BILL NUMBER: S18A

SPONSOR: MAYER
 
TITLE OF BILL:

An act to amend the labor law, in relation to requiring the department
of labor to provide information to employers about shared work program
eligibility and benefits

 
PURPOSE OR GENERAL IDEA OF BILL:

To require the department of labor to (1) make informational materials
regarding the shared work program available on its website, (2) provide
such materials annually to all employers in the state, (3) conduct
outreach to employers throughout the state regarding shared work
programs, and (4) report annually to the legislature on such efforts.

 
SUMMARY OF PROVISIONS:

Section 1 requires that the Department of Labor provide information on
its website regarding eligibility for the shared work program, annually
              

disseminate such information to all employers in the state, and conduct
continual outreach to employers through information sessions, corre-
spondence, and other means regarding the benefits of shared work. This
section also requires that the Department of Labor consult and coordi-
nate with the Department of Economic Development, Small Business Devel-
opment Centers, and other relevant government bodies in such efforts.
The Department of Labor is further required to provide annual updates to
the governor and the legislature on such outreach efforts.

Section 2 provides the effective date.

 
JUSTIFICATION:

When faced with financial troubles, businesses must make difficult deci-
sions about how to remain afloat, and often struggle with whether to lay
off workers. However, New York State's shared work unemployment assist-
ance provides a way to mitigate the myriad difficulties of layoffs for
both businesses and their workers. If, instead of laying off workers, a
business chooses to make a broad hour reduction among a number of work-
ers, New York State provides partial unemployment insurance assistance
for those workers.This option allows employers who are facing difficult
circumstances to avoid layoffs and maintain their human capital while
still reducing expenses and, through state assistance, reducing the
financial impact on workers' reduced hours.

Shared work programs are especially valuable during significant economic
downturns, such as the crisis caused by the COVID-19 pandemic, because
they provide a defense against large-scale layoffs that further exacer-
bate financial difficulties. However, shared work has seen relatively
little uptake despite historic layoffs in the wake of COVID-19, due in
part to lack of awareness that the option exists. This bill will help
ensure broader knowledge of the program, especially during the COVID-19
pandemic.

While the Department of Labor already publicly provides some information
regarding shared work, this bill will ensure the Department institution-
alizes concrete, affirmative steps to advertise the availability of
shared work programs, resulting in fewer layoffs and greater continuity
of human capital for businesses throughout, and after, periods of fiscal
instability.

 
PRIOR LEGISLATIVE HISTORY:

2020: S9056 - Referred to Rules

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.