The New York State Assembly and Senate have overwhelmingly passed the Freelance Isn’t Free Act (A.6040). The legislation heads to Governor Kathy Hochul’s office for her to sign or veto.
The State Senate passed S.5026 by a vote of 43 to 15 on June 1, 2023, and the Assembly passed A.6040 by a vote of 144 to 1 on June 8. In June 2022, a nearly identical version of this bill passed both houses of the New York State Legislature, but it was vetoed by Governor Hochul in December 2022. Governor Hochul explained that, although she “support[s] efforts to ensure that New Yorkers are paid for their hard work,” she is worried about the bill’s cost, which would require “at least several million dollars annually and require a significant increase in DOL staff.” A legislative override of governor vetoes is rare in New York. As this bill is widely supported by members of both houses of the legislature, an override is possible if the bill is vetoed.
The state bill builds upon New York City’s 2016 Freelance Isn’t Free Act (Local Law 140), which took effect in May 2017 and mandates contract requirements that protect freelance workers’ pay.
Like the city law, the state bill requires a business to provide any freelance worker with a written contract if the freelance work is worth at least $800, including multiple smaller projects over a 120-day period, and sets a 30-day deadline for payment in full unless another time frame is agreed to. Additionally, the state bill prohibits retaliation...
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