New York City Council Header
File #: Int 2296-2021    Version: * Name: Establishing standards for payment of third-party service platform workers and a navigation program to aid such workers.
Type: Introduction Status: Laid Over in Committee
Committee: Committee on Consumer Affairs and Business Licensing
On agenda: 4/29/2021
Enactment date: Law number:
Title: A Local Law to amend the administrative code of the city of New York, in relation to establishing standards for payment of third-party service platform workers and a navigation program to aid such workers
Sponsors: Carlos Menchaca, Carlina Rivera , Farah N. Louis, Diana Ayala , Brad S. Lander
Council Member Sponsors: 5
Summary: This bill would require that the Department of Consumer and Worker Protection (DCWP) establish rules relating to how workers for third-party service platforms are paid. In particular, the rules would prohibit the third-party service platforms from charging workers any fees to receive payment, require that there be an option for payment that does not require a bank account, and require that payments are made at least once a week. In addition, DCWP would establish a navigation program to provide information to workers about their rights and help workers who are having issues with payments.
Indexes: Agency Rule-making Required
Attachments: 1. Summary of Int. No. 2296, 2. Int. No. 2296, 3. April 29, 2021 - Stated Meeting Agenda with Links to Files, 4. Committee Report 6/8/21

Int. No. 2296

 

By Council Members Menchaca, Rivera, Louis, Ayala and Lander

 

A Local Law to amend the administrative code of the city of New York, in relation to establishing standards for payment of third-party service platform workers and a navigation program to aid such workers

 

Be it enacted by the Council as follows:

Section 1. Chapter 12 of title 20 of the administrative code of the city of New York is amended by adding a new subchapter 8 to read as follows:

Subchapter 8

Third-party service platforms

§ 20-1281 Definitions. For the purposes of this subchapter, the following terms have the following meanings:

Third-party service platform. The term “third-party service platform” means any entity that offers prearranged services for compensation using an online-enabled application or platform to connect customers with workers.

Third-party service platform worker. The term “third-party service platform worker” means any person engaged by a third-party service platform to provide services except an employee, as defined in section 190 of the labor law, of such third-party service platform.

§ 20-1282 Payment to workers. a. The commissioner shall promulgate rules establishing standards for payments made by third-party service platforms to third-party service platform workers. Such rules shall, at a minimum:

1. Prohibit third-party service platforms from charging any fee for any form of payment used by such a platform to pay a third-party service platform worker for work performed;

2. Require that all third-party service platforms offer at least one form of payment that can be accessed by third-party service platform workers who do not have bank accounts; and

3. Ensure that all third-party service platform workers can receive payments due to them from third-party service platforms no less frequently than once a week.

b. The commissioner shall establish a navigation program that provides information and assistance to third-party service platform workers relating to issues with or disputes about payments from third-party service platforms. Such information shall be provided in English and each of the designated citywide languages, as defined in section 23-1101. Such program shall include assistance by a natural person by phone and e-mail and shall also include online information. The navigation program shall, at a minimum, provide the following:

1. Information regarding the rights of third-party service platform workers pursuant to this section;

2. Assistance in understanding payment options;

3. Assistance in setting up accounts to receive payments, including connecting bank accounts to third-party service platform accounts; and

4. Assistance in troubleshooting problems with receipt of payment.

§ 20-1283 Penalties and enforcement. a. Any person who violates, or causes another person to violate, a provision of this subchapter or any rule promulgated pursuant to such subchapter, shall be liable for civil penalties in amounts equivalent to those set forth in section 20-1209.

§ 2. This local law takes effect immediately.

 

 

 

LS #17253

NAB

4/23/21 12:40PM