Employers in New York will soon be required to provide employees with notice of their eligibility for unemployment benefits when an employer reduces an employee’s hours or where there is an interruption of continued employment resulting in total or partial unemployment.

Quick Hits

• New York Governor Hochul signs legislation into law requiring employers to provide notice of unemployment benefits eligibility in expanded situations, including if an employee’s hours are reduced.
• The law is set to go into effect in November 2023.

On September 14, 2023, Governor Kathy Hochul signed into law Assembly Bill (A) 00398A and Senate Bill (S) 04878A, amending Section 590 of New York Labor Law. Specifically, A00398A/S04878A expands employers’ obligation to inform employees of their right to apply for unemployment benefits with the New York State Department of Labor (NYDOL). Such notification will be required “at the time of each permanent or indefinite separation from employment, reduction in ours, temporary separation, [or] any other interruption of continued employment that results in total or partial unemployment.”

Under A00398A/S04878A, the eligibility notice must be “in writing on a form furnished or approved by” NYDOL. The notification will further be required to include: (i) “the employer’s name and registration number”; (ii) “the address of the employer to which a request for remuneration and employment information with respect to such employee must be directed”; and (iii) any other information that may be required by the NYDOL commissioner.

Next Steps

The new notice of unemployment eligibility requirements is set to go into effect on November 13, 2023. Employers in New York may want to review their separation notices and agreements to ensure notice is provided to separated employees of their eligibility to apply for unemployment benefits. This notice will be required regardless of the impact on an employer’s unemployment insurance payments.