S T A T E O F N E W Y O R K
________________________________________________________________________
4070
2025-2026 Regular Sessions
I N S E N A T E
January 31, 2025
___________
Introduced by Sen. MAY -- read twice and ordered printed, and when
printed to be committed to the Committee on Labor
AN ACT to amend the labor law, in relation to enacting the "trapped at
work act"
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 "trapped at work act".
§ 2. The labor law is amended by adding a new article 37 to read as
follows:
ARTICLE 37
TRAPPED AT WORK ACT
SECTION 1050. STATEMENT OF PUBLIC POLICY.
1051. DEFINITIONS.
1052. SCOPE.
1053. PROHIBITING THE USE OF EMPLOYMENT PROMISSORY NOTES AND
OTHER SIMILAR PROVISIONS.
1054. ENFORCEMENT.
1055. RULES.
1056. SAVINGS CLAUSE.
§ 1050. STATEMENT OF PUBLIC POLICY. WORKERS' ABILITY TO FREELY CHANGE
JOBS IS CRITICAL TO THEIR ECONOMIC LIBERTY AS WELL AS TO CREATING A
THRIVING AND INNOVATIVE ECONOMY IN THE STATE OF NEW YORK. ADDITIONALLY,
A TENET OF WORKER PROTECTIONS AND EMPOWERMENT IS THAT THE COST OF ANY
TRAINING REQUIRED BY AN EMPLOYER TO PERFORM A JOB SHOULD BE BORNE BY THE
EMPLOYER, WHO ULTIMATELY STANDS TO FINANCIALLY BENEFIT FROM A WELL-
TRAINED WORKFORCE. EMPLOYMENT PROVISIONS THAT HAVE THE EFFECT OF INDEBT-
ING WORKERS TO THEIR FORMER EMPLOYERS UPON SEPARATION FOR THE COST OF
TRAINING HAVE THE EFFECTS OF REDUCING THOSE WORKERS' PROFESSIONAL MOBIL-
ITY, CREATING OBSTACLES TOWARD FINANCIAL SECURITY, AND CHILLING THE
STATE ECONOMY. IT IS IN THE INTEREST OF INDIVIDUAL WORKERS AND OF THE
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01084-02-5
S. 4070 2
STATE TO PROTECT WORKERS FROM THESE EMPLOYMENT-BASED DEBTS AND TO ALIGN
THE COSTS OF OPERATING A BUSINESS WITH ITS FINANCIAL BENEFITS BY ENSUR-
ING EMPLOYERS MAINTAIN EXPENSES FOR TRAINING THEY REQUIRE FOR THEIR
WORKERS.
§ 1051. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE:
1. "EMPLOYER" MEANS AN INDIVIDUAL, PARTNERSHIP, ASSOCIATION, CORPO-
RATION, LIMITED LIABILITY COMPANY, TRUST, GOVERNMENT OR GOVERNMENT
SUBDIVISION, OR ANY ORGANIZED GROUP THAT HIRES OR CONTRACTS WITH A WORK-
ER TO WORK FOR THE EMPLOYER. FOR THE PURPOSES OF THIS ARTICLE, THIS TERM
SHALL ALSO INCLUDE ANY SUBSIDIARY OF AN EMPLOYER AND ANY INDIVIDUAL,
PARTNERSHIP, ASSOCIATION, CORPORATION, LIMITED LIABILITY COMPANY, TRUST,
GOVERNMENT OR GOVERNMENT SUBDIVISION, OR ANY ORGANIZED GROUP ASSOCIATED
WITH AN EMPLOYER THAT PROVIDES TRAINING TO WORKERS.
2. "WORKER" MEANS AN INDIVIDUAL WHO IS PERMITTED TO WORK FOR OR ON
BEHALF OF AN EMPLOYER. THE TERM "WORKER" INCLUDES AN EMPLOYEE, INDEPEND-
ENT CONTRACTOR, EXTERN, INTERN, VOLUNTEER, APPRENTICE, SOLE PROPRIETOR
WHO PROVIDES A SERVICE OR SERVICES TO AN EMPLOYER OR TO A CLIENT OR
CUSTOMER OF AN EMPLOYER ON BEHALF OF SUCH EMPLOYER, AND AN INDIVIDUAL
WHO PROVIDES SERVICE THROUGH A BUSINESS OR NONPROFIT ENTITY OR ASSOCI-
ATION. "WORKER" DOES NOT INCLUDE AN INDIVIDUAL, EVEN IF THE INDIVIDUAL
PERFORMS INCIDENTAL SERVICE FOR THE EMPLOYER, WHOSE SOLE RELATIONSHIP
WITH THE EMPLOYER IS AS A VENDOR OF GOODS.
3. "EMPLOYMENT PROMISSORY NOTE" MEANS ANY INSTRUMENT, AGREEMENT, OR
CONTRACT PROVISION THAT REQUIRES A WORKER TO PAY THE EMPLOYER, OR THE
EMPLOYER'S AGENT OR ASSIGNEE, A SUM OF MONEY IF THE WORKER LEAVES SUCH
EMPLOYMENT BEFORE THE PASSAGE OF A STATED PERIOD OF TIME. "EMPLOYMENT
PROMISSORY NOTE" INCLUDES ANY SUCH INSTRUMENT, AGREEMENT, OR CONTRACT
PROVISION WHICH STATES SUCH PAYMENT OF MONEYS CONSTITUTES REIMBURSEMENT
FOR TRAINING PROVIDED TO THE WORKER BY THE EMPLOYER OR BY A THIRD PARTY.
§ 1052. SCOPE. 1. THIS ARTICLE SUPERSEDES COMMON LAW ONLY TO THE
EXTENT THAT IT APPLIES TO AN EMPLOYMENT PROMISSORY NOTE BUT OTHERWISE
DOES NOT AFFECT PRINCIPLES OF LAW AND EQUITY CONSISTENT WITH THIS ARTI-
CLE.
2. THE RIGHTS AND REMEDIES PROVIDED PURSUANT TO THIS ARTICLE SHALL BE
IN ADDITION TO, AND SHALL NOT SUPERSEDE, ANY OTHER RIGHTS AND REMEDIES
PROVIDED BY STATUTE OR COMMON LAW.
§ 1053. PROHIBITING THE USE OF EMPLOYMENT PROMISSORY NOTES AND OTHER
SIMILAR PROVISIONS. 1. BEGINNING ON THE EFFECTIVE DATE OF THIS ARTICLE,
NO EMPLOYER MAY REQUIRE, AS A CONDITION OF EMPLOYMENT, ANY WORKER OR
PROSPECTIVE WORKER TO EXECUTE AN EMPLOYMENT PROMISSORY NOTE. THE
EXECUTION OF AN EMPLOYMENT PROMISSORY NOTE AS A CONDITION OF EMPLOYMENT
IS UNCONSCIONABLE, AGAINST PUBLIC POLICY, AND UNENFORCEABLE, AND ANY
SUCH NOTE SHALL BE VOID. IF ANY SUCH NOTE IS PART OF A LARGER AGREEMENT,
THE INVALIDITY OF SUCH NOTE SHALL NOT AFFECT THE OTHER PROVISIONS OF
SUCH AGREEMENT.
2. NOTHING IN THIS SECTION SHALL PROHIBIT OR RENDER VOID OR UNENFORCE-
ABLE ANY AGREEMENT BETWEEN A WORKER AND AN EMPLOYER THAT:
(A) REQUIRES THE WORKER TO REPAY TO THE EMPLOYER ANY SUMS ADVANCED TO
SUCH WORKER BY THE EMPLOYER, UNLESS SUCH SUMS WERE USED TO PAY FOR
TRAINING RELATED TO THE WORKER'S EMPLOYMENT WITH THE EMPLOYER;
(B) REQUIRES THE WORKER TO PAY THE EMPLOYER FOR ANY PROPERTY IT HAS
SOLD OR LEASED TO SUCH WORKER;
(C) REQUIRES EDUCATIONAL PERSONNEL TO COMPLY WITH ANY TERMS OR CONDI-
TIONS OF SABBATICAL LEAVES GRANTED BY THEIR EMPLOYERS; OR
(D) IS ENTERED INTO AS PART OF A PROGRAM AGREED TO BY THE EMPLOYER AND
ITS WORKERS' COLLECTIVE BARGAINING REPRESENTATIVE.
S. 4070 3
§ 1054. ENFORCEMENT. 1. ANY EMPLOYER FOUND TO HAVE VIOLATED THIS ARTI-
CLE SHALL BE FINED BY THE COMMISSIONER NOT LESS THAN ONE THOUSAND
DOLLARS AND NOT MORE THAN FIVE THOUSAND DOLLARS FOR EACH VIOLATION. EACH
WORKER OR PROSPECTIVE WORKER WHOM AN EMPLOYER REQUIRED TO EXECUTE AN
EMPLOYMENT PROMISSORY NOTE OR AGAINST WHOM AN EMPLOYER SEEKS TO ENFORCE
SUCH A NOTE SHALL CONSTITUTE A SEPARATE VIOLATION OF THIS ARTICLE.
2. ANY WORKER OR PROSPECTIVE WORKER FOR WHOM AN EMPLOYER REQUIRES
EXECUTION OF AN EMPLOYMENT PROMISSORY NOTE AS A CONDITION OF EMPLOYMENT
OR AGAINST WHOM AN EMPLOYER SEEKS TO ENFORCE SUCH A NOTE MAY BRING AN
ACTION AGAINST SUCH EMPLOYER TO RECOVER ACTUAL DAMAGES OR FIVE THOUSAND
DOLLARS, WHICHEVER IS GREATER, AND INJUNCTIVE RELIEF. IN THE EVENT OF A
SUCCESSFUL ACTION, THE COURT SHALL AWARD ANY PLAINTIFF REASONABLE COSTS
AND ATTORNEY FEES.
§ 1055. RULES. THE COMMISSIONER MAY PROMULGATE RULES AND REGULATIONS
NECESSARY TO CARRY OUT THE PROVISIONS OF THIS ARTICLE.
§ 1056. SAVINGS CLAUSE. IF ANY PORTION OF THIS ARTICLE OR THE APPLICA-
TION THEREOF TO ANY PERSON, OCCUPATION OR CIRCUMSTANCE IS HELD INVALID,
THE REMAINDER OF THE ARTICLE AND THE APPLICATION OF SUCH PROVISION TO
OTHER PERSONS, EMPLOYEES, OCCUPATIONS, OR CIRCUMSTANCES SHALL NOT BE
AFFECTED THEREBY.
§ 3. This act shall take effect immediately.
