BILL NUMBER: S3754

SPONSOR: HOYLMAN
 
TITLE OF BILL:

An act to amend the general obligations law, in relation to prohibiting
employers from requiring certain conditions or preconditions of employ-
ment

 
PURPOSE OF BILL:

This bill would prohibit an employer from requiring an employee or
person seeking employment to waive, arbitrate, or otherwise diminish any
existing or future claim, right, or benefit to which the employee or
person seeking employment would otherwise be entitled to under any
provision of New York State or federal law.

 
SUMMARY OF PROVISIONS:

Section 1 of the bill amends the general obligations law by adding a new
section 5337 which would prohibit any employer from requiring an employ-
              

ee or person seeking employment to waiver, arbitrate, or otherwise
diminish any existing or future claim, right, or benefit to which the
employee or person seeking employment would otherwise be entitled to
under any provision of New York State or federal law.  This section
further exempts any contracts or agreements negotiated with any labor
union through collective bargaining.

Section 2 sets the effective date.

 
JUSTIFICATION:

In the fall of 2018, the Kentucky Supreme Court outlawed mandatory arbi-
tration agreements that require applicants or employees to sign if they
want to be hired or remain employed1 (Northern Kentucky Area Development
Dist. V Snyder). The decision was based off of existing Kentucky law and
this legislation would codify that law into New York State Law.

Restrictive or coercive employment contracts such as those requiring a
current or future employee to waiver, arbitrate, or otherwise diminish
any existing or future claim, right, or benefit to which the employee or
person seeking employment would otherwise be entitled to under any
provision of New York State or federal law, are not in line with fair
and equitable hiring practices. This legislation seeks to address these
unjust contract provisions from being imposed on employees in New York.
https://www.fisherphillips.com/resources-alerts-kentucky-becomes-firs
t-state-toprohibit-mandatory

 
LEGISLATIVE HISTORY:

This is a New Bill.

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None to the State.

 
EFFECTIVE DATE:
This act shall take effect on the ninetieth day after it shall have
become a law.