Bill > A05726

This bill strengthens employer reporting requirements and penalties related to unemployment benefits by introducing several key provisions. The legislation creates a legal presumption that if an employee is determined to be eligible for unemployment benefits, the same classification applies to other workers performing similar services for that employer, and the employer becomes liable for reporting and contributing unemployment insurance for all such workers. The bill significantly increases penalties for employers who fail to report wages accurately, with penalty amounts varying based on the size of the employer (from $25 to $400 per employee) and escalating for repeated violations. The bill also expands the definition of fraud to include situations where an employer knowingly fails to pay contributions for covered employees, such as when related entities have previously been found to employ similar workers. Additionally, the bill requires the unemployment insurance department to provide more detailed notifications to claimants about potential wage reporting issues, allows claimants and employees to seek court orders compelling wage reporting, and establishes timelines for investigations and benefit determinations. The overall aim is to improve wage reporting accuracy, ensure proper unemployment insurance contributions, and provide more transparency and recourse for workers.

Labor and Employment

https://www.nysenate.gov/legislation/bills/2025/A5726