Bill Text: NY S06797 | 2015-2016 | General Assembly | Introduced

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Bill Title: Prohibits employers from requiring low-wage employees to enter into covenants not to compete and requires employers to notify potential employees of any requirement to enter into a covenant not to compete.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2016-06-17 - COMMITTED TO RULES [S06797 Detail]

Download: New_York-2015-S06797-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          6797
                    IN SENATE
                                    February 23, 2016
                                       ___________
        Introduced  by  Sen.  SAVINO -- read twice and ordered printed, and when
          printed to be committed to the Committee on Labor
        AN ACT to amend the labor law, in relation to prohibiting employers from
          requiring low-wage employees to enter into covenants  not  to  compete
          and  requiring employers to notify potential employees of any require-
          ment to enter into a covenant not to compete
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  This act shall be known and may be cited as the "New York
     2  State mobility and opportunity for vulnerable employees act" or the  "NY
     3  MOVE act".
     4    §  2.  The  labor law is amended by adding a new article 33 to read as
     5  follows:
     6                                  ARTICLE 33
     7    NEW YORK STATE MOBILITY AND OPPORTUNITY FOR VULNERABLE EMPLOYEES ACT
     8  Section 950. Definitions.
     9          951. Prohibiting covenants not to compete for  low-wage  employ-
    10                 ees.
    11          952. Disclosure requirement for covenants not to compete.
    12          953. Enforcement.
    13    §  950. Definitions. For purposes of this article, the following terms
    14  shall have the following meanings:
    15    1. "Commerce" has the meaning given such term in section three of  the
    16  Fair Labor Standards Act of 1938 (29 U.S.C. 203).
    17    2. "Covenant not to compete" means an agreement:
    18    (a) between an employee and employer that restricts such employee from
    19  performing:
    20    (i) any work for another employer for a specified period of time;
    21    (ii) any work in a specified geographical area; or
    22    (iii)  work  for  another  employer that is similar to such employee's
    23  work for the employer included as a party to the agreement; and
    24    (b) that is entered into after the effective date of this article.
    25    3.  "Employee",  "employer",  "enterprise",  "enterprise  engaged   in
    26  commerce  or  in the production of goods for commerce", and "goods" have
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11534-03-5