ASSEMBLY, No. 2459
STATE OF NEW JERSEY
INTRODUCED NOVEMBER 7, 1996
By Assemblymen GEIST and O'TOOLE
An Act concerning public employee labor organizations and supplementing P.L.1941, c.100 (C.34:13A-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. No individual who has been convicted of a crime indicated in subsection b. of this section shall serve or be permitted to serve:
(1) As a consultant or adviser to any labor organization representing public employees;
(2) As an officer, director, trustee, member of any governing body, business agent, manager, organizer, employee, or representative in any capacity of any labor organization representing public employees;
(3) As a labor relations consultant or adviser to any public employer, or as an officer, director, agent or employee of any group or association of public employers, or in a position in which the individual has collective bargaining authority or responsibility in the area of labor-management relations for a public employer;
(4) In a position which permits the individual to a share of the proceeds of providing goods or services to any labor organization representing public employees; or as an officer, executive or administrative employee of any entity the activities of which are in whole or substantial part devoted to providing the goods or services to any labor organization representing public employees; or
(5) In any capacity involving decision-making authority over, or custody or control of the moneys, funds, assets, or property of a labor organization representing public employees,
during the period of 13 years following the conviction or the end of imprisonment resulting from the conviction, whichever is later, unless the sentencing court, upon the motion of the convicted individual, sets a shorter period of time, but not less than three years, following the conviction or end of imprisonment, or unless the commission determines that individual's service in any of the capacities referred to in paragraphs (1) through (5) of this subsection is not contrary to the purposes of this act. Prior to making the determination, the commission shall hold a hearing and shall notify the State, county and Federal prosecuting officials in the jurisdiction or jurisdictions in which the individual was convicted. A period of parole shall not be considered as part of a period of imprisonment. No person shall knowingly hire, retain, employ, place or permit the individual to serve in any capacity referred to in paragraphs (1) through (5) of this subsection during the period of time provided by this section, but no provision of this act shall be construed as preventing an individual who is a public employee from being a member of a labor organization representing public employees, provided that the individual shall comply with the requirements of this section to refrain from serving in any capacity which the individual is prohibited from serving pursuant to paragraphs (1) through (5) of this subsection.
For the purposes of this section the individual shall be deemed to have been convicted and under the disability of conviction from the date of judgment of the trial court regardless of whether that judgment remains under appeal. If the individual is barred from office or other position with a labor organization representing public employees pursuant to the provisions of this section as the result of a conviction and has filed an appeal of the conviction, any salary which would otherwise be due to the individual because of the office or position shall be placed in escrow by the employer or organization responsible for the payment of the salary. Payment of the salary into the escrow account shall continue for the duration of the appeal or for the period of time during which the salary would be otherwise due, whichever period is shorter. Upon the final reversal of the individual's conviction, the amounts in escrow shall be paid to the individual, and the individual shall no longer be barred from any office or position under the provisions of this section. Upon the final sustaining of the conviction on appeal, the amount in escrow shall be returned to the employer or organization responsible for the payment of the salary.
b. The crimes for which an individual may be prohibited from serving in the capacities indicated in paragraphs (1) through (5) of subsection a. of this section are:
(1) Any violation of the provisions of N.J.S.2C:5-1, 2C:11-3, 2C:12-1b, 2C:14-2, 2C:15-1, 2C:17-1, 2C:18-2, 2C:20-3 through 2C:20-5 or chapters 35 or 36 of Title 2C of the New Jersey Statutes or any violation of the equivalent provisions of the laws of any other jurisdiction;
(2) Any violation of subchapter III or IV of the "Labor-Management Reporting and Disclosure Act of 1959," Pub.L. 86-257 (29 U.S.C. §431 et seq.);
(3) Any violation of the provisions of chapters 21 and 27 though 30 of the New Jersey Statutes or violation of the equivalent provisions of the laws of any other jurisdiction that constitutes a felony and involves the abuse or misuse of the individual's position or employment with a labor organization, including a labor organization representing public employees, or with an employee benefit plan, including a plan for the benefit of public employees, to seek or obtain an illegal gain at the expense of the members of the organization, or the beneficiaries of the plan;
(4) Conspiracy to commit any of the crimes enumerated in subparagraphs (1) through (3) of this subparagraph; or
(5) A crime in which any of the crimes enumerated in subparagraphs (1) through (3) of this subparagraph is an element.
c. Any individual who willfully violates this section shall be fined not more than $10,000 or imprisoned for not more than five years, or both.
2. This act shall take effect immediately.
STATEMENT
This bill restricts individuals convicted of certain crimes from holding office or serving in other positions of influence in public employee labor organizations. It is designed to mirror the federal law governing private-sector labor organization, section 504 of the "Labor-Management Reporting and Disclosure Act of 1959" (29 U.S.C. §504.
Specifically, the bill prohibits any individual who has been convicted of robbery, theft, extortion, embezzlement, burglary, arson, violation of narcotics laws, murder, sexual assault, aggravated and simple assault, certain violations of the federal "Labor-Management Reporting and Disclosure Act of 1959," any felony involving abuse or misuse of the individual's position or employment with a public or private sector labor organization or employee benefit plan to seek or obtain an illegal gain at the expense of the members of an organization or the beneficiaries of the plan, conspiracy to commit any of these crimes, or a crime in which any of the foregoing crimes is an element, from serving:
1. As a consultant or adviser to any public employee labor organization;
2. As an officer, director, trustee, member of any governing body, business agent, manager, organizer, employee, or representative of a public employee labor organization;
3. As a labor relations consultant or adviser to any public employer, or as an officer, director, agent or employee of any public employer organization, or in a position with collective bargaining authority or responsibility in the area of labor-management relations for a public employer;
4. In a position which permits the individual to share in the proceeds of providing goods or services to any public employee labor organization, or as an officer, executive or administrative employee of any entity with a significant involvement in providing the goods or services to a public employee labor organization; or
5. In any capacity involving decision making authority over, or custody or control of the moneys, funds, assets, or property of a public employee labor organization.
The bill requires that the prohibition stay in effect for 13 years following the individual's conviction or imprisonment, whichever is later, unless the sentencing court sets a shorter period of time, following the conviction or imprisonment, or unless the Public Employment Relation Commission determines that the prohibition is unnecessary. The bill provides that the prohibition applies from the time of conviction even if an appeal is filed, but that any salary to which the individual is entitled during the appeal period will be held in escrow until the appeal is resolved.
Bars certain persons from positions of influence in public employee labor organizations.