Freelance Isn’t Free goes into effect in New York State on August 28th

by Freelancers Union

The independent workforce makes up over a third of the country, with New York being home to the largest population of independent contractors. We continue to see the real-world consequences of NYC’s groundbreaking Freelance Isn’t Free Law that has protected over 2,500 freelancers and recovered over $3 million in owed compensation for their work in New York City - Now, freelancers across New York State will have similar safe-guards to receive timely payment and be free from exploitation until this is passed statewide.

The Freelance Isn’t Free Act was signed into law in November 2023 and went into effect on August 28, 2024. This legislation serves as a beacon of rights and protections for freelancers and clarity for companies around engaging with freelance talent in a way that is equally beneficial to both parties.For example, if you’re a freelancer who lives and works in Long Island and contracts with a client outside of the 5 NYC boroughs, you are now protected under Freelance Isn’t Free, just as an NYC freelancer would be.

Here’s what you need to know about the law: 

  • Who’s a “freelance worker”? A freelance worker is defined as any person or any organization composed of no more than one person hired as an independent contractor to provide services valued at least $800. Whether the person hired performs the services in question under a corporate name or their own legal name is irrelevant. 
  • Written Contract Mandate: The Act requires anyone that engages a freelance worker to perform services for them to reduce the agreement to writing. This contract must outline the scope of work, the rate of pay and the payment deadline, which brings clarity and transparency to freelance engagements.
  • Timely Payment: Under this legislation, freelancers must receive payment within 30 days of completing their work, unless otherwise specified in the contract. This provision ensures freelancers can manage their finances without undue delays.
  • Protection Against Retaliation: The Act permits freelancers to enforce their rights without fear of retaliation from the hiring party. This protection is crucial for maintaining a fair and respectful working environment.
  • The law covers all freelancers located in New York State, regardless of whether their client is located in NY. 
  • How do I file a complaint? Visit the Attorney General’s site at https://formsnym.ag.ny.gov/OAGOnlineSubmissionForm/faces/OAGLBHome and file a complaint under “Unpaid wages or other labor-related issue”

By setting these standards, the Freelance Isn’t Free Act supports freelancers while also guiding companies in establishing fair practices for hiring and collaborating with freelance talent.

To celebrate the enactment of these protections, join us with State Senator Andrew Gounardes, DCWP Commissioner Vilda Vera Mayuga, Comptroller Brad Lander, and all of our allies to help spread the word so freelancers across the state know that they are now protected! RSVP to meet with us at the Freelancers Hub in Industry City: https://forms.gle/WgSpPsm5ctRTmRqZA

And come co-work for free at the Freelancers Hub after: https://freelancershub.simplybook.me/v2/

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