1. 2018 Legislative Update Frank Kerbein SPHR
Director, Center for Human Resources
The Business Council of New York State

2. Materials are presented as informational only and not intended to provide legal, business or tax advice.  The Business Council of New York State, Inc. does not provide legal, business or tax advice. The accuracy, completeness, adequacy or currency of the content is not warranted or guaranteed. Our presentations are not substitutes for the advices or services of an attorney. We recommend you consult a lawyer or other appropriate professional if you want legal, business or tax advice.

4. Trump Changes Department of Labor
Drug testing for unemployment benefits
Prohibition on tip pooling
Persuader rule
Administrators Interpretation – Independent Contractors
Administrators Interpretation – Joint Employers
Overtime Rule
EEOC
Guidance re: discrimination based on sexual orientation
and gender identity.

5. Trump Changes Obama Era Revised Form EEO-1
On August 29, 2017, the Office of Management and Budget announced it was suspending implementation of the revised form to review effectiveness
EEO-1 Form must be filed by March 31, 2018 – providing traditional EEO information. No salary data required
Supreme Court - Janus vs AFSCME

6. Trump and the NLRB Reversing 8 Years of Obama era changes
Hy-Brand Industrial Contractors (365 NLRB No. 156 (2017)) – Reverses Browning-Ferris re: Joint Employment
General Counsel Memo GC recinds GC-15-04
Policies and Procedures (Employee Handbooks)
Disrespectful Conduct
Use of Company Logo
No Camera/Recording
Use of employer’s system (Purple Communications)

7. “Now we have a challenging time because we have a federal government that is against everything this state stands for.”
- Governor Cuomo

8. Two New York's

9. New York State Assembly
104 Democrat (Carl Heastie-Bronx)
37 Republican (Brian Kolb-Ontario)
9 Vacant

10. New York State Senate 31 Republican (John Flanagan – Northport)
24 Democrat (Andrea Stewart-Cousins – Yonkers)
8 Independent Democratic Conference (Jeff Klein – Bronx)
Simcha Felder – Brooklyn
Vacant

11. Executive (Governor’s) Budget Numbers
$168.8 billion “all funds budget” (+2.3%)
$99.97 billion “state operating funds” budget (+1.9%)
$70 billion for Medicaid
$26.6 billion for school aid (+3%)
$7.4 billion for higher education
$1.3 billion in property tax relief
$1.035 billion in new taxes

12. Legislative Response Senate Budget Assembly Budget
~ $300 million more than Executive
Legislative consensus revenue forecast is $700 million over Governor’s
Rejects $500 million in Executive Budget revenue measures
Additional tax cuts: Energy, Manufacturing, Small business
Assembly Budget
Adds $2 billion to Executive Budget (schools, transit, housing, others)
Proposes up to $4 billion in new taxes
Upper income PIT rates
Across the board 3% business tax surcharge

13. Federal Tax Reform NYS Impact and Response – Executive Proposals
“$14 billion impact of SALT deduction cap”
But PIT reductions for most NYS taxpayers (rate reductions, standard deduction, child credit)
Possible “offsets”
PIT “decoupling”
Payroll tax for PIT swap
“Charitable” contributions to state and local government
Limited corporate tax measures

14. New York City Paid sick leave Pregnancy discrimination
Predictive scheduling
Ban the box
Restrictions on the use of credit checks
Salary history ban
Right to disconnect

15. New York State Women’s Agenda HRL and gender identity
Executive Order #162
Sexual harassment
Executive Order #177
HRL and gender identity
Secure Choice
Elimination of tipped wage
Criminal justice reform
Ban the Box
Article 23-A
Method of payment of wages
Prevailing wage
Public sector union dues

16. New York State Employee Scheduling Regulations
Continue the current call-in pay practice of paying a minimum of four hours pay for employees who report to work and for whom no work is available.
Require that employers pay workers who come to work for a shift not scheduled at least 14 days in advance an additional 2 hours of call-in pay
Require employers to pay workers who have a shift cancelled less than 72 hours prior to the start of that shift an additional 4 hours of call-in pay
Require employers who ask workers to call within 72 hours of the start of the shift to confirm whether to report to work or not to pay an additional 4 hours of call-in pay

17. New York State Employee Scheduling Regulations
Employees during work weeks when their weekly wages exceed 40 times the applicable minimum wage (For Upstate employees in 2018 that would be in excess of $416 per week; 40 x $10.40)
Employees covered by a collective bargaining agreement that expressly provides for call-in pay
New employees during their first two weeks of employment
Regularly scheduled employees who “volunteer to cover” for a shift scheduled to be worked by another employer
Certain provisions for shifts cancelled due to an act of God

18. Minimum Wage Rate Schedule
Minimum Wage Increase
Minimum Wage Rate Schedule
Location
12/31/16
12/31/17
12/31/18
12/31/19
12/31/20
2021
NYC-Large Employers (11 or more)
$11.00
$13.00
$15.00
NYC-Small Employers (10 or less)
$10.50
$12.00
$13.50
Long Island & Westchester
$10.00
$14.00
Remainder of the NY State
$9.70
$10.40
$11.10
$11.80
$12.50 *

19. NYS Exempt Salary Levels Executive and Administrative
Date
Upstate Employers
Large NYC Employers
Small NYC Employers
Nassau, Suffolk, Westchester
12/31/16
$727.50
$825
$787.50
$750
12/31/17
$780
$40,560
$975
$50,700
$900
$46,800
$42,900
12/31/18
$832
$1,125
$1,012.50
12/31/19
$885
12/31/20
$937
$1,050
12/31/21

20. 2018 Legislative Agenda
Support a comprehensive update and reform of the state’s Labor Law updates, including: reasonable standards for defining employees and independent contractors; workable rules for use of pay cards and other forms of employee payment; reasonable standards for employee scheduling; allow employers of any size to have biweekly payrolls for manual workers; and others.
Supports workable regulations and standards for implementation of the 2016 Paid Family Leave law; assuring that DFS rules provide that 100 percent of premium costs are collected through employer wage withholdings.
Supports additional reforms to NYS Department of Labor wage order authority and to specific wage orders.
Supports legislation adopting workable definitions of employee and independent contractor to reflect practical issues relative to “sharing economy” employers.

21. 2018 Legislative Agenda
Opposes legislation imposing restrictions or pay mandates on the use of “on-call scheduling.”
Opposes proposed increases in disability benefit law levels.
Opposes restrictions on employer’s ability to conduct reasonable and relevant background checks in the employment process; these include proposals to limit the use of credit checks, criminal backgrounds, prior wages and others.
Opposes significant additional restrictions or mandates on use of non- compete agreements.

22. 2018 Legislative Agenda
Opposes increasing the wage threshold for overtime exempt employees above the federal threshold.
Opposes proposals for mandated leave including sick time, vacation time and other time-off.
Opposes legislation to impose expansive new workforce demographic reporting requirements on state contractors.
Opposes legislation authorizing the Department of Labor to enforce conditions of contracts with independent contractors.

23. Director, Center for Human Resources
Frank Kerbein SPHR
Director, Center for Human Resources
The Business Council of New York State