Enacts the "save New York call center jobs act of 2012"; requires prior notice of relocation of call center jobs from New York to a foreign country; directs the commissioner of labor to maintain a list of employers who move call center jobs; prohibits loans or grants.

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S6918-2011 Actions

• Apr 11, 2012: REFERRED TO LABOR

S6918-2011 Memo

BILL NUMBER:S6918

TITLE OF BILL:
An act
to amend the labor law, in relation to enacting the "save New York call
center jobs act of 2012"

PURPOSE OF BILL:
The purpose of this bill is to penalize companies that relocate call
center jobs overseas by restricting their access to state contracts
and loans.

SUMMARY OF PROVISIONS:
The bill amends the labor law by adding Article 21. Under Section 771,
a call center employer that intends to relocate a call center, or
one or more facilities or operating units within a call center
compromising at least thirty percent of the call center's, or
operating unit's total volume when measured against the previous
twelve month average call volume of operations or substantially
similar operations, from New York State to a foreign country shall
notify the commissioner at least one hundred days before
such relocation.

A call center employer that violates subdivision one of this section
shall be subject to a civil penalty not to exceed ten thousand
dollars for each day of such violation, except that the commissioner
may reduce such amount for just cause shown.

JUSTIFICATION:
Over the past four years, the United States has lost at least 500,000
call center jobs as businesses have opted to relocate offshore. In
addition to limiting employment opportunities for struggling
families, the use of foreign call centers present a number of
security concerns with respect to protecting New Yorkers personal
confidential information.

In an effort to combat unemployment in New York State, this bill
holds companies that out source jobs accountable. This legislation
directs the commissioner to compile a semi-annual list of all call
center employers in NYS that relocate jobs overseas and publicly
discloses this information to all state agencies. Additionally, call
center employers
that appear on the list will be ineligible for state grants,
guaranteed loans and tax benefits. This measure gives companies
throughout the state an incentive to support New York's workforce,
as opposed to negligently shipping jobs abroad. In light of
the current economic
climate, it is fiscally irresponsible to continue to reward with
taxpayer dollars and state subsidies, businesses that relocate jobs.

PRIOR LEGISLATIVE HISTORY:

None.

EFFECTIVE DATE:
This act shall take effect on the one hundred eightieth day
after it shall have become a law.

S6918-2011 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

      S. 6918                                                  A. 9809

                        SENATE - ASSEMBLY

                               April 11, 2012
                                 ___________

  IN SENATE -- Introduced by Sen. KENNEDY -- read twice and ordered print-
    ed, and when printed to be committed to the Committee on Labor

  IN ASSEMBLY -- Introduced by M. of A. JEFFRIES -- read once and referred
    to the Committee on Labor

  AN  ACT  to  amend  the labor law, in relation to enacting the "save New
    York call center jobs act of 2012"

    THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section  1.  Short  title. This act shall be known and may be cited as
  the "save New York call center jobs act of 2012".
    S 2. The labor law is amended by adding a new article 21  to  read  as
  follows:

                                 ARTICLE 21
                     SAVE NEW YORK CALL CENTER JOBS ACT
  SECTION 770. DEFINITIONS.
          771. LIST OF RELOCATED CALL CENTERS.
          772. GRANTS, GUARANTEED LOANS AND TAX BENEFITS.
          773. PROCUREMENT CONTRACTS.
          774. STATE BENEFITS FOR WORKERS.
          775. NO PRIVATE RIGHT OF ACTION.
    S 770. DEFINITIONS. AS USED IN THIS ARTICLE:

    1.  THE TERM "CALL CENTER" MEANS A FACILITY OR OTHER OPERATION WHEREBY
  EMPLOYEES RECEIVE TELEPHONE CALLS OR OTHER ELECTRONIC COMMUNICATION  FOR
  THE PURPOSE OF PROVIDING CUSTOMER ASSISTANCE OR OTHER SERVICE.
    2.  (A)  THE  TERM  "EMPLOYER"  MEANS ANY BUSINESS ENTITY THAT EMPLOYS
  FIFTY OR MORE EMPLOYEES, EXCLUDING PART-TIME EMPLOYEES; OR FIFTY OR MORE
  EMPLOYEES THAT IN THE AGGREGATE WORK AT LEAST FIFTEEN HUNDRED HOURS  PER
  WEEK,  EXCLUDING  OVERTIME  HOURS,  FOR  THE  PURPOSE OF STAFFING A CALL
  CENTER.
    (B) THE TERM "PART-TIME EMPLOYEE" MEANS AN EMPLOYEE  WHO  IS  EMPLOYED
  FOR  AN  AVERAGE  OF  FEWER  THAN  TWENTY HOURS PER WEEK OR WHO HAS BEEN
  EMPLOYED FOR FEWER THAN SIX OF THE TWELVE MONTHS PRECEDING THE  DATE  ON
  WHICH NOTICE IS REQUIRED UNDER THIS ARTICLE.

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD14936-02-2

 S. 6918                             2                            A. 9809

    S 771. LIST OF RELOCATED CALL CENTERS.  1. A CALL CENTER EMPLOYER THAT
  INTENDS  TO RELOCATE A CALL CENTER, OR ONE OR MORE FACILITIES OR OPERAT-
  ING UNITS WITHIN A CALL CENTER COMPRISING AT LEAST THIRTY PERCENT OF THE
  CALL CENTER'S, OR OPERATING UNIT'S, TOTAL VOLUME WHEN  MEASURED  AGAINST
  THE  PREVIOUS TWELVE MONTH AVERAGE CALL VOLUME OF OPERATIONS OR SUBSTAN-
  TIALLY SIMILAR OPERATIONS, FROM NEW YORK  STATE  TO  A  FOREIGN  COUNTRY
  SHALL  NOTIFY  THE  COMMISSIONER  AT  LEAST ONE HUNDRED DAYS BEFORE SUCH
  RELOCATION.
    2. A CALL CENTER  EMPLOYER  THAT  VIOLATES  SUBDIVISION  ONE  OF  THIS
  SECTION  SHALL  BE SUBJECT TO A CIVIL PENALTY NOT TO EXCEED TEN THOUSAND
  DOLLARS FOR EACH DAY OF SUCH VIOLATION, EXCEPT THAT THE COMMISSIONER MAY
  REDUCE SUCH AMOUNT FOR JUST CAUSE SHOWN.
    3. THE COMMISSIONER SHALL COMPILE A SEMIANNUAL LIST OF ALL CALL CENTER
  EMPLOYERS THAT RELOCATE A CALL CENTER, OR  ONE  OR  MORE  FACILITIES  OR
  OPERATING  UNITS WITHIN A CALL CENTER COMPRISING AT LEAST THIRTY PERCENT
  OF THE CALL CENTER'S TOTAL VOLUME OF OPERATIONS, FROM NEW YORK STATE  TO
  A FOREIGN COUNTRY.
    4. THE COMMISSIONER SHALL DISTRIBUTE THE LIST REQUIRED IN THIS SECTION
  TO ALL AGENCIES IN THE STATE.
    S  772.  GRANTS,  GUARANTEED  LOANS  AND  TAX  BENEFITS.  1. EXCEPT AS
  PROVIDED IN SUBDIVISION THREE OF THIS SECTION  AND  NOTWITHSTANDING  ANY
  OTHER  PROVISION OF LAW, A CALL CENTER EMPLOYER THAT APPEARS ON THE LIST
  DESCRIBED IN SECTION SEVEN HUNDRED SEVENTY-ONE OF THIS ARTICLE SHALL  BE
  INELIGIBLE  FOR  ANY  DIRECT  OR INDIRECT STATE GRANTS, STATE GUARANTEED
  LOANS, TAX BENEFITS OR OTHER FINANCIAL GOVERNMENTAL SUPPORT FOR A PERIOD
  OF FIVE YEARS FROM THE DATE SUCH LIST IS PUBLISHED.
    2. EXCEPT AS  PROVIDED  IN  SUBDIVISION  THREE  OF  THIS  SECTION  AND
  NOTWITHSTANDING  ANY OTHER PROVISION OF LAW, A CALL CENTER EMPLOYER THAT
  APPEARS ON THE LIST DESCRIBED IN SECTION SEVEN  HUNDRED  SEVENTY-ONE  OF
  THIS  ARTICLE  SHALL REMIT THE UNAMORTIZED VALUE OF ANY GRANT OR GUARAN-
  TEED LOANS, OR ANY TAX BENEFITS OR OTHER  GOVERNMENTAL  SUPPORT  IT  HAS
  PREVIOUSLY RECEIVED TO THE COMMISSIONER. THE PROVISIONS OF THIS SUBDIVI-
  SION  SHALL  APPLY  TO GRANTS, LOANS, TAX BENEFITS AND FINANCIAL GOVERN-
  MENTAL ASSISTANCE THAT IS RECEIVED ON OR AFTER  THE  EFFECTIVE  DATE  OF
  THIS ARTICLE.
    3.  THE  COMMISSIONER,  IN  CONSULTATION  WITH  THE APPROPRIATE AGENCY
  PROVIDING A LOAN OR GRANT, MAY  WAIVE  THE  REQUIREMENT  PROVIDED  UNDER
  SUBDIVISION  TWO  OF THIS SECTION IF THE EMPLOYER DEMONSTRATES THAT SUCH
  REQUIREMENT WOULD:

    (A) THREATEN STATE OR NATIONAL SECURITY;
    (B) RESULT IN SUBSTANTIAL JOB LOSS IN THE STATE OF NEW YORK; OR
    (C) HARM THE ENVIRONMENT.
    S 773. PROCUREMENT CONTRACTS. THE HEAD  OF  EACH  STATE  AGENCY  SHALL
  ENSURE  THAT ALL STATE-BUSINESS-RELATED CALL CENTER AND CUSTOMER SERVICE
  WORK BE PERFORMED BY STATE CONTRACTORS OR OTHER AGENTS OR SUBCONTRACTORS
  ENTIRELY WITHIN THE STATE OF NEW YORK. STATE CONTRACTORS  WHO  CURRENTLY
  PERFORM  SUCH  WORK  OUTSIDE  THE STATE OF NEW YORK SHALL HAVE TWO YEARS
  FOLLOWING THE EFFECTIVE  DATE  OF  THIS  ARTICLE  TO  COMPLY  WITH  THIS
  SECTION;  PROVIDED,  THAT  IF  ANY  SUCH  CONTRACTORS WHICH PERFORM WORK
  OUTSIDE THIS STATE ADDS CUSTOMER SERVICE EMPLOYEES WHO WILL PERFORM WORK
  ON SUCH CONTRACTS, THOSE NEW EMPLOYEES  SHALL  IMMEDIATELY  BE  EMPLOYED
  WITHIN THE STATE OF NEW YORK.
    S  774. STATE BENEFITS FOR WORKERS. NO PROVISION OF THIS ARTICLE SHALL
  BE CONSTRUED TO PERMIT WITHHOLDING OR DENIAL OF PAYMENTS,  COMPENSATION,
  OR  BENEFITS  UNDER  ANY  OTHER  STATE LAW, INCLUDING BUT NOT LIMITED TO
  STATE UNEMPLOYMENT COMPENSATION, DISABILITY PAYMENTS OR WORKER  RETRAIN-

 S. 6918                             3                            A. 9809

  ING  OR  READJUSTMENT FUNDS, TO WORKERS EMPLOYED BY EMPLOYERS THAT RELO-
  CATE TO A FOREIGN COUNTRY.
    S  775.  NO PRIVATE RIGHT OF ACTION. NOTHING SET FORTH IN THIS ARTICLE
  SHALL BE CONSTRUED AS CREATING, ESTABLISHING, OR AUTHORIZING  A  PRIVATE
  CAUSE  OF  ACTION  BY  AN  AGGRIEVED  PERSON AGAINST AN EMPLOYER WHO HAS
  VIOLATED, OR IS ALLEGED TO HAVE VIOLATED, ANY PROVISION OF THIS ARTICLE.
    S 3. This act shall take effect on the one hundred eightieth day after
  it shall have become a law.