Assembly Bill A10183

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10183
 
                           I N  A S S E M B L Y
 
                             February 12, 2026
                                ___________
 
 Introduced by M. of A. LASHER -- read once and referred to the Committee
   on Labor
 
 AN  ACT  to amend the labor law, in relation to establishing the transi-
   tional wage insurance program
 
   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 article 25-D to
 read as follows:
                                ARTICLE 25-D
                    TRANSITIONAL WAGE INSURANCE PROGRAM
 SECTION 863.   DEFINITIONS.
         863-A. ESTABLISHMENT OF TRANSITIONAL WAGE INSURANCE PROGRAM.
         863-B. ELIGIBILITY.
         863-C. AMOUNT AND DURATION OF BENEFITS.
         863-D. CLAIMS, OVERPAYMENTS, AND FRAUD.
         863-E. OUTREACH AND INFORMATION.
         863-F. FUNDING.
         863-G. RULES AND REGULATIONS.
   § 863. DEFINITIONS. AS USED IN THIS ARTICLE:
   1. "PRIOR EMPLOYMENT" MEANS THE MOST RECENT JOB HELD BY AN  INDIVIDUAL
 PRIOR  TO FILING A CLAIM FOR UNEMPLOYMENT INSURANCE, AS VERIFIED BY WAGE
 RECORDS.
   2. "NEW EMPLOYMENT" MEANS A JOB ACCEPTED  BY  AN  ELIGIBLE  INDIVIDUAL
 AFTER RECEIVING UNEMPLOYMENT INSURANCE BENEFITS.
   3.  "ELIGIBLE  INDIVIDUAL"  MEANS  A  PERSON WHO MEETS THE ELIGIBILITY
 CRITERIA UNDER SECTION EIGHT HUNDRED SIXTY-THREE-B OF THIS ARTICLE.
   4. "WAGE  INSURANCE  BENEFIT"  MEANS  THE  TEMPORARY  WAGE  SUPPLEMENT
 PROVIDED UNDER THIS ARTICLE.
   §  863-A.  ESTABLISHMENT  OF  TRANSITIONAL WAGE INSURANCE PROGRAM. THE
 DEPARTMENT SHALL ESTABLISH AND ADMINISTER A TRANSITIONAL WAGE  INSURANCE
 PROGRAM  TO PROVIDE TEMPORARY SUPPLEMENTAL PAYMENTS TO ELIGIBLE INDIVID-
 UALS WHO ACCEPT NEW EMPLOYMENT AT A LOWER WAGE THAN THEIR PRIOR  EMPLOY-
 MENT.
   §  863-B.  ELIGIBILITY.  1. A CLAIMANT SHALL BE ELIGIBLE FOR A TRANSI-
 TIONAL WAGE INSURANCE BENEFIT IF THE CLAIMANT:
   (A) WAS ELIGIBLE FOR UNEMPLOYMENT INSURANCE UNDER THIS  CHAPTER  PRIOR
 TO ACCEPTING NEW EMPLOYMENT;
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14327-03-6
 A. 10183                            2
 
   (B)  HAS ACCEPTED NEW EMPLOYMENT AT WAGES LOWER THAN THOSE PAID IN THE
 CLAIMANT'S MOST RECENT PRIOR EMPLOYMENT;
   (C)  WAS  SEPARATED  FROM PRIOR EMPLOYMENT, IN WHOLE OR IN SUBSTANTIAL
 PART, DUE TO AUTOMATION OR THE IMPLEMENTATION OF ARTIFICIAL INTELLIGENCE
 TECHNOLOGIES, INCLUDING, BUT NOT LIMITED TO, MACHINE  LEARNING,  NATURAL
 LANGUAGE  PROCESSING,  ROBOTICS, ALGORITHMIC DECISION-MAKING SYSTEMS, OR
 OTHER SOFTWARE OR SYSTEMS THAT MATERIALLY REDUCED OR REPLACED THE CLAIM-
 ANT'S JOB DUTIES OR REDUCED THE EMPLOYER'S NEED FOR HUMAN LABOR  IN  THE
 CLAIMANT'S  OCCUPATION  OR  WORK UNIT, AS DETERMINED BY THE COMMISSIONER
 BASED ON EMPLOYER RECORDS, CLAIMANT TESTIMONY,  LABOR  MARKET  DATA,  OR
 OTHER RELIABLE EVIDENCE;
   (D)  APPLIES  FOR THE BENEFIT WITHIN SIXTY DAYS OF COMMENCING SUCH NEW
 EMPLOYMENT; AND
   (E) MEETS ANY ADDITIONAL  CRITERIA  ESTABLISHED  BY  THE  COMMISSIONER
 PURSUANT TO THIS ARTICLE.
   2.  A  CLAIMANT'S  ELIGIBILITY  SHALL NOT BE DENIED SOLELY BASED ON AN
 EMPLOYER'S FAILURE OR REFUSAL TO  PROVIDE  DOCUMENTATION  REGARDING  THE
 IMPLEMENTATION OF AUTOMATION OR ARTIFICIAL INTELLIGENCE TECHNOLOGIES.
   §  863-C.  AMOUNT  AND DURATION OF BENEFITS. 1. PAYMENT OF THE TRANSI-
 TIONAL WAGE INSURANCE BENEFIT SHALL NOT EXCEED ONE HUNDRED  FOUR  WEEKS,
 NOR SHALL THE TOTAL BENEFIT PAID EXCEED TEN THOUSAND DOLLARS.
   2. BENEFITS SHALL NOT BE PAYABLE FOR ANY WEEK IN WHICH THE CLAIMANT:
   (A) IS NOT ENGAGED IN NEW EMPLOYMENT; OR
   (B)  IS ELIGIBLE TO RECEIVE UNEMPLOYMENT INSURANCE BENEFITS UNDER THIS
 CHAPTER.
   3. THE BENEFIT SHALL EQUAL THE DIFFERENCE BETWEEN:
   (A) THE CLAIMANT'S AVERAGE WEEKLY WAGE IN PRIOR EMPLOYMENT DURING  THE
 HIGHEST QUARTER OF THE BASE PERIOD; AND
   (B) THE CLAIMANT'S AVERAGE WEEKLY WAGE IN NEW EMPLOYMENT.
   4.  BENEFITS  SHALL TERMINATE IF THE CLAIMANT'S AVERAGE WEEKLY WAGE IN
 NEW EMPLOYMENT EQUALS OR EXCEEDS THE CLAIMANT'S AVERAGE WEEKLY  WAGE  IN
 PRIOR  EMPLOYMENT  AS  CALCULATED  PURSUANT TO SUBDIVISION THREE OF THIS
 SECTION.
   § 863-D. CLAIMS, OVERPAYMENTS, AND FRAUD. CLAIMS, OVERPAYMENTS, FRAUD,
 OUTREACH, AND FUNDING FOR TRANSITIONAL WAGE INSURANCE BENEFITS SHALL  BE
 ADMINISTERED,  PROCESSED,  ADJUDICATED,  AND PROVIDED IN ACCORDANCE WITH
 THE PROCEDURES, RULES, OUTREACH REQUIREMENTS, AND APPROPRIATIONS  APPLI-
 CABLE TO UNEMPLOYMENT INSURANCE BENEFITS UNDER THIS CHAPTER. THE DEPART-
 MENT SHALL RECOVER ANY OVERPAYMENT OF WAGE INSURANCE BENEFITS. ANY INDI-
 VIDUAL WHO KNOWINGLY MAKES A FALSE STATEMENT OR REPRESENTATION TO OBTAIN
 BENEFITS  SHALL BE SUBJECT TO THE SAME PENALTIES APPLICABLE TO UNEMPLOY-
 MENT INSURANCE FRAUD UNDER THIS CHAPTER.
   § 863-E. OUTREACH AND INFORMATION. THE DEPARTMENT SHALL MAKE  INFORMA-
 TION  ABOUT  THE PROGRAM AVAILABLE TO UNEMPLOYMENT INSURANCE RECIPIENTS,
 WORKFORCE DEVELOPMENT OFFICES, AND EMPLOYERS.
   § 863-F. FUNDING. WAGE INSURANCE  BENEFITS  PAID  UNDER  THIS  ARTICLE
 SHALL  BE  SUBJECT  TO APPROPRIATION. THE DEPARTMENT MAY SEEK AND ACCEPT
 FEDERAL FUNDS OR GRANTS FOR  THE  ADMINISTRATION  OR  EXPANSION  OF  THE
 PROGRAM.
   §  863-G. RULES AND REGULATIONS. THE DEPARTMENT SHALL PROMULGATE RULES
 AND REGULATIONS NECESSARY TO IMPLEMENT THE PROVISIONS OF THIS ARTICLE.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.