Contractors' mass march on state Capitol Labor Law lobby attracts hundreds to Albany.

Hundreds of contractors from eight construction associations gathered in the state Capitol last week to ask legislators to support Labor Law 240 reform.

"Four hundred and fifty people gave up their day to be here for this issue, from Buffalo to New York and from all over the state," said Arthur Rubinstein, president of the Empire State Subcontractors Association.

"It's a demonstration that there is a real crisis. For some of them, it's a survival issue."

The contractors asked more than 150 legislators to support a bill that has been introduced in both the Senate and Assembly that would amend the civil practice law to allow construction contractors to present a defense in workers' injury cases. New York State is the only state that has the "absolute liability" clause in its labor law.

David Knauss, president of the General Builders Contractors, relayed a story he heard from a financial planner that summed up what most contractors were thinking.

"He said, 'There isn't a lot of concern from workers about financial planning in New York State, because they either go out and buy a lottery ticket or they hope to get hurt at work.'" Knauss said. "I think that's a strange, strange testimony to what's going on in this state right now."

To make matters worse, in 1996, a bill was passed that shifted some of the costs from workmens' compensation insurance to contractors' general liability insurance.

The construction industry is asking Gov. George Pataki to rectify that problem by combining 240 reform bill with current workmen's compensation legislation that would increase workmens' compensation benefits.

"The cost shifting involving Labor Law 240 must be addressed in the 2004 negotiations on workers' compensation," said Philip LaRocque, executive vice president of New York State Builders Association. "Without reform of section 240, construction employers will have to continue to pay skyrocketing liability insurance premiums, which have seen 300-5005 increases in the past two years."

Although, hopeful their pleas were heard, the construction industry has many hurdles to jump before the bill becomes law. They face tough opposition from trade unions and trial lawyers associations, who benefit from the "absolute liability" clause.

"There are very significant power groups that continue to oppose 240-241 reform and that will continue to carry the day," said Rubenstein. "But we have enough people here that legislators have to be attentive to the concerns. We will continue our lobbying efforts."

Meanwhile, the 240 Labor Law reform bill sits in committees of both houses and has to be introduced on the floor.

"We probably won't know anything until June 22, the last day of session, but I think we had a tremendous impact here today," said LaRocque. "We hope the bill gets packaged with the workmens' compensation bill, because it really is workmen's compensation reform."

Associations that attended the lobby day were Empire State Chapter of the Associated Building Contractors, Building Industry Employers of New York State, Empire State Subcontractors Association, General Building Contractors of New York State, New York State Construction Industry Council, New York State Minority Contractors Association, New York State Roofing Contractors Association and the Subcontractors Trade Association.