Directs the department of financial services to conduct a comprehensive study on how the department of financial services may create a compensation system commensurate with the compensation systems of similar federal financial regulators and to issue a report of its findings.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A8987
SPONSOR: Bronson TITLE OF BILL:
An act directing the department of financial services, in consultation
with the office of employee relations and the department of civil
service, to conduct a comprehensive study on how the department of
financial services may create a compensation system commensurate with
the compensation system of similar federal financial regulators
PURPOSE OR GENERAL IDEA OF BILL:
To direct the Department of Financial Services to conduct a study on
creating a compensation system by the Department of Financial Services
that would be similar to federal financial regulators.
SUMMARY OF PROVISIONS:
Section one would authorize the Department of Financial Services to
conduct a study on creating a compensation system commensurate with the
systems of similar federal financial regulators.
Section two of the bill would direct the Superintendent of Financial
Services to within one year of the effective date of the act issue a
report to the governor and legislature the results of the study.
Section three would establish the effective date.
JUSTIFICATION:
It is important that the state of New York continue to employ and main-
tain employment of skilled workers. If workers are not paid a fair sala-
ry, they may choose to leave state service entirely. The General Sched-
ule pay scale currently utilized by the federal government to determine
the salaries of federal employees could be used to increase recruitment
and retention of state employees.
Directing the Department of Financial Services to conduct a study about
compensation systems would give New York state the opportunity to learn
more about possible reforms that will empower workers and improve the
state workforce. Ensuring that they get paid a fair wage should be a
priority.
PRIOR LEGISLATIVE HISTORY:
2023-2024: A7576 - Referred to Labor; enacting clause stricken
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
EFFECTIVE DATE:
This act would take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
8987
IN ASSEMBLY
January 31, 2024
___________
Introduced by M. of A. BRONSON -- read once and referred to the Commit-
tee on Governmental Employees
AN ACT directing the department of financial services, in consultation
with the office of employee relations and the department of civil
service, to conduct a comprehensive study on how the department of
financial services may create a compensation system commensurate with
the compensation system of similar federal financial regulators
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The department of financial services, in consultation with
2 the office of employee relations and the department of civil service, is
3 hereby authorized and directed to conduct a comprehensive study on how
4 the department of financial services may create a compensation system
5 commensurate with the systems of similar federal financial regulators,
6 taking into consideration the General Schedule (GS) payscale utilized by
7 the federal government to determine the salaries of federal civilian
8 employees. The purpose of this compensation system shall be to ensure
9 pay parity between state and federal financial regulators within similar
10 roles in order to increase recruitment and retention of said state
11 employees.
12 § 2. Within one year of the effective date of this act, the super-
13 intendent of financial services, the office of employee relations and
14 the department of civil service shall issue a report to the governor;
15 the temporary president of the senate; the speaker of the assembly; the
16 minority leader of the senate; and the minority leader of the assembly.
17 Such study and report shall, at a minimum:
18 (a) identify positions within federal financial regulators including,
19 but not limited to, the Securities and Exchange Commission (SEC), the
20 federal deposit insurance corporation, the federal reserve bank of New
21 York, the consumer financial protection bureau and the Department of
22 Treasury, that have similar roles or functions as positions within the
23 New York state department of financial services;
24 (b) formulate a proposed compensation system, or pay scale, that would
25 foster pay parity between positions within the department of financial
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11493-02-4
A. 8987 2
1 services and those positions within federal financial regulators that
2 have been identified as similar;
3 (c) identify possible alternatives to achieve pay parity between state
4 and federal financial regulators in similar roles;
5 (d) list possible alternatives to promote retention of individuals
6 employed by the department of financial services; and
7 (e) consider potential impact of increased retention and training
8 savings associated with increased retention.
9 § 3. This act shall take effect immediately.
