Press Releases

March

2017

1

NY Groups Decry Decision to Block Pro-Worker Payroll Debit Card Rules

For Immediate Release: March 1, 2017
Contact:
Andy Morrison, New Economy Project, 212-680-5100 x210
Chelsea Connor, RWDSU, 347-866-6259

STATEMENT OF LABOR & COMMUNITY GROUPS ON THE NEW YORK STATE INDUSTRIAL BOARD OF APPEALS DECISION REVOKING THE DEPARTMENT OF LABOR’S PAYROLL DEBIT CARD RULES

“The decision by the Industrial Board of Appeals to revoke the New York State Department of Labor’s groundbreaking rule on payroll debit cards is a clear overreach by the IBA and a major setback for New York’s workers. DoL’s common sense rule – which went through three public comment periods – seeks to end widespread and well-documented exploitation, including coercion to accept wages on payroll cards and the charging of unfair fees that deplete workers’ pay – sometimes below the minimum wage. It is unfortunate that the IBA bowed to pressure from the payroll card industry, which has repeatedly described DoL’s rule as a threat to its profitability. We trust that Governor Andrew M. Cuomo and DoL will appeal this decision. As the President and members of Congress seek to gut consumer and worker protections – including the Consumer Financial Protection Bureau’s own rule on prepaid and payroll debit cards – New York State must stand up to industry pressure and hold the line on these critical protections.”

The following groups endorse this statement:

1199 SEIU
American Postal Workers Union, AFL-CIO, NY Area Local 215
Association for Neighborhood and Housing Development (ANHD)
Central New York Citizens in Action
Consumers Union
Dēmos
JASA/Legal Services for the Elderly in Queens
Lower East Side People’s Federal Credit Union
National Consumer Law Center (on behalf of its low income clients)
New Economy Project
New York Communities for Change
New York Public Interest Research group (NYPIRG)
NYC Employment & Training Coalition
NYC Labor Council for Latin American Advancement
Restaurant Opportunities Center of New York (ROC-NY)
Retail Action Project (RAP)
Retail, Wholesale and Department Store Union (RWDSU)
Teamsters Local 237
Western New York Law Center
WYNCOSH & WYNCOSH Worker Center