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What is NYC AC § 20-564?

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This section provides definitions for terms used in the subchapter, including 'construction', 'construction labor provider', and 'covered construction worker'. It clarifies the roles and responsibilities of various parties involved in construction work. Applies to construction labor providers and related entities operating in the city.

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§ 20-564 Definitions.

AC § 20-564

For purposes of this subchapter, the following terms have the following meanings: Construction. The term "construction" has the same meaning as defined in section 3302.1 of the New York city building code and does not include minor alterations and ordinary repairs, as defined in section 28-105.4.2.1 of such code. Construction labor provider. The term "construction labor provider" means a person who employs and supplies a covered construction worker to a third party client for the performance of construction work or manual labor for a construction project of such client on a site in the city, in exchange for compensation from such third party client, provided that the completion of such project is directed by such client or such client's contractor and not such person. The term "construction labor provider" does not mean: 1. An employment agency or an employee fee paid employment agency, as defined by article 11 of the general business law; 2. A professional employer organization, as defined by article 31 of the labor law; 3. A construction subcontractor that is responsible for and performs all of the following: (i) performing construction work on a project in accordance with a written contract for a defined scope of construction work at a fixed price; (ii) obtaining necessary licenses to perform construction services under the entity's name; (iii) exclusively controlling the subcontractor's workers, including having hiring and firing authority and direction of methods and means of construction work performed on the construction project; (iv) paying wages and fringe benefits to workers by the subcontractor and not any other person or entity, and maintaining required employment and payroll records by the subcontractor; (v) purchasing the majority of materials, supplies and tools for construction work performed by the subcontractor on the project; and (vi) maintaining workers' compensation and unemployment insurance coverage for periods preceding, during and succeeding the term of the construction project for the type and scope of construction work performed by the subcontractor on the project. The commissioner may promulgate rules requiring additional documentation to establish that an applicant is a construction subcontractor; or 4. A general contractor, as defined in section 28-401.3. Covered construction worker. The term "covered construction worker" means a person who is employed by a construction labor provider to perform construction work or manual labor on a construction site. Manual labor. The term "manual labor" means the type of physical work the performance of which classifies a natural person as a "manual worker" in accordance with section 190 of the labor law and the rules and regulations adopted thereunder. Retaliation. The term "retaliation" means any adverse employment action taken or threat to take adverse employment action by a construction labor provider against any person, or any action to directly or indirectly intimidate, threaten, coerce, command or influence or attempt to intimidate, threaten, coerce, command or influence any person because such person has taken an action to enforce, inquire about or inform others about the requirements of this subchapter. Successor. The term "successor" means a construction labor provider that does or has done two or more of the following: a. Uses the same facility, facilities or workforce to offer substantially the same services as a predecessor construction labor provider; b. Shared in the ownership, or otherwise exercised control over, the management of a predecessor construction labor provider; c. Employs in a managerial capacity any person who controlled the wages, hours, or working conditions of the affected employees of a predecessor construction labor provider; or d. Is an immediate family member, including a parent, step-parent, child, or step, foster or adopted child, of any owner, partner, officer, or director of a predecessor construction labor provider, or of any person who had a financial interest in the predecessor construction labor provider. Third party client. The term "third party client" means any person who contracts with a construction labor provider to obtain the services of a covered construction worker for construction work or manual labor at a construction site in the city. (L.L. 2021/150, 12/11/2021, eff. 6/9/2022) Editor's note: For related unconsolidated provisions, see Appendix A at L.L. 2021/150.

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