S T A T E O F N E W Y O R K
________________________________________________________________________
7753
2015-2016 Regular Sessions
I N A S S E M B L Y
May 26, 2015
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Introduced by M. of A. MORELLE, FAHY, STECK, McDONALD -- read once and
referred to the Committee on Labor
AN ACT to amend the labor law and the workers' compensation law, in
relation to the application of unemployment, the minimum wage and
workers' compensation coverage to newspaper delivery persons
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 511 of the labor law is amended by adding a new
subdivision 23 to read as follows:
23. NEWSPAPER DELIVERY PERSON. THE TERM "EMPLOYMENT" SHALL NOT INCLUDE
THE SERVICES OF A PERSON ENGAGED IN THE DELIVERY OR DISTRIBUTION OF
NEWSPAPERS, "PENNYSAVERS", SHOPPING NEWS OR ANY FREE DISTRIBUTION PUBLI-
CATIONS (INCLUDING ANY SERVICES THAT ARE DIRECTLY RELATED TO SUCH DELIV-
ERY OR DISTRIBUTION), IF (A) SUBSTANTIALLY ALL OF THE REMUNERATION FOR
THE PERFORMANCE OF THE SERVICES IS RELATED TO SALES OR OTHER OUTPUT (FOR
EXAMPLE, FEE PER-COPY OR BUY/SELL) RATHER THAN TO THE NUMBER OF HOURS
WORKED; (B) THE SERVICES ARE PERFORMED PURSUANT TO A WRITTEN CONTRACT;
AND (C) THE WRITTEN CONTRACT CONTAINS PROVISIONS EVIDENCING ANY SEVEN OF
THE FOLLOWING:
(1) THE PERSON IS NOT TREATED AS AN EMPLOYEE FOR FEDERAL TAX PURPOSES,
AND HE OR SHE WILL BE ISSUED IRS FORM 1099 FOR FEDERAL TAX PURPOSES;
(2) THE PERSON HAS THE RIGHT TO DETERMINE THE SEQUENCE OF DELIVERY IN
HIS OR HER GEOGRAPHIC AREA OR ROUTE;
(3) THE PERSON IS NOT REQUIRED TO ATTEND GROUP MEETINGS;
(4) THE PERSON HAS THE RIGHT TO ENGAGE THE SERVICES OF OTHERS TO
DISTRIBUTE THE PUBLICATION OR PRODUCT WITHOUT APPROVAL OF THE PUBLISHING
COMPANY;
(5) THE PERSON IS NOT REQUIRED TO SUBMIT WRITTEN REPORTS WITH RESPECT
TO TIME SPENT OR ACTIVITIES ENGAGED IN RELATING TO DISTRIBUTION
SERVICES, OTHER THAN THOSE FOR INTERNAL CIRCULATION STATISTICS, AUDITS
OR AS REQUIRED BY LAW;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10624-01-5
A. 7753 2
(6) THE PERSON HAS THE RIGHT TO INCREASE THE NUMBER OF SUBSCRIBERS OR
CUSTOMERS ON THE ROUTE OR GEOGRAPHIC AREA, EVEN THOUGH NOTICE TO THE
PUBLISHING COMPANY MAY BE REQUIRED;
(7) THE PERSON HAS THE RIGHT TO ENGAGE IN OTHER BUSINESS ACTIVITIES,
INCLUDING THE DELIVERY OF OTHER NEWSPAPERS, SHOPPING GUIDES OR PRODUCTS;
(8) THE PERSON IS NOT IDENTIFIED AS REPRESENTING THE PUBLISHING COMPA-
NY BY THE PROVISION OF BUSINESS CARDS, UNIFORMS OR SIGNS TO PLACE ON THE
DELIVERY PERSON'S VEHICLE;
(9) THE PERSON HAS THE ULTIMATE RESPONSIBILITY TO RESOLVE SUBSCRIBER
AND/OR CUSTOMER COMPLAINTS, EVEN THOUGH THE PUBLISHING COMPANY MAY
RECEIVE AND RESOLVE CUSTOMER COMPLAINTS AND MAKE APPROPRIATE FINANCIAL
SETTLEMENT WITH THE DELIVERY PERSON; OR
(10) THE PERSON IS RESPONSIBLE TO PROVIDE ANY NEEDED VEHICLE AND TO
PAY FOR ALL MAINTENANCE AND INSURANCE ON SUCH VEHICLE.
S 2. Subdivision 5 of section 651 of the labor law, as amended by
chapter 481 of the laws of 2010, is amended to read as follows:
5. "Employee" includes any individual employed or permitted to work by
an employer in any occupation, but shall not include any individual who
is employed or permitted to work: (a) on a casual basis in service as a
part time baby sitter in the home of the employer; (b) in labor on a
farm; (c) in a bona fide executive, administrative, or professional
capacity; (d) as an outside salesman; (e) as a driver engaged in operat-
ing a taxicab; (f) as a volunteer, learner or apprentice by a corpo-
ration, unincorporated association, community chest, fund or foundation
organized and operated exclusively for religious, charitable or educa-
tional purposes, no part of the net earnings of which inures to the
benefit of any private shareholder or individual; (g) as a member of a
religious order, or as a duly ordained, commissioned or licensed minis-
ter, priest or rabbi, or as a sexton, or as a christian science reader;
(h) in or for such a religious or charitable institution, which work is
incidental to or in return for charitable aid conferred upon such indi-
vidual and not under any express contract of hire; (i) in or for such a
religious, educational or charitable institution if such individual is a
student; (j) in or for such a religious, educational or charitable
institution if the earning capacity of such individual is impaired by
age or by physical or mental deficiency or injury; (k) in or for a
summer camp or conference of such a religious, educational or charitable
institution for not more than three months annually; (l) as a staff
counselor in a children's camp; (m) in or for a college or university
fraternity, sorority, student association or faculty association, no
part of the net earnings of which inures to the benefit of any private
shareholder or individual, and which is recognized by such college or
university, if such individual is a student; (n) by a federal, state or
municipal government or political subdivision thereof. The exclusions
from the term "employee" contained in this subdivision shall be as
defined by regulations of the commissioner; [or] (o) as a volunteer, WHO
IS EIGHTEEN YEARS OF AGE OR OLDER, at a recreational or amusement event
run by a business that operates such events, provided that no single
such event lasts longer than eight consecutive days and no more than one
such event concerning substantially the same subject matter occurs in
any calendar year; OR (P) AS A NEWSPAPER DELIVERY PERSON AS REFERRED TO
IN SUBDIVISION TWENTY-THREE OF SECTION FIVE HUNDRED ELEVEN OF THIS CHAP-
TER. [Any such volunteer shall be at least eighteen years of age.] A
business seeking coverage under [this] paragraph (P) OF THIS SUBDIVISION
shall notify every volunteer in writing, in language acceptable to the
commissioner, that by volunteering his or her services, such volunteer
A. 7753 3
is waiving his or her right to receive the minimum wage pursuant to this
article. Such notice shall be signed and dated by a representative of
the business and the volunteer and kept on file by the business for
thirty-six months.
"Employee" also includes any individual employed or permitted to work
in any non-teaching capacity by a school district or board of cooper-
ative educational services except that the provisions of sections six
hundred fifty-three through six hundred fifty-nine of this article shall
not be applicable in any such case.
S 3. Subdivision 4 of section 2 of the workers' compensation law is
amended by adding a new closing paragraph to read as follows:
"EMPLOYEE" SHALL NOT INCLUDE A NEWSPAPER DELIVERY PERSON ENGAGED IN
THE DELIVERY OR DISTRIBUTION OF NEWSPAPERS, "PENNYSAVERS", SHOPPING NEWS
OR ANY FREE DISTRIBUTION PUBLICATIONS (INCLUDING ANY SERVICES THAT ARE
DIRECTLY RELATED TO SUCH DELIVERY OR DISTRIBUTION), IF (A) SUBSTANTIALLY
ALL OF THE REMUNERATION FOR THE PERFORMANCE OF THE SERVICES IS RELATED
TO SALES OR OTHER OUTPUT (FOR EXAMPLE, FEE PER-COPY OR BUY/SELL) RATHER
THAN TO THE NUMBER OF HOURS WORKED; (B) THE SERVICES ARE PERFORMED
PURSUANT TO A WRITTEN CONTRACT; AND (C) THE WRITTEN CONTRACT CONTAINS
PROVISIONS EVIDENCING ANY SEVEN OF THE FOLLOWING:
(I) THE DELIVERY PERSON IS NOT TREATED AS AN EMPLOYEE FOR FEDERAL TAX
PURPOSES AND SUCH PERSON WILL BE ISSUED IRS FORM 1099 FOR FEDERAL TAX
PURPOSES;
(II) THE DELIVERY PERSON HAS THE RIGHT TO DETERMINE THE SEQUENCE OF
DELIVERY IN HIS OR HER GEOGRAPHIC AREA OR ROUTE;
(III) THE DELIVERY PERSON IS NOT REQUIRED TO ATTEND GROUP MEETINGS;
(IV) THE DELIVERY PERSON HAS THE RIGHT TO ENGAGE THE SERVICES OF
OTHERS TO DISTRIBUTE THE PUBLICATION OR PRODUCT WITHOUT APPROVAL OF THE
PUBLISHING COMPANY;
(V) THE DELIVERY PERSON IS NOT REQUIRED TO SUBMIT WRITTEN REPORTS WITH
RESPECT TO TIME SPENT OR ACTIVITIES ENGAGED IN RELATING TO DISTRIBUTION
SERVICES, OTHER THAN THOSE FOR INTERNAL CIRCULATION STATISTICS, AUDITS
OR AS REQUIRED BY LAW;
(VI) THE DELIVERY PERSON HAS THE RIGHT TO INCREASE THE NUMBER OF
SUBSCRIBERS OR CUSTOMERS ON THE ROUTE OR GEOGRAPHIC AREA, EVEN THOUGH
NOTICE TO THE PUBLISHING COMPANY MAY BE REQUIRED;
(VII) THE DELIVERY PERSON HAS THE RIGHT TO ENGAGE IN OTHER BUSINESS
ACTIVITIES, INCLUDING THE DELIVERY OF OTHER NEWSPAPERS, SHOPPING GUIDES
OR PRODUCTS;
(VIII) THE DELIVERY PERSON IS NOT IDENTIFIED AS REPRESENTING THE
PUBLISHING COMPANY BY THE PROVISION OF BUSINESS CARDS, UNIFORMS OR SIGNS
TO PLACE ON THE DELIVERY PERSON'S VEHICLE;
(IX) THE DELIVERY PERSON HAS THE ULTIMATE RESPONSIBILITY TO RESOLVE
SUBSCRIBER AND/OR CUSTOMER COMPLAINTS, EVEN THOUGH THE PUBLISHING COMPA-
NY MAY RECEIVE AND RESOLVE CUSTOMER COMPLAINTS AND MAKE APPROPRIATE
FINANCIAL SETTLEMENT WITH THE DELIVERY PERSON; OR
(X) THE DELIVERY PERSON IS RESPONSIBLE TO PROVIDE ANY NEEDED VEHICLE
AND TO PAY FOR ALL MAINTENANCE AND INSURANCE ON SUCH VEHICLE.
S 4. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.