A02712 Summary:

BILL NOA02712
 
SAME ASSAME AS S03936
 
SPONSORJohn (MS)
 
COSPNSRColton, Gianaris, Cahill, Peralta, Wright, Fields, Young, Rosenthal, Gottfried, Schroeder, Jaffee
 
MLTSPNSRAlfano, Bing, Boyland, Bradley, Cusick, DelMonte, Destito, Englebright, Gunther, Jacobs, Koon, Lafayette, Lifton, Lupardo, Magnarelli, McEneny, Millman, Pheffer, Ramos, Walker, Weinstein, Weisenberg
 
Add Art 21 SS750 - 757, Lab L
 
Enacts the "New York State fair pay act"; provides that it shall be an unlawful employment practice for an employer to discriminate between employees on the basis of sex, race and/or national origin by paying different wages.
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A02712 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A2712
 
SPONSOR: John (MS)
  TITLE OF BILL: An act to amend the labor law, in relation to enacting the "New York state fair pay act"   SUMMARY OF SPECIFIC PROVISIONS: Section one of the bill adds a new article, Article 21 to the labor law. Article 21 is comprised of §750: short title § 751 is legislative findings and statement of purpose § 752 is the definitions section § 753 is a prohibition against discrimination in wages § 754 contains other prohibited acts § 755 contains references to wage disclosure, record keeping and report- ing. § 756 is the remedies and enforcement section § 757 calls for regulations to implement this act. Section two of the bill is the effective date.   JUSTIFICATION: Present law does not adequately address the issue of pay equity, and the need for state enforcement of a prohibition on such inequities. The bill has been amended to reflect comments from a broad coalition of labor and women's groups. The amendments are: section 752: equivalent jobs has been broadened section 753: a new paragraph concerning methodology for determining equivalent skill section 753: refers to a single job comparison system which does not undervalue traditionally female or minority jobs Pay equity has not been universally achieved in our state. Legislative hearings have consistently received testimony from women performing work equal to male counterparts but paid less for their labor.   PRIOR LEGISLATIVE HISTORY: A.6832 of 2000: referred to labor A.6691 of 2001-02: Passed Assembly A.6701 of 2003-04: Passed Assembly A.3627 of 2005-06: Passed Assembly   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: Not calculated.   EFFECTIVE DATE: On the ninetieth day after it shall have become law.
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A02712 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          2712
 
                               2007-2008 Regular Sessions
 
                   IN ASSEMBLY
 
                                    January 18, 2007
                                       ___________
 
        Introduced  by  M.  of  A.  JOHN,  COLTON,  GIANARIS, CAHILL, PERALTA --
          Multi-Sponsored by -- M. of A. BING, BRADLEY, CUSICK, DelMONTE, DESTI-
          TO, GUNTHER, JACOBS, KOON,  LAFAYETTE,  LAVELLE,  LIFTON,  MAGNARELLI,
          RAMOS, WEINSTEIN -- read once and referred to the Committee on Labor
 
        AN  ACT  to  amend  the labor law, in relation to enacting the "New York

          state fair pay act"
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section 1. The labor law is amended by adding a new article 21 to read
     2  as follows:
     3                                  ARTICLE 21
     4                         NEW YORK STATE FAIR PAY ACT
     5  Section 750. Short title.
     6          751. Findings and statement of purpose.
     7          752. Definitions.
     8          753. Prohibition against discrimination in wages.
     9          754. Other prohibited acts.
    10          755. Wage disclosure, recordkeeping, and reporting requirements.
    11          756. Remedies and enforcement.
    12          757. Regulations.

    13    §  750.  Short  title. This act shall be known and may be cited as the
    14  "New York state fair pay act".
    15    § 751. Findings and statement of purpose. (a)  The  legislature  finds
    16  the following:
    17    (1)  Despite  federal and state laws banning discrimination in employ-
    18  ment and pay, in both the private and public sector, wage  differentials
    19  persist  between women and men and between minorities and non-minorities
    20  in the same jobs and in jobs that are dissimilar but that require equiv-
    21  alent composites of skill, effort,  responsibility  and  working  condi-
    22  tions;
    23    (2) The existence of such wage differentials--
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets

                              [ ] is old law to be omitted.
                                                                   LBD06637-01-7

        A. 2712                             2
 
     1    (A)  depresses  wages and living standards for employees necessary for
     2  their health and efficiency;
     3    (B) reduces family incomes and contributes to the higher poverty rates
     4  among female-headed and minority households;
     5    (C) prevents the maximum utilization of the available labor resources;
     6    (D)  tends  to cause labor disputes, thereby burdening, affecting, and
     7  obstructing commerce;
     8    (E) constitutes an unfair method of competition; and
     9    (F) violates the state's public policy against discrimination;

    10    (3) Discrimination in wage-setting practices  has  played  a  role  in
    11  depressing wages for women and minorities generally;
    12    (4)  Many  individuals work in occupations that are dominated by indi-
    13  viduals of their same sex, race, and/or national origin,  and  discrimi-
    14  nation  in  hiring,  job  assignment  and promotion has played a role in
    15  establishing and maintaining segregated work forces;
    16    (5) Eliminating discrimination in compensation based on sex, race  and
    17  national origin would have positive effects, including--
    18    (A) providing a solution to problems in the economy created by discri-
    19  minatory wage differentials;
    20    (B)  reducing  the number of working women and people of color earning

    21  low wages, thereby lowering their incidence  of  poverty  during  normal
    22  working years and in retirement; and
    23    (C) promoting stable families by raising family incomes.
    24    (b)  It  is  the  purpose of this article to correct and as rapidly as
    25  practicable to eliminate discriminatory wage  practices  based  on  sex,
    26  race and/or national origin.
    27    §  752.  Definitions.  (a)  The  term "employ" shall mean to suffer or
    28  permit to work.
    29    (b) The term "employee" shall mean any person employed by an  employer
    30  and  includes  all of an employer's permanent employees, whether working
    31  full-time or part-time,  and  any  temporary  employee  employed  by  an
    32  employer  for  a  period of at least three months.  "Employee" shall not

    33  include any individual employed by his or her parents, spouse or child.
    34    (c) The term "employer" shall mean any person  who  employs  three  or
    35  more persons and includes the state and all political subdivisions ther-
    36  eof.
    37    (d)  The  term  "equivalent  jobs"  means jobs or occupations that are
    38  equal within the meaning of  the  Equal  Pay  Act  of  1963,  29  U.S.C.
    39  206(d),  or  jobs  or occupations that are dissimilar but whose require-
    40  ments are equivalent, when viewed as  a  composite  of  skills,  effort,
    41  responsibility  and  working conditions.   Equivalency of skill, effort,
    42  responsibility and working conditions shall be determined  by  utilizing
    43  job  comparison methodologies that do not ignore or undervalue the worth

    44  of jobs where women and minorities are disproportionately represented.
    45    (e) The term "person" shall mean one  or  more  individuals,  partner-
    46  ships,  associations,  corporations,  limited liability companies, legal
    47  representatives, trustees, trustees in  bankruptcy,  receivers  and  the
    48  state and all political subdivisions and agencies thereof.
    49    (f)  The  term  "labor  organization" shall mean any organization that
    50  exists for the purpose, in whole or part, of collective bargaining or of
    51  dealing with employers concerning grievances,  terms  of  conditions  of
    52  employment,  or  of  other  mutual  aid or protection in connection with
    53  employment.
    54    (g) The term "market rates" shall mean the rates that employers within

    55  a prescribed geographic area actually pay, or are reported  to  pay  for

        A. 2712                             3
 
     1  specific  jobs,  as  determined  by  formal  or  informal  surveys, wage
     2  studies, or other means.
     3    (h)  The  term "wages" and wage "rates" shall include all compensation
     4  in any form than an employer provides to employees in payment  for  work
     5  done or services rendered, including but not limited to base pay, bonus-
     6  es,  commissions, awards, tips, or various forms of non-monetary compen-
     7  sation if provided in lieu of or in addition  to  monetary  compensation
     8  and that have economic value to an employee.
     9    § 753. Prohibition against discrimination in wages. (a) It shall be an

    10  unlawful employment practice in violation of this article for an employ-
    11  er  to  discriminate  between employees on the basis of sex, race and/or
    12  national origin by:
    13    (1) paying wages to employees at a rate less than  the  rate  paid  to
    14  employees  of the opposite sex or of a different race or national origin
    15  for work in equivalent jobs; and/or
    16    (2) paying wages to employees in a job that is dominated by  employees
    17  of  a  particular  sex,  race or national origin at a rate less than the
    18  rate at which such employer pays to employees in  another  job  that  is
    19  dominated  by  employees  of  the opposite sex or of a different race or
    20  national origin, for work on equivalent jobs.

    21    (b) Notwithstanding the provisions of subdivision (a) of this section,
    22  it shall not be an unlawful employment practice for an employer  to  pay
    23  different wage rates to employees, where such payments are made pursuant
    24  to:
    25    (1) a bona fide seniority or merit system;
    26    (2)  a  system  that  measures  earnings  by  quantity  or  quality of
    27  production, or
    28    (3) any bona fide factor other than sex,  race,  or  national  origin,
    29  provided, however, that wage differentials based on varying market rates
    30  for  equivalent  jobs or the differing economic benefits to the employer
    31  of equivalent jobs shall not be considered differentials based  on  bona
    32  fide factors other than sex, race or national origin.

    33    (c) An employer who is paying wages in violation of this section shall
    34  not,  in order to comply with the provisions of this section, reduce the
    35  wage of any employee.
    36    (d) No labor organization or its agents representing employees  of  an
    37  employer having employees subject to any provision of this chapter shall
    38  cause  or  attempt  to cause such an employer to discriminate against an
    39  employee in violation of subdivision (a) of this section.
    40    (e) (1) The department shall  promulgate  regulations  specifying  the
    41  criteria  for  determining  whether a job is dominated by employees of a
    42  particular sex, race, or national origin. Criteria  shall  include,  but
    43  not be limited to, factors such as whether the job has ever been formal-

    44  ly  classified as or traditionally considered to be a "male" or "female"
    45  or "white" or "minority" job; whether there is a  history  of  discrimi-
    46  nation  against  women  and/or  people  of  color  with regard to wages,
    47  assignment or access to jobs, or other terms and conditions  of  employ-
    48  ment;  and  the  demographic composition of the work force in equivalent
    49  jobs e.g., numbers or percentages  of  women,  men,  white  persons  and
    50  people of color.  The regulations shall not include a list of jobs.
    51    (2) The department shall promulgate regulations specifying the method-
    52  ology for determining equivalent skill, effort, responsibility and work-
    53  ing  conditions.  Any  methodology  prescribed  by  the department shall

    54  ensure that comparison systems do not ignore or undervalue the worth  of
    55  jobs where women and minorities are disproportionately represented.

        A. 2712                             4
 
     1    (3)  The  equivalence  of  jobs dominated by employees of a particular
     2  sex, race or national origin relative to jobs dominated by employees  of
     3  the  opposite  sex  or of a different race or origin will be established
     4  through the application of a single job comparison system that does  not
     5  systematically  ignore  or  undervalue  the job content of traditionally
     6  female and minority jobs.
     7    § 754. Other prohibited acts. (a) It shall be an  unlawful  employment
     8  practice in violation of this article for an employer:

     9    (1)  to  take  adverse  actions  or otherwise discriminate against any
    10  individual because such individual has opposed any act or practice  made
    11  unlawful  by  this article, has sought to enforce rights protected under
    12  this article, or has testified, assisted, or participated in any  manner
    13  in  an investigation, hearing, or other proceeding to enforce this arti-
    14  cle; or
    15    (2) to discharge or in any other manner discriminate against,  coerce,
    16  intimidate, threaten, or interfere with any employee or any other person
    17  because  the  employee inquired about, disclosed, compared, or otherwise
    18  discussed the employee's wages or the wages of any  other  employee,  or
    19  because  the employee exercised, enjoyed, aided, or encouraged any other

    20  person to exercise or enjoy any right granted or protected by this arti-
    21  cle.
    22    § 755. Wage disclosure, recordkeeping, and reporting requirements. (a)
    23  Upon commencement of an individual's employment and  at  least  annually
    24  thereafter, every employer subject to this article shall provide to each
    25  employee a written statement sufficient to inform the employee of his or
    26  her  job  title,  wage rate, and how the wage is calculated. This notice
    27  shall be supplemented whenever an employee is promoted or reassigned  to
    28  a  different  position  with  the  employer, provided, however, that the
    29  employer is not required to issue supplemental notifications for  tempo-
    30  rary reassignments that are no greater than three months in duration.

    31    (b)  Every  employer  subject  to this article shall make and preserve
    32  records that document the wages paid to employees and that document  and
    33  support the method, system, calculations, and other bases used to estab-
    34  lish,  adjust,  and  determine  the  wage  rates paid to said employer's
    35  employees. Every employer subject to this article  shall  preserve  such
    36  records  for  such  periods of time and shall make such reports from the
    37  records as shall be prescribed by regulation of the department.
    38    (c) The regulations promulgated under this article,  relating  to  the
    39  form  of  reports  required  by  subdivision  (b) of this section, shall
    40  provide for protection of the confidentiality of  employees,  and  shall

    41  expressly  require  that  reports  shall  not include the names or other
    42  identifying information from which readers could discern the  identities
    43  of  employees.  The  regulations  may  also  identify circumstances that
    44  warrant a prohibition on disclosure of reports or information  identify-
    45  ing the employer.
    46    (d) The department may use the information and data it collects pursu-
    47  ant  to  subdivision  (b)  of  this section for statistical and research
    48  purposes, and may compile and publish such studies,  analyses,  reports,
    49  and surveys based on the information and data, as it may consider appro-
    50  priate.
    51    §  756.  Remedies  and  enforcement.  (a) (1) In any action in which a

    52  court or jury finds that an employer has engaged in acts in violation of
    53  this article, the court or jury shall award to any affected employee  or
    54  employees  monetary relief, including back pay in an amount equal to the
    55  difference between the employee's actual earnings and what the  employee

        A. 2712                             5
 
     1  would  have  earned  but  for  the employer's unlawful practices, and an
     2  additional amount in compensatory and punitive damages, as appropriate.
     3    (2)  In any action in which a court or jury finds that an employer has
     4  engaged in acts in violation of this article, the court shall enjoin the
     5  employer from continuing to discriminate against affected employees  and

     6  shall direct the employer to comply with the provisions of this article;
     7  and  may order the employer to take such additional affirmative steps as
     8  are necessary, including reinstatement or reclassification  of  affected
     9  workers, to ensure an end to unlawful discrimination.
    10    (3)  In  any action in which an affected employee or employees prevail
    11  in their claims against employers, the court shall, in addition  to  any
    12  judgment  awarded  to the plaintiffs, allow a reasonable attorney's fee,
    13  reasonable expert witness fees, and other costs of the action to be paid
    14  by the employer.
    15    (b)  (1)  An  action  to  recover  the  damages  or  equitable  relief
    16  prescribed  in subdivision (a) of this section may be maintained against

    17  any employer in any court of competent jurisdiction by any one  or  more
    18  employees or their representative for or on behalf of:
    19    (A) the employees; or
    20    (B) the employees and other employees similarly situated.
    21    (2)  (A)  The  department  shall  receive, investigate, and attempt to
    22  resolve complaints of violations of this article.
    23    (B) In the event the department is unable to reach a voluntary  resol-
    24  ution  of a complaint filed under this article, the department may bring
    25  an action in any court of competent jurisdiction to recover the  equita-
    26  ble and monetary relief described in subdivision (a) of this section.
    27    (C)  Any  sums  recovered by the department pursuant to this paragraph

    28  shall be paid directly to  each  employee  affected  by  the  employer's
    29  unlawful acts.
    30    § 757. Regulations. The department shall prescribe such regulations as
    31  are necessary to carry out the provisions of this article not later than
    32  one hundred twenty days after the effective date of this article.
    33    §  2.  This  act shall take effect on the ninetieth day after it shall
    34  have become a law; provided that the commissioner of labor shall promul-
    35  gate rules and regulations necessary to  effectuate  the  provisions  of
    36  this act prior to such effective date.
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