BILL ANALYSIS AB 569 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 569 (Emmerson) As Amended August 20, 2010 Majority vote ----------------------------------------------------------------- |ASSEMBLY: |72-2 |(May 21, 2009) |SENATE: |27-1 |(August 25, | | | | | | |2010) | ----------------------------------------------------------------- Original Committee Reference: L. & E. SUMMARY : Establishes specified collective bargaining agreement exemptions related to requirements of existing law concerning meal periods. The Senate amendments : 1 Add collective bargaining exemptions for security officers employed by private patrol operators, and employees employed by gas companies, electric companies, and publicly owned utilities. 2)Specify that the collective bargaining exemption applies to employees employed in a "construction occupation" rather than the "construction industry." 3)Define "construction occupation" to mean all job classifications associated with construction (as specified), including work involving alteration, demolition, building, excavation, renovation, remodeling, maintenance, improvement and repair, and any other similar or related occupation or trade. 4)Define "commercial driver" to mean an employee who operates a vehicle as specified in certain provisions of the Vehicle Code. 5)Add uncodified language to specify that these provisions of the bill do not affect the nature or scope of the law relating to meal periods for security officers who are not covered by a valid collective bargaining agreement. AS PASSED BY THE ASSEMBLY , this bill: AB 569 Page 2 1)Provided that specified provisions of current law related to meal periods do not apply to an employee employed in the construction industry who is covered by a valid collective bargaining agreement that meets certain conditions. 2)Provided that specified provisions of current law related to meal periods do not apply to an employee employed as a commercial driver in the transportation industry who is covered by a valid collective bargaining agreement that meets certain conditions. 3)Added uncodified language to specify that these provisions of the bill shall not be construed to affect the interpretation of the nature or scope of the law related to meal periods other than for employees or employers specifically covered by these provisions. FISCAL EFFECT : According to the Senate Appropriations Committee, pursuant to Senate Rule 28.8, negligible state costs. COMMENTS : The supporters of this bill, which includes United Parcel Service (UPS) and Associated General Contractors (AGC), argue that it will provide an immediate necessary flexibility for collectively bargained commercial drivers and employees of the construction industry. UPS notes that, while they continue to support broader approaches to meal period flexibility, UPS argues that it cannot continue to discipline their collectively bargained drivers when flexible solution agreed to by management and employees is available. Associated General Contractors (AGC) argues that the various interpretations of meal period law by enforcement officials have led to significant confusion and litigation. AGC reports that in order to avoid liability, contractors are forced to police their workforce to their meal periods without interruption. Although many construction companies operate under collective bargaining agreements, they have lost their ability to bargain on the meal period issue due to recent case law. Finally, AGC notes that, in this economic climate, providing flexibility for collectively bargained contractors will supply key relief from litigation. The California Nurses Association (CNA), writing in opposition to this measure, argues that by carving out groups of workers under collective bargaining agreements will compromise basic AB 569 Page 3 labor law that protects the ability of all workers to have a lunch break. CNA believes that carving out specific industries will encourage other employers to push for similar exemptions, which employers will use as a take-away during negotiation. CNA notes that it is difficult for registered nurses (RNs) to receive meal breaks due to staffing issues and nurse to patient ratio laws. CNA believes that the best way for RNs to take their meal breaks is to be backed-up by existing law, and therefore opposes any collective bargaining carve out that could create a precedent for the healthcare industry. Other opponents, such as the California Manufacturing and Technology Association, the California Hospital Association, the Associated Builders and Contractors of California, and other employer organizations, have taken an 'oppose unless amended' position, arguing that this bill should be amended to provide meal period flexibility to all employers. These opponents feel that current meal period law is too rigid and inflexible, and this bill should follow the example of other meal period legislation that applied to all employers. Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091 FN: 0006606