Small Businesses Workers’ Comp Extension (S.8373)

May 20th, 2020

May 20 , 2020

RE: An act to provide small businesses affected by COVID-19 an additional 90 days to pay certain premiums for workers’ compensation insurance

S.8373 (Jordan)

MEMORANDUM IN SUPPORT

Unshackle Upstate, a non-partisan, pro-taxpayer, pro-economic growth, education and advocacy coalition made up of business and trade organizations from all parts of Upstate New York supports the enactment of this legislation.

This proposal would provide that small businesses with an additional 90 days to pay any workers’ compensation insurance premiums which become due during such time and further

provides that nonpayment during such time shall not be grounds for cancellation of the workers’ compensation insurance policy.

Due to the COVID-19 outbreak many small businesses face an existential crisis. A recent study from the US Chamber of Commerce 43% of businesses believe they have less than six months until a permanent closure is unavoidable. It is critical that the state take available steps to protect small businesses that are struggling during this time.

This legislation would help ease some of the burden on New York’s small businesses, by providing them with additional time to pay their workers’ compensation premiums and prevent them from having their plans cancelled for late payment. Providing businesses with this type of short-term relief may but enough to help get them through this crisis.

As we begin a long economic recovery process, leaders in Albany should be focused on ways to support businesses. This legislation is a common-sense way to provide businesses with immediate relief at no cost to the state.  For these reasons Unshackle Upstate strongly supports the enactment of this legislation.

Contact:

Michael Kracker, Executive Director

716.541.1755

Michael.Kracker@unshackleupstate.com