Senate Bill S3165

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3165
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             January 24, 2025
                                ___________
 
 Introduced  by  Sen.  BAILEY -- read twice and ordered printed, and when
   printed to be committed to the Committee on Higher Education
 
 AN ACT to amend the education law, in relation to establishing a  sweat-
   free  code of conduct for apparel licensed by the colleges and univer-
   sities of the state  university;  and  to  amend  the  labor  law,  in
   relation to the special task force for the apparel industry
 
   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 "ethical business conduct in higher education act".
   §  2.  Legislative intent. The legislature hereby finds that the state
 university of New York has not responded to decades  old  requests  that
 its  campuses  disaffiliate their business relationships with sweatshops
 in the production and licensing of campus apparel. It is now clear  that
 voluntary action by each campus is no longer an option and that the time
 has come to require a system-wide set of rules and regulations be put in
 place by the chancellor and board of trustees of the state university of
 New York.
   For years, lawmakers, religious and labor groups have criticized state
 university  campus'  affiliations  with  apparel  manufacturers  who are
 indifferent to the fact that  workers  making  university  apparel  face
 abusive  treatment,  excessive  working  hours, dangerous conditions and
 wages that are inadequate to meet basic needs.
   There continues to be  a  strong  demand  that  all  state  university
 campuses  diligently  adopt  sweat-free  standards  in  the  purchase of
 athletic apparel and in the licensing of campus  merchandise.  Advocates
 on  behalf  of working people deplore the repression and exploitation of
 apparel workers in Latin America and elsewhere in the world. The univer-
 sities and colleges of the state   university of New York  should  be  a
 model  for  ethical  business  conduct,  both for their students and the
 broader public. It is past time for the state university system adminis-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06792-01-5
              

 S. 3165                             2
 
 tration and all its campuses to affiliate with the sweat-free and worker
 rights work of the Worker Rights Consortium and the Designated  Supplier
 Program  and  end their business relationships that are de facto support
 for sweatshop conditions.
   Presently  60  of the 64 state university campuses have failed to take
 the example or lead of the universities at  Albany  and  Buffalo,  which
 have  adopted  the  Designated Supplier Program, and the colleges at New
 Paltz and Cortland, all four of which have affiliated  with  the  Worker
 Rights Consortium to ensure sweat-free manufacturing.
   It  is obvious that where there has been strong leadership and commit-
 ment to protecting worker rights this issue has been resolved.  However,
 we cannot wait indefinitely for the  other  60  campuses  to  engage  in
 ethical  business  behavior  that  demonstrates our national respect for
 human rights, worker rights and anti-child labor rights.
   It is well understood by organized labor, religious organizations  and
 social  justice  groups  that  the apparel industry continues to operate
 under a paradigm of cost-cutting without respect to  human  consequence,
 the tragic results of which are the sweatshop conditions that plague the
 supply  chains  of  university  licensed  apparel.  All state university
 campuses that have not already done so must adopt  sweat-free  codes  of
 conduct to which apparel manufacturers producing university apparel must
 adhere.
   It  is the finding of the legislature that in order to comprehensively
 remedy this situation it must be  required  that  the  state  university
 administration  put  in  place strict policies for all its campuses with
 regard to how their apparel is manufactured.  It  is  unacceptable  that
 after  all  the years of calls to end such practices, campus administra-
 tors continue to ignore the violations of human rights that  take  place
 in order for their campus apparel to be manufactured and sold.
   §  3. The education law is amended by adding a new section 362 to read
 as follows:
   § 362. SWEAT-FREE CODE OF CONDUCT.   1. THE CHANCELLOR  OF  THE  STATE
 UNIVERSITY  SHALL, ON OR BEFORE JANUARY THIRTY-FIRST, TWO THOUSAND TWEN-
 TY-SIX, DEVELOP AND DRAFT A SWEAT-FREE CODE OF CONDUCT FOR THE  PURCHASE
 AND  LICENSING  OF APPAREL BY STATE-OPERATED INSTITUTIONS. SUCH CODE, TO
 THE EXTENT PRACTICABLE, SHALL MEET OR EXCEED THE  LABOR  STANDARDS,  AND
 BUSINESS AND FACTORY DISCLOSURE REQUIREMENTS ENUMERATED IN WORKER RIGHTS
 CONSORTIUM'S  MODEL  CODE OF CONDUCT. THE CODE SHALL REQUIRE EACH STATE-
 OPERATED INSTITUTION TO AFFILIATE WITH THE WORKER RIGHTS CONSORTIUM  AND
 PARTICIPATE IN THE DESIGNATED SUPPLIER PROGRAM FOR THE PURPOSE OF EFFEC-
 TIVELY  ENFORCING  THE PROVISIONS OF SUCH CODE.  FURTHERMORE, THE SWEAT-
 FREE CODE OF CONDUCT SHALL PROVIDE THAT EVERY CONTRACT BETWEEN A  STATE-
 OPERATED  INSTITUTION  AND  ANY  APPAREL  MANUFACTURER  SHALL  INCLUDE A
 PROVISION PROVIDING  FOR  THE  TERMINATION  AND  NULLIFICATION  OF  SUCH
 CONTRACT  UPON  ANY  FINDING  OF  A  VIOLATION OF THE SWEAT-FREE CODE OF
 CONDUCT IN FACILITIES THAT SUCH MANUFACTURER OPERATES OR FROM WHOM  SUCH
 MANUFACTURER  PURCHASES  PRODUCTS.    SUCH CODE OF CONDUCT SHALL PROVIDE
 THAT NOTICE OF ANY SUCH VIOLATION MAY BE PROVIDED BY THE  WORKER  RIGHTS
 CONSORTIUM.  THE  SWEAT-FREE CODE OF CONDUCT SHALL PROVIDE FOR A REMEDI-
 ATION PROCESS WHEREBY ANY SUCH MANUFACTURER MAY BE GRANTED THE  OPPORTU-
 NITY TO TAKE CORRECTIVE ACTION PRIOR TO CONTRACT TERMINATION. SUCH REME-
 DIATION  PROCESS,  TO  THE EXTENT PRACTICABLE, SHALL REFLECT THE PROCESS
 DESCRIBED IN THE MODEL CODE OF CONDUCT OF THE WORKER RIGHTS CONSORTIUM.
   2. SUCH CHANCELLOR SHALL, ON OR BEFORE JANUARY THIRTY-FIRST, TWO THOU-
 SAND TWENTY-SIX, SUBMIT TO THE STATE UNIVERSITY  TRUSTEES  THE  CODE  OF
 CONDUCT  DEVELOPED  AND  DRAFTED  PURSUANT  TO  SUBDIVISION  ONE OF THIS
 S. 3165                             3
 
 SECTION. SUCH CODE OF CONDUCT SHALL BE ADOPTED BY THE  STATE  UNIVERSITY
 TRUSTEES ON OR BEFORE MARCH THIRTIETH, TWO THOUSAND TWENTY-SIX, AS RULES
 AND  REGULATIONS  APPLICABLE  TO ALL STATE-OPERATED INSTITUTIONS.   SUCH
 RULES AND REGULATIONS SHALL INCLUDE PROVISIONS FOR THE ENFORCEMENT THER-
 EOF TO ENSURE FULL COMPLIANCE THEREWITH BY STATE OPERATED INSTITUTIONS.
   3. ON OR BEFORE SEPTEMBER FIRST, TWO THOUSAND TWENTY-SIX, THE CHANCEL-
 LOR  OF  THE  STATE  UNIVERSITY SHALL SUBMIT A PRELIMINARY REPORT TO THE
 GOVERNOR AND THE LEGISLATURE WHICH SHALL INCLUDE A LIST OF THE STATE-OP-
 ERATED INSTITUTIONS WHICH HAVE COME INTO COMPLIANCE WITH THE  SWEAT-FREE
 CODE  OF  CONDUCT, AND WHEN ANY PURCHASING AND LICENSING AGREEMENTS WITH
 APPAREL MANUFACTURERS WHICH HAVE FAILED TO COMPLY WITH THE PROVISIONS OF
 SUCH CODE OF CONDUCT,  WILL  EXPIRE.    SUCH  PRELIMINARY  REPORT  SHALL
 INCLUDE  A  LIST  OF EACH STATE-OPERATED INSTITUTION THAT HAS AFFILIATED
 WITH THE WORKER RIGHTS CONSORTIUM AND  PARTICIPATES  IN  THE  DESIGNATED
 SUPPLIER PROGRAM.
   4.  THE CHANCELLOR OF THE STATE UNIVERSITY SHALL, ON OR BEFORE JANUARY
 THIRTY-FIRST, TWO THOUSAND TWENTY-SEVEN, SUBMIT A FINAL  REPORT  TO  THE
 GOVERNOR AND THE LEGISLATURE WHICH SHALL INCLUDE A LIST OF THE STATE-OP-
 ERATED  INSTITUTIONS WHICH HAVE COME INTO COMPLIANCE WITH THE SWEAT-FREE
 CODE OF CONDUCT, A LIST OF  EACH  STATE-OPERATED  INSTITUTION  THAT  HAS
 AFFILIATED  WITH  THE  WORKER  RIGHTS CONSORTIUM AND PARTICIPATES IN THE
 DESIGNATED SUPPLIER PROGRAM,  AND  WHEN  ANY  PURCHASING  AND  LICENSING
 AGREEMENTS  WITH  APPAREL MANUFACTURERS WHICH HAVE FAILED TO COMPLY WITH
 THE PROVISIONS OF SUCH CODE OF CONDUCT, WILL EXPIRE.
   5. THE CHIEF EXECUTIVE  OFFICER  OF  EACH  STATE-OPERATED  INSTITUTION
 WHICH  HAS  FAILED  TO COMPLY WITH THE CODE OF CONDUCT OR AFFILIATE WITH
 THE WORKER RIGHTS CONSORTIUM AND PARTICIPATE IN THE DESIGNATED  SUPPLIER
 PROGRAM  ON  OR  BEFORE  MARCH  FIRST,  TWO THOUSAND TWENTY-SEVEN, SHALL
 SUBMIT, BY FIRST CLASS MAIL, TO THE GOVERNOR, EACH MEMBER OF THE  LEGIS-
 LATURE  AND  EACH  MEMBER  OF  THE  STATE UNIVERSITY TRUSTEES A DETAILED
 EXPLANATION OF THE DELAY IN COMPLIANCE AND/OR AFFILIATION, AND WHEN FULL
 COMPLIANCE, AFFILIATION AND/OR PARTICIPATION WILL BE COMPLETED.
   6. ON OR BEFORE SEPTEMBER FIRST, TWO THOUSAND TWENTY-SEVEN, THE  STATE
 UNIVERSITY  TRUSTEES SHALL REPORT TO THE GOVERNOR AND THE LEGISLATURE ON
 THE ACTIONS  THAT  HAVE  BEEN  TAKEN  TO  ENFORCE  COMPLIANCE  WITH  THE
 PROVISIONS OF THE CODE OF CONDUCT.
   7.  NO  PROVISION  OF THIS SECTION, OR ANY RULE, REGULATION OR CODE OF
 CONDUCT ADOPTED PURSUANT THERETO, SHALL BE DEEMED TO ESTABLISH ANY POWER
 OR DUTY IN VIOLATION OF ANY FEDERAL LAW, RULE OR REGULATION.
   § 4. The opening paragraph of section 342 of the labor law, as amended
 by chapter 41 of the laws of 2004, is amended to read as follows:
   The commissioner is authorized to establish a special task  force  for
 the  purpose  of  concentrating  enforcement  of the labor law affecting
 production employees in the apparel  industry  in  New  York  state  and
 otherwise  exercising  the duties and powers set forth in sections three
 hundred forty-three and three hundred forty-four of this article.    NOT
 LESS THAN ONE MEMBER OF SUCH TASK FORCE SHALL BE A REPRESENTATIVE OF THE
 STATE UNIVERSITY OF NEW YORK. Such special task force shall be empowered
 to  investigate  and  conduct  inspections at locations where an apparel
 industry contractor is operating.
   § 5. This act shall take effect immediately.