NYDOL Releases Model Templates for Use of Payroll Debit Cards and Direct Deposit

In connection with recently adopted regulations governing wage payment methods (12 NYCRR Part 192), the New York Department of Labor has issued model templates for written notice and consent for using payroll debit cards and direct deposit. The regulations, which go into effect on March 7, 2017, create new notice and consent requirements that employers must meet in order to use certain methods of wage payment.

The templates are available for public comment and feedback until February 10, 2017. After any changes from such comment and feedback are made, updated templates will be posted prior to the effective date of the rule, along with translations into additional languages specified during the rulemaking process.

View the Templates

NYSDFS Prohibits Insurers from Denying Commercial Crime Coverage Due to an Employee’s Prior Criminal Conviction

On December 6, 2016, the New York State Department of Financial Services (NYSDFS) issued regulations requiring insurance companies to provide commercial crime coverage to employers who have knowledge of an employee’s prior criminal conviction. The regulations only apply to insurers whose insureds have engaged in an analysis under Article 23-A of the Correction Law.

Article 23-A of the Correction Law prohibits discrimination based upon a conviction for a previous criminal offense unless:

  • There is a direct relationship between one or more of the previous criminal offenses and the employment sought or held by the individual; or
  • The granting or continuation of employment would involve an unreasonable risk to property or to the safety or welfare of specific individuals or the general public.

In making the determination above, employers must consider the following eight factors:

  1. The public policy of the state to encourage the licensure and employment of persons previously convicted of one or more criminal offenses.
  2. The specific duties and responsibilities necessarily related to the license or employment sought or held by the person.
  3. The bearing, if any, the criminal offense or offenses for which the person was previously convicted will have on his or her fitness or ability to perform one or more such duties or responsibilities.
  4. The time elapsed since the occurrence of the criminal offense or offenses.
  5. The age of the person at the time of occurrence of the criminal offense or offenses.
  6. The seriousness of the offense or offenses.
  7. Any information produced by the person, or produced on the person’s behalf, in regard to his or her rehabilitation and good conduct.
  8. The legitimate interest of the public agency or private employer in protecting property, and the safety and welfare of specific individuals or the general public.

Insurers may audit employers and require them to maintain adequate records to demonstrate that they have conducted the full Article 23-A analysis.

The regulations apply to policies issued, renewed, or delivered in New York after July 1, 2017.

Read the Regulations