Update on the New York Fashion Worker’s Act
To our community,
We hope everyone is continuing to stay safe and in good health.
Recently, a bill has been proposed in the New York State Senate which will affect our membership because it provides new rules and regulations for model and creative management companies.
This Act, if passed in its current text, will establish new requirements for all creative management companies doing business in New York and may create financial implications for companies with 5 or more employees.
Potential implications
Annual registration requirement in the state of New York within one year of the Act passing
All companies with 5+ employees to pay a surety bond of $50,000
Requirement to pay all artists within 45 days of the last shoot date
Commission will be capped at 20% (including photographers)
Additional provisions will cap certain expenses charged to Artists
Restriction on the right to have automatic renewals on all Artist Agreements
Failure to comply will trigger civil penalties up to $3,000 for the first violation and up to $5,000 for each additional violation
Intentional failure to comply with registration constitutes a class B misdemeanor
This act has passed the NY State Senate Labor Committee and is now headed to the Senate Finance Committee for a vote. If it passes the Senate, it will proceed to the Governor, who will either sign it into law or veto it. Supporters of the bill are hoping that this could happen as early as June.
The AMA is investigating how this act will affect its member agencies. To support the work that we are doing, join a committee or become a member today.
REFERENCES
https://www.nysenate.gov/legislation/bills/2021/s8638
This information is designed as a service to the AMA community intended only to provide general information.
