLOYMENT. A STOP WORK ORDER MAY BE SERVED AT A PLACE OF BUSINESS OR
EMPLOYMENT BY POSTING A COPY OF THE STOP WORK ORDER IN A CONSPICUOUS
LOCATION AT THE PLACE OF BUSINESS OR EMPLOYMENT. SUCH ORDER SHALL REMAIN
IN EFFECT UNTIL THE COMMISSIONER ISSUES AN ORDER RELEASING THE STOP WORK
ORDER UPON A FINDING BY THE COMMISSIONER THAT THE EMPLOYER HAS COME INTO
COMPLIANCE, OR AFTER A HEARING HELD PURSUANT TO SUBDIVISION TWO OF THIS
SECTION.
2. ANY EMPLOYER AGAINST WHICH A STOP WORK ORDER IS ISSUED PURSUANT TO
SUBDIVISION ONE OF THIS SECTION MAY REQUEST A HEARING BEFORE THE DEPART-
MENT. SUCH REQUEST SHALL BE MADE IN WRITING TO THE COMMISSIONER NOT MORE
THAN TEN DAYS AFTER THE ISSUANCE OF SUCH ORDER. SUCH HEARING SHALL BE
CONDUCTED IN ACCORDANCE WITH THE PROVISIONS OF THIS CHAPTER.
3. STOP WORK ORDERS AND ANY ADDITIONAL PENALTIES IMPOSED UNDER THIS
CHAPTER AGAINST A CORPORATION, PARTNERSHIP OR SOLE PROPRIETORSHIP SHALL
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13916-01-3
A. 9175 2
BE EFFECTIVE AGAINST ANY SUCCESSOR ENTITY THAT HAS ONE OR MORE OF THE
SAME PRINCIPALS OR OFFICERS AS THE CORPORATION, PARTNERSHIP OR SOLE
PROPRIETORSHIP AGAINST WHICH THE STOP WORK ORDER WAS ISSUED AND ARE
ENGAGED IN THE SAME OR EQUIVALENT TRADE OR ACTIVITY.
4. THE COMMISSIONER SHALL PROMULGATE ANY RULES AND REGULATIONS NECES-
SARY TO CARRY OUT THE PROVISIONS OF THIS SECTION.
§ 2. This act shall take effect on the one hundred eightieth day after
it shall have become a law.