Provides that the board of any deferred compensation plan established by NYC shall include an equal number of employer and union representatives; any act of the board shall be approved by a majority of the members with concurrence of one union and one employer representative.
TITLE OF BILL: An act to amend the state finance law, in relation to establishing employee representative participation on the city of New York deferred compensation plan board
PURPOSE: This bill intends to provide employee input into the New York City deferred compensation plan administration.
SUMMARY OF PROVISIONS: This legislation would require equal union and employer representation on the board of the deferred compensation plan established by the city of New York.
CURRENT LAW: The New York City Deferred Compensation Board is comprised of three members. This bill expands board membership to include employee representation.
JUSTIFICATION: The New York City deferred compensation is solely comprised of employer representatives. The function of this board is to determine the rules and regulations regarding the standards and requirements of the City's compensation plan, a role which includes the designation of the financial institutions in which participants may invest. The board's composition, does not require representatives from the parties impacted by any board decision -- the employees.
This legislation would update the Chapter Laws of 1982 so as to incorporate both employee and employer perspectives into the decision-making process. The equal representation between employees and employers on the board will ensure that the New York City Deferred Compensation Board plan is striving to meet the needs of plan participants. In that deferred compensation plan is Comprised of assets held for exclusive benefit of employees, in an effort to ensure the long-term financial security of many employees, in an effort to ensure the employee representation on the Deferred Compensation Board is not only justifiable, but fundamental.
LEGISLATIVE HISTORY: A8282 of 1999
FISCAL IMPLICATIONS: None
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 4907 2013-2014 Regular Sessions IN SENATE May 1, 2013 ___________Introduced by Sen. GOLDEN -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend the state finance law, in relation to establishing employee representative participation on the city of New York deferred compensation plan board THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 5 of section 5 of the state finance law, as amended by chapter 768 of the laws of 1984, is amended as follows: 5. Should a public employer elect to provide or elect to participate in a deferred compensation plan for employees otherwise eligible to participate in the plan, employees in a negotiating unit represented by an employee organization which negotiates pursuant to article fourteen of the civil service law shall not be permitted to participate under the provisions of this section until such time as such participation is authorized pursuant to a collectively negotiated agreement between the public employer and the employee organization; provided, however, that the public employer need only negotiate whether or not such employees shall be included in such plan. NOTWITHSTANDING THE OTHER PROVISIONS OF THIS SECTION, THE BOARD OF ANY DEFERRED COMPENSATION PLAN ESTABLISHED BY THE CITY OF NEW YORK SHALL INCLUDE AN EQUAL NUMBER OF EMPLOYER AND UNION REPRESENTATIVES. THE UNION REPRESENTATIVES SHALL BE SELECTED BY THE CHAIR OF THE MUNICIPAL LABOR COMMITTEE AS THAT TERM IS DEFINED BY SUBDI- VISION K OF SECTION 12-303 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK. ANY ACT OF THE BOARD SHALL BE APPROVED BY A MAJORITY OF MEMBERS. THE CONCURRENCE OF ONE UNION REPRESENTATIVE AND ONE EMPLOYER REPRESEN- TATIVE SHALL BE NECESSARY FOR ANY ACT OF SUCH BOARD. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD10427-02-3