New York State Co-Employment Law: A Primer

New York State co-employment law is a legal doctrine that can arise when two or more employers share control over the work performed by an employee. In these cases, the two employers may be considered jointly or severally liable for the employee's wages, benefits, and other employment-related rights.

The co-employment doctrine is most likely to apply in situations where two or more employers:

• Share control over the employee's work assignments

• Have the right to hire and fire the employee

• Set the employee's wages and benefits

• Provide the employee with supervision or training

• Have the right to control the employee's hours of work

In some cases, even if two employers do not have all of these factors in common, they may still be considered co-employers if they have a "substantially joint employment relationship." This is a more fact-specific determination that will be made on a case-by-case basis.

The co-employment doctrine can have important implications for both employers and employees. For employers, it means that they may be liable for the actions of another employer, even if they did not directly supervise or control the employee. For employees, it means that they may have more than one employer to look to for their wages, benefits, and other employment-related rights.

If you are an employer or employee in New York State and you have questions about the co-employment doctrine, you should consult with an employment lawyer.

Here are some examples of co-employment relationships in New York State:

• A staffing agency and the company that it places employees with

• A franchisor and its franchisees

• A parent company and its subsidiary

• A contractor and its subcontractor

If you are in one of these types of relationships, it is important to understand your rights and responsibilities under the co-employment doctrine. You should also consult with an employment lawyer to discuss your specific situation.

Some history on the New York State co-employment doctrine…

The co-employment doctrine in New York State has its roots in the common law of agency. Under the common law, an employer is generally liable for the torts of its employees that are committed within the scope of their employment. However, there are some exceptions to this rule, such as when the employee is also an employee of another company.

In the early 1900s, the courts began to develop the co-employment doctrine to address these situations. The doctrine holds that two or more employers may be jointly liable for the torts of an employee if they have a "substantially joint employment relationship." This means that the two employers must share a significant degree of control over the employee's work.

The co-employment doctrine has been applied in a variety of cases, including cases involving staffing agencies, franchisors, and parent companies. In each of these cases, the courts have found that the two employers had a sufficient degree of control over the employee's work to be considered co-employers.

The co-employment doctrine can have important implications for both employers and employees. For employers, it means that they may be liable for the torts of employees that they do not directly supervise or control. For employees, it means that they may have more than one employer to look to for compensation if they are injured on the job.

The co-employment doctrine is a complex area of law, and it is important to consult with an employment lawyer if you have questions about your rights or responsibilities under the doctrine.

Here are some landmark cases that have helped to shape the co-employment doctrine in New York State:

• Bonnette v. California Health and Welfare Agency (9th Cir. 1983): This case established the "substantially joint employment relationship" test for co-employment.

• Carter v. Dutchess Community College (2d Cir. 1984): This case held that a parent company and its subsidiary could be considered co-employers if they had a "substantially common nucleus of employees."

• Holzhapfel v. Town of Newburgh, New York (2d Cir. 1998): This case held that a staffing agency and the company that it places employees with could be considered co-employers if the staffing agency had a "significant degree of control" over the employees' work.

These are just a few examples of the many cases that have helped to shape the co-employment doctrine in New York State. The doctrine is still evolving, and it is important to stay up-to-date on the latest developments.

What you need to know about co-employment law in New York State

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