Model Alliance Urges Lawmakers to Pass Fashion Workers Act to Regulate $2.5T Industry

ALBANY, NY (05/23/2023) (readMedia)-- On Tuesday, the Model Alliance urged lawmakers to pass the Fashion Workers Act – a piece of pro-labor legislation that would regulate predatory management agencies in New York that currently operate without oversight in the $2.5 trillion fashion industry. Last week, the Senate Labor Committee passed the bill for the second year in a row. The group were joined by bill sponsors Senator Brad Hoylman-Sigal and Assembly Member Karines Reyes, models Mari Malek who has appeared in Kenneth Cole and Lanvin campaigns, Robyn Lawley who's graced the cover of Sports Illustrated and Vogue Italia, L'Oréal Global ambassador Nidhi Sunil, Freelancers Union President Rafael Espinal, along with dozens other models, content creators.

WATCH the announcement on the Model Alliance Instagram.

Fashion is big business in New York – Fashion Week alone generates close to $600 million in income each year for the State. And yet, fashion workers – in particular, the models who are literally the faces of the industry – are not afforded basic labor protections in New York. The Fashion Workers Act – which last year passed the Senate Labor Committee – would close this loophole and create basic protections for fashion's creative workforce.

Support for the bill includes supermodels Beverly Johnson and Karen Elson, makeup artist Daniel Martin, anonymous Instagram account Shit Model Management, supermodel and photographer Helena Christensen and many others.

"Fashion is work – plain and simple. It's unacceptable that the creative workforce behind the $2.5 trillion global fashion industry still lack basic protections – including the models who are the literal faces of this industry. The lack of financial transparency that models experience creates an environment rife with sexual abuse, and the threat of retaliation and losing work prevents victims from speaking out. Thank you to our bill sponsor Senator Hoylman-Sigal for being our champion and getting this bill through the Senate Labor Committee again. Now, lawmakers must pass the Fashion Workers Act through both houses this session," said Sara Ziff, founder and executive director of the Model Alliance.

State Senator Brad Hoylman-Sigal said, "New York City's fashion sector employs 180,000 people, accounting for 6% of the city's workforce and generating $10.9 billion in total wages. New York must ensure that creative workers in this important industry aren't exploited. Our Fashion Workers Act (S2477) creates workplace protections for models and creators that will help ensure they are treated - and compensated - fairly. I'm thankful for the incredible advocacy efforts of Sara Ziff and the Model Alliance and look forward to passing our bill with Assembly Member Reyes this session."

Assembly Member Karines Reyes said, "For too long Model Management companies have benefited from loopholes in New York State's labor and business laws that leave fashion's predominantly young, female and immigrant workforce vulnerable to abuse. These workers are often unprotected outside the terms of their individual contracts with agencies, which tend to be highly exploitative and one-sided in favor of the management company, and often leads to payment issues, exploitation, and even trafficking. My bill will bring management companies into regulation for the first time and establish basic labor protections for models and content creators working in New York's fashion industry. The fashion industry often promises to do better, but real change has been too slow and it is time New York protects these young workers from further exploitation."

Unlike talent agencies, modeling and creative agencies are considered to be management companies under New York State General Business Law §171(8), known as the "incidental booking exception," allowing them to escape licensing and regulation. In almost every case, agencies are granted blanket "power of attorney" as part of their agreement to represent talent, giving agencies power to accept payments on behalf of the model, deposit checks and deduct expenses, as well as book jobs, negotiate the model's rate of pay, and give third parties permission to use the model's image, while having no obligation to act in their talents' best interests.

This leaves models unprotected outside the terms of their individual contracts – which tend to be exploitative and one-sided in favor of the management company – and creates a lack of transparency and accountability when it comes to basic issues like health and safety and having insight into one's own finances. For example, models often don't know whether and how much they'll be paid for jobs booked through management companies, which deduct various unexplained fees from their earnings, in addition to a 20 percent commission both on the model's fee and the client's payment. Model management companies crowd young models in model apartments, where they warehouse anywhere from six to 10 young women in one apartment and charge them each upwards of $2,000 a month for an apartment worth far less. Models are held to multi-year, auto-renewing contracts without any guarantee of actually being booked paid work, which ensnares them in cycles of debt and makes models highly vulnerable to other forms of abuse, including human trafficking. When models experience abuse, they do not have a safe channel to file work-related grievances without a risk of retaliation.

The Fashion Workers Act would address these issues by closing the legal loophole by which management companies escape accountability and create basic protections for the models and content creators who are the faces of New York's fashion industry.

The Fashion Workers Act would require management agencies to:

• Establish a fiduciary duty to act in the best interests of their talent
• Provide models with copies of contracts and agreements
• Notify formerly represented models if they collect royalties on their behalf
• Register and deposit a surety bond of $50,000 with the NYS Department of State
• Protect the health and safety of models, including by establishing a zero-tolerance policy for abuse

And discontinue bad practices such as:

• Presenting power of attorney as a necessary condition for entering into a contract with the management company
• Collecting signing fees or deposits from models
• Charging models interest on payment of their earnings
• Charging more than the daily fair market rate for accommodation
• Deducting any other fee or expense than the agreed upon commission
• Renewing the contract without the model's affirmative consent
• Imposing a commission fee greater than twenty percent of the model's compensation
• Taking retaliatory action against a model for filing a complaint
• Engaging in discrimination or harassment of any kind against a model on the basis of race, ethnicity, and other legally permissible categories under Section 296(a) of the Executive Law.

"As a designer and founder, it is really important to me to build an environment for everyone I work with that feels safe and welcoming, which every worker deserves, and of course this extends to the models I work with. The Fashion Workers Act would set a basic industry standard of safety and fairness, rather than leaving it to individual designers and brands to do the work of trying to change an industry that feels confusing and stuck in the past. Albany lawmakers must pass the Fashion Workers Act, and move our industry one step closer to fairness and equity for all," said Emma Gage, Melke designer & founder.

"As a company that has been in the apparel industry for over two decades, our dedication to social justice continues to grow. One of the main pillars of our sustainability framework is women's economic empowerment and independence, including all femme-identifying and non-binary folks. Focusing on pay equity and labor rights is therefore crucial and must be implemented across fashion's entire supply chain. We're grateful for the Model Alliance's leadership in this work and we urge New York lawmakers to pass the Fashion Workers Act bill to protect the creative workforce that keeps this industry running," said Mara Hoffman, President & Founder of Mara Hoffman.

"Every worker deserves a safe, respectful working environment free from harassment and abuse. It's heartbreaking that so many models and creatives who keep this industry running have had experiences of sexual violence, wage theft or other gross abuses of power. We need lawmakers to pass the Fashion Workers Act now and deliver basic rights to the workers of our industry once and for all," said Helena Christensen, supermodel and photographer.

"I've been modeling for two years, yet in that short time, I have fallen victim to numerous counts of abuse -- both financial and sexual. Abuse is so normalized in this largely unregulated industry. The Fashion Workers Act would finally close the legal loophole that allows these management companies to avoid regulation and responsibility. This bill would recognize us as human beings, deserving of basic protections," said model Rozi Levine.

"As a content creator, my work involves the entire creation process, from writing the script, to filming, props, editing the content, and much more. The agency I signed with agreed they'd take a staggering 25 percent commission of every deal, and instead, they took up to 82 percent. To this day, I haven't been paid or seen a dollar for half the campaigns I did, which is simply theft. We need the Fashion Workers Act to protect workers from experiencing the type of exploitation I have in the future," said content creator Riri Bichri.

"In my near-decade working in the fashion industry, I have gone absolutely dead broke multiple times, while thousands of dollars sit in my account at my agencies. I've been forced to pick between food or transportation or sell my clothes when my agency has my earnings. I've had to harass my accountants at the management company, with many ignored phone calls and emails or finger pointing at best. It's a horrible and helpless feeling, and that's why we need the Fashion Workers Act to make the industry equitable for everyone – we all deserve basic decency and labor protections from our places of work," said Camryn Herold, model.

"Creating equity and fairness for all creatives and contractors is a long journey; but this bill is the first step to close an immeasurable amount of loopholes designed to take advantage of the people who are the foundation of this industry. An industry that generates 2.5 trillion dollars a year can afford to restore or enact basic human rights and, ideally, a semblance of equally proportioned decency for the people and groups that have been and are impacted," said model Kenny Sale.

"I've been a model for 25 years and while I love all the creative elements of being a model, the most challenging aspect of my job has been navigating the business. The way business is done has been the same for eons and it's time for a much needed overhaul and this legislation intends to do that - to give creative workers more transparency and rights which in turn would make the industry a much fairer and safer industry for everyone. Over the years I've heard far too many stories of models waiting years to get paid then only receiving a fraction of what they were told they were getting; or models coerced into signing contracts without any legal counsel. My hope is that those who oppose this legislation will understand that this isn't an attack on them, but an attempt to modernize the industry and put much needed checks and balances in place for the benefit and protection of a wide variety of talent who have little if not any legal protections in the workplace. Change is important and needed in the fashion industry. That's why we need the Fashion Workers Act to help to make the industry equitable for everyone – we all deserve basic decency and labor protections from our places of work," said model, singer-songwriter, author and advocate Karen Elson.

"I'm tired of the loopholes in the fashion industry that leave models in cycles of debt and enrich everyone else. We must be treated equally and hold everyone accountable to the same standards of any other workplace," said model Ambra Battilana Gutierrez.

"I'm standing in solidarity with the Model Alliance for the Fashion Workers Act, because it's important that these management companies in the multi-trillion dollar fashion industry are held accountable for exploiting models and creatives for years. We have to stand together because at the end of the day, we're all workers – no matter what industry you're in, whether it's Amazon or the runway, we all deserve our fair share. We're not going to allow this system to keep exploiting us until we get what we deserve – especially for the Black and brown individuals in fashion who experience even more abuse. Let's all stand as one and say we're going to shut it down until these management companies do right by workers: They owe us money, they owe us respect, they owe us dignity, and they damn sure owe us our fair share - it's time to pass the Fashion Workers Act and make that a reality," said Chris Smalls, Amazon Labor Union President, activist and former Amazon employee.

"For too long, the modeling and advertising industries have taken advantage of loopholes to deny models and style creatives basic labor protections and the respect to be paid on time. The Fashion Workers Act takes critical steps to address this regulatory gap that is ripe for exploitation. Models as well as hair and makeup stylists -- many who are predominantly young women, LGBTQ people, and of color -- are stepping up to advocate for their rights, and I am grateful to them, the Model Alliance, Freelancers Union, and Senator Brad Hoylman-Sigal for advancing this important legislation to protect workers in a key NYC sector: the fashion industry," said Comptroller Brad Lander.

"New York cannot allow another New York Fashion Week to go by without recognizing what's happening behind the scenes with its workers. Our city is the fashion capital of the world because of the people working to ensure the industry's success. Yet, too many of those workers are being exploited of their wages, while billions of dollars flow through the industry and our city's and state's economy. The Fashion Workers Act will finally give models, photographers, makeup artists and others the wage protections they desperately need and deserve. Freelancers Union is proud to support the Model Alliance and Senator Hoylman in their efforts," said Rafael Espinal, President of the Freelancers Union.

"I felt miserable being held on a short leash by my management agency, who I was financially dependent on, and yet who didn't give me a proper explanation about how much I was earning or the deductions from my account. The industry is mostly unregulated and we need the Fashion Workers Act to create basic protections. We're not asking for much, just basic respect," said Kaja Sokola.

"My experiences in the fashion industry, which include getting injured on the job, abused and deported, are commonplace to many other fashion workers, and that's because this is a totally unprotected workforce - makeup artists, hair stylists, models and beyond. We all deserve respect, empathy and dignity from our place of work. This industry - which is made up of so many amazing, hardworking people - can change for the better. I sincerely believe the Fashion Workers Act will make the industry much more equitable for everyone," said actress, artist and former model Ingrid Sophie Schram.

"In my career, I've seen how the fashion industry can mistreat the creative workforce that powers it. As an established creative and women's rights advocate I support the Fashion Workers Act. Thanks to the hard work of the Model Alliance, this bill will deliver overdue protections and make the industry safer and more transparent for all workers," said Amanda de Cadenet, media personality, photographer, and founder of Girlgaze.

"Since I appeared as the first Black woman on the cover of Vogue early in my career, I've witnessed the fashion industry change immensely. While more diversity is a big step forward, there are major structural changes that need to happen to give the modeling and creative workforce in fashion the basic rights they deserve. I'm urging Albany lawmakers to pass the Fashion Workers Act to close the loopholes that allow agencies to exploit their talent and circumvent responsibility," said supermodel Beverly Johnson.

"Recently, I left an agency to join another. My previous agency is retaining all my past due earnings and refusing to pay me when clients have already paid. This is way too common in this industry and it needs to stop. Models are left with no remedies against agencies that are running their career and their money as they wish. The Fashion worker act will change that," said model Clementine Dessaux.

"At the start of my career, I made a substantial amount of money, but I saw only $1,000 due to my 'debt' with the agency. I was 18-years-old and thought they must be right - they were adults who were supposed to be representing my interests and I was only just starting out in this industry. Lack of financial transparency and timely payment is a major issue in the modeling industry. That's why I support the Fashion Workers Act, which will provide long overdue protections for our workforce," said model Alexina Graham.

"Modeling agencies have not been transparent or accountable to the people they represent for decades. While there are individual agents in our business who are lovely and well-meaning, we need industry standards when it comes to financial transparency and fair and timely payment. The Fashion Workers Act is sorely needed and long overdue. Kudos to the Model Alliance for advancing basic rights and protections for our workforce," said model Erin O'Connor.

"Everyone deserves to be paid on time and in full, with complete transparency into their finances and scope of work. That's why I support the Fashion Workers Act, to create basic rights and protections for the modeling and creative workforce in the fashion industry," said David Cruz, hair stylist.

"Creatives working in the fashion industry deserve to have transparency into their finances and be paid in a timely manner. The Fashion Workers Act will lead to a better work environment for all. I'm proud to stand with the Model Alliance to create a safer, more respectful fashion industry," said Alexi Lubomirski.

"In the twenty years as a makeup artist in this industry, I've witnessed countless discrepancies from all sides of this business. I support the Model Alliance and the Fashion Workers Act to change, protect and support all creatives and talent from systemic abuse in this environment," said makeup artist Daniel Martin.

"It is truly astonishing that creatives in the fashion industry lack the same statutory recognition and protections afforded to our peers in other industries. The Fashion Workers Act holds special significance for me as PoC with an Indian passport, who doesn't just rely on the sympathy of her management team for her finances, but also for her immigration status across New York, the UK and Europe in order to pursue a career as an International model. It's absolutely imperative for lawmakers to pass this legislation and make a clear statement that one of the biggest and most profitable industries in the world has an obligation to its workers like any other - massive appreciation to the team at Model Alliance for their ongoing leadership," said model and L'Oreal Global Ambassador Nidhi Sunil.

"As a former model and current class action plaintiff against several modeling agencies in New York City, it's evident now more than ever, models and creative workers in the fashion industry are long overdue basic labor protections that every worker deserves," said former model Alex Shanklin, a named plaintiff in a class action lawsuit against Wilhelmina.

"Having worked for the most prestigious modeling agencies in New York City for over twenty five years, I have experienced firsthand how insidious and corrupt the fashion business – specifically the modeling industry is. Abusive practices, from rampant wage theft, sexual abuse and exploitation, enabling drug addictions and sex trafficking are only a few of the nightmares that models of all ages have to endure if they are represented by a corrupt agency. Most models are manipulated by agencies to sign contracts while being told that they will become 'stars' when in reality statistics show that models are thrown into exorbitant debt because there are no legal safety nets or protection in the modeling industry. Change is long overdue, and I'm proud to stand with the Model Alliance in support of the Fashion Workers Act," said former top modeling agent Carolyn Kramer.

"It's unfathomable that the faces of the fashion industry and the creative minds behind it are in fact afforded so few protections. The Fashion Workers Act will help put those essential rights in place, which will be a crucial step forward for the fashion world and set a new bar for the creative industry at large," said model Nova Hagel.

"In my more than decade-long career as a fashion model, I never once received a receipt for any of the thousands of dollars in random deductions I found on statements from my agencies. I quickly learned not to expect financial transparency and that there were no checks and balances. I learned that $1200 a month would be deducted from my account to pay for the bunk bed I slept in, in a bedroom I shared with four other models. I learned not to expect payment for jobs I had already done; and I learned not to ask questions for fear of retaliation. This bill is long overdue and I am proud to stand with Model Alliance and Senator Hoylman in supporting it," said model-turned-director Shaina Danziger.

"I believe in this bill because as a 'veteran' of this industry, I have watched agents turn from people who managed and planned career strategies, who were concerned about our well-being as artists and our ability to have good long careers. To mass marketing 'bookers' who take massive fees for just responding to an email, to having to beg for your money, on invoices outstanding for as long as 6 months, I know artists who have waited up to a year, and still do not receive their money on work they have done. I have often worked overtime without compensation, or been told by my representative to 'leave it alone' without proper negotiation and standards our livelihoods are compromised. Our health is compromised, safety and injuries are overlooked because we are 'freelance' this cannot continue," said Dawn Jacobson, hair & makeup artist.

"Creating equity and fairness for the models, influencers, make-up artists and other contractors is a long journey; but this bill is the first step in the right direction to close a vast amount of loopholes designed to take advantage of those upon whose back the industry is built. A $2.5 Trillion a year industry can afford to restore the basic rights and sense of human decency for these impacted groups," said model Kenny Sale.

"As a stylist who has worked in NYC for over twenty years, I have seen first hand how so many modeling agencies and creative artist agencies have taken advantage of their talent with their lack of financial transparency and shady business practices. It's been the Wild West for far too long. The Fashion Workers Act would work to end the exploitation of models and creative artists alike in ways our industry so desperately needs," said stylist Rachel Gilman.

"This bill is so important because it will completely change the way models and creatives are able to manage their careers. As a creative who doesn't work with a management company, but was a former model, the night-and-day difference in terms of being able to get full transparency of my finances and have full ownership of my career is life changing. All workers deserve these basic protections to ensure they're making the best choices for themselves," said model Meredith Hattam.

About the Model Alliance

Founded in 2012, the Model Alliance has been at the forefront of advancing labor rights in the fashion industry for the last decade. Through strategic research, policy initiatives, and campaigns, the Model Alliance aims to promote fair treatment, equal opportunity, and more sustainable practices in the fashion industry, from the runway to the factory floor. The Model Alliance has championed multiple pieces of legislation, including the Child Model Act in New York and the Talent Protections Act in California. The organization also runs the world's only industry-specific support line, MA Support. In 2021, the organization received the first Positive Social Influence Award from the Council of Fashion Designers of America at the CFDA Awards.