BILL ANALYSIS                                                                                                                                                                                                    






                           SENATE JUDICIARY COMMITTEE
                        Senator Ellen M. Corbett, Chair
                           2007-2008 Regular Session


          AB 863                                                 A
          Assemblymember Davis                                   B
          As Introduced
          Hearing Date: June 19, 2007                            8
          ADM:rm                                                 6
                                                                 3

                                     SUBJECT
                                         
                  Los Angeles County Superior Court Employees

                                   DESCRIPTION  

          This bill would require the Los Angeles County Superior  
          Court (LACSC) to pay each employee in certain, specified  
          bargaining units represented by the American Federation of  
          State, County and Municipal Employees (AFSCME) an amount  
          equivalent to the additional amount the employee would have  
          received if the reclassification raise the employee  
          received on October 1, 2005, were retroactive to August 1,  
          2005.

                                    BACKGROUND  

          In 2000, SB 2140 (Burton, Chapter 1010) established the  
          Trial Court Employment Protection and Governance Act (Act),  
          which, among other things, created a civil-service like  
          employment system for many trial court employees, including  
          a mutual obligation for the trial courts and recognized  
          employee organizations to meet and confer in good faith.   
          The legislation also established a trial court's authority  
          to establish job classifications and salary ranges as it  
          deems necessary.

          The 2005-06 state budget included augmentations to the  
          Trial Court Trust Fund of $3.5 million for pay parity in  
          the LACSC.  The majority of the collective bargaining units  
          reached agreement on job classifications and pay effective  
          August 1, 2005.  Negotiations between the LACSC and certain  
          employee groups represented by AFSCME were not completed  
                                                                 
          (more)



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          until October 1, 2005, and those employees' pay adjustments  
          did not begin until that time.  AFSCME seeks in this bill  
          to make those October 1, 2005 pay adjustments retroactive  
          to August 1, 2005.  

                             CHANGES TO EXISTING LAW
           
           Existing law  defines the phrase "trial court employee," for  
          purposes of the Act, to mean a person paid from the trial  
          court's budget and subject to the trial court's right to  
          control the manner and means of his or her work because of  
          the trial court's authority to hire, supervise, discipline,  
          and terminate employment.  (Government Code (GC) Section  
          71601.)

           Existing law  requires, among other things, that trial  
          courts and recognized employee organizations have a mutual  
          obligation to meet and confer in good faith, as specified,  
          in order to, among other things, endeavor to reach  
          agreement on matters within the scope of representation.   
          (GC Section 17601.)

           Existing law  provides that each trial court may establish  
          such job classifications and may appoint such trial court  
          officers, deputies, assistants, and employees as are deemed  
          necessary for the performance of the duties and the  
          exercise of the powers conferred by law upon the trial  
          courts.  (GC Section 71620.)

           Existing law  provides that each trial court may establish a  
          salary range for each of its employee classifications, and  
          considerations shall include, but are not limited to, local  
          market conditions and other local compensation-related  
          issues such as difficulty of recruitment or retention.  (GC  
          Section 71623.)

           This bill  would require the LACSC to pay each employee in a  
          bargaining unit represented by any of the following  
          employee organizations an amount equivalent to the  
          additional amount the employee would have received if the  
          reclassification raise the employee received on October 1,  
          2005, were retroactive to August 1, 2005:

           (a)AFSCME Local 276, Mediators and Evaluators.
           (b)AFSCME Local 575, the Los Angeles County Superior Court  
                                                                       




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             (LACSC) Clerks Association.
           (c)AFSCME Local 910, the LACSC Legal Professional Unit.
           (d)AFSCME Local 3271, the LACSC Professional Employees.
           (e)AFSCME Local 3302, the LACSC Clerical.

                                     COMMENT
           
          1.    Stated need for the bill  

            The sponsor, AFSCME, writes:

               Existing law provides that each trial court may  
               establish a salary range for each of its employee  
               classifications, and considerations shall include, but  
               are not limited to, local market conditions and other  
               local compensation-related issues such as difficulty  
               of recruitment or retention.

               The Legislature authorized a Classification and  
               Compensation study, whereby the results were  
               implemented in 2005.  Additionally, funds were  
               authorized by the Legislature for implementation  
               August 1, 2005.

               These funds have been appropriated by the Legislature  
               to the Trial Court [Trust] Fund for the purpose of  
               reclassification of AFSCME Local 276, Local 575, Local  
               910, Local 3271, and Local 3302.  

               However, the [LACSC] implemented the new  
               classification and compensation levels on October 1,  
               2005, thereby denying the affected workers two months  
               of pay at the appropriate rate.

            AFSCME also writes that the impetus for the  
            Classification and Compensation study was court  
            unification [superior and municipal courts unification,  
            Proposition 220, 1998], which resulted in workers  
            throughout the court system performing the same jobs in  
            different classifications with different pay rates.  As  
            part of the unification process, AFSCME asserts that the  
            Legislature intended that pay parity be achieved between  
            superior and municipal court employees doing the same  
            job.  

                                                                       




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          2.    Related budget bill language  

            In both the 2005-06 and current budget bills, this issue  
            has been addressed.  The current budget conference  
            committee has approved the following bill language:

               0250-101-0932
               Provision XX.
               From funds previously provided by the Legislature in  
               the 2004-05 budget to address court employee pay  
               parity due to unification of the municipal and  
               superior courts, the Judicial Council shall allocate  
               funds to the Los Angeles Superior Court and the court  
               shall pay to each employee the amount the employee  
               would have received if the reclassification raise the  
               employee received on October 1, 2005, had been  
               retroactive to August 1, 2005.  The Administrative  
               Office of the Courts [AOC] shall confirm with the Los  
               Angeles Superior Court the names of the affected  
               employees and the amount of funding necessary to  
               implement this provision.

            Very similar language was contained in the 2005-06 Budget  
            bill.  The AOC reports that it is holding the funds  
            (approximately $230,000) appropriated in the 2005 budget  
            and will continue to do so until LACSC indicates that it  
            will disburse the funds according to the budget bill  
            language and/or AB 863.  


            BECAUSE THIS RETROACTIVE PAY ISSUE HAS BEEN OUTSTANDING  
            FOR TWO YEARS AND INVOLVES A MINIMAL AMOUNT OF MONIES,  
            SHOULD NOT THE LACSC COMMIT TO DISBURSING THE FUNDS AS IT  
            HAS ALREADY BEEN DIRECTED TO DO?

            SHOULD THE BILL BE AMENDED TO PROVIDE A LEGISLATIVE  
            DECLARATION URGING THE LACSC TO ACT IN A RESPONSIBLE  
            MANNER AND DISBURSE THE FUNDS THE JC IS HOLDING AS  
            DIRECTED?

          3.    Prior virtually identical legislation  

            Senate Bill 1696 (Dunn of 2006), which was identical to  
            AB 863, was vetoed.  The governor's veto message reads:

                                                                       




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               This bill would circumvent the collective bargaining  
               process by requiring retroactive pay increases for  
               employees of the Los Angeles County Superior Court,  
               which were not agreed to during negotiations.

               Furthermore, signing this bill would undermine the  
               collective bargaining process by encouraging  
               bargaining units to come to the Legislature to  
               determine the outcome rather than follow the process  
               set forth in law requiring negotiation between the  
               parties locally.  

          4.    Opponents' arguments  

            Opponent California Judges Association (CJA) writes that  
            "CJA expresses no opinion on the merits of retroactive  
            pay for individuals affected by the bill, nor on whether  
            sufficient funds have been set aside in the past to make  
            retroactive payments.  Rather, [CJA has] a long-standing  
            policy against resolving collective bargaining disputes  
            by statute.  CJA generally opposes interference with  
            local labor negotiations."

            Opponent LACSC also writes that AB 863 would undermine  
            the collective bargaining process "because it represents  
            an effort to obtain through legislation that which AFSCME  
            was unable to obtain through good faith negotiations."

            Additionally, opponent LACSC writes:

               Prior to implementing the Study recommendations, the  
               [LACSC] engaged in good faith labor negations with  
               both AFSCME and SEIU (Service Employees International  
               Union) about the effect of the Study.  The court and  
               SEIU reached agreement after four bargaining sessions.  
                After reaching agreement with SEIU, the court  
               implemented salary increases for SEIU bargaining unit  
               members on August 1, 2005.

               The court and AFSCME held 34 bargaining sessions but  
               were unable to reach agreement on the issues.   
               Consequently, the court implemented its last, best and  
               final offer effective October 1, 2005.  AFSCME sought  
               to have the court implement the offer retroactively to  
               August 1, 2005, but, consistent with long established  
                                                                       




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               practice, the court declined to grant retroactive pay  
               increases.  By sponsoring AB 863, AFSCME seeks to  
               change the outcome of the parties' good faith  
               negotiations and have the Legislature provide AFSCME  
               bargaining unit members something AFSCME was unable to  
               obtain through collective bargaining.  

            AFSCME responds that, because it represents many more  
            bargaining units than SEIU, it was unable to complete  
            contract negotiations in the timeframe that SEIU was.   
            And, in any event, the LACSC implemented its final offer  
            of its own volition and chose not to make it retroactive  
            to August 1, 2005.  


          Support:   Orange County Employees Assoc.

          Opposition:   CA Judges Assoc.; Los Angeles County Superior  
          Court

                                     HISTORY
           
          Source:   American Federation of State, County and  
          Municipal Employees

          Related Pending Legislation:   None Known

          Prior Legislation:   SB 1696 (Dunn of 2006), which was  
                        virtually identical to this bill, was vetoed.  
                         (See Comment 2 for details.)

          Prior Vote:   Assembly Public Employees, Retirement &  
          Social Security
                   Committee (Ayes 4, Noes 1)
                   Assembly Appropriations Committee (Ayes 12, Noes  
                   5)
                   Assembly Floor (Ayes 42, Noes 31)

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