BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1304
                                                                  Page  1

          Date of Hearing:   June 29, 2010

                           ASSEMBLY COMMITTEE ON JUDICIARY
                                  Mike Feuer, Chair
                   SB 1304 (DeSaulnier) - As Amended:  May 18, 2010

           SENATE VOTE  :  22-13
           
          SUBJECT  :  EMPLOYMENT LEAVE:  ORGAN AND BONE MARROW DONATIONS

           KEY ISSUE  :  SHOULD EMPLOYEES BE ENTITLED TO LEAVE TIME FOR THE  
          PURPOSE OF MAKING ORGAN AND BONE MARROW DONATIONS IN ORDER TO  
          REMOVE A SIGNIFICANT OBSTACLE TO THESE DONATIONS, WHICH ARE MUCH  
          NEEDED, PARTICULARLY IN MINORITY COMMUNITIES, AND CAN MEAN THE  
          DIFFERENCE BETWEEN LIFE AND DEATH FOR THOSE WHO ARE SERIOUSLY  
          ILL?
           
          FISCAL EFFECT  :  As currently in print this bill is keyed  
          non-fiscal.

                                      SYNOPSIS

          This bill requires employers to allow employees to take paid  
          leaves of absence, similar to those currently available to state  
          employees, for the purposes of organ and bone marrow donations.   
          Supporters argue that wage loss is a significant barrier to  
          these donations, which are badly needed by patients with cancer  
          and other life-threatening conditions, and frequently depend on  
          close genetic matches correlated with race.  Donations are  
          particularly scarce for non-white demographic groups.   
          Accordingly, this bill seeks to remove barriers for private  
          employees to take paid leaves of absences for these purposes.   
          Opponents argue generally that government should have no role in  
          establishing employment leave rules for this purpose, and  
          specifically that the policy prescribed by this bill is onerous  
          and unreasonable.

           SUMMARY  :  Establishes a medical donation protection act to  
          ensure that large employers provide specified leaves of absence  
          for employees making organ or bone marrow donations.   
          Specifically,  this bill  :  

          1)Requires an employer with 15 or more employees to provide up  
            to 30 days of paid leave for an organ donation and up to 5  
            days of paid leave for a bone marrow donation.








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          2)Provides that, in order to receive a leave of absence, a  
            private employee would be required to provide written  
            verification to his or her employer that he or she is an organ  
            or bone marrow donor, and that there is a medical necessity  
            for the donation of the organ or bone marrow. 

          3)Allows an employer to require as a condition of an employee's  
            initial receipt of bone marrow or organ donation leave that an  
            employee take up to five days of earned but unused sick or  
            vacation leave for bone marrow donation and up to two weeks of  
            earned but unused sick or vacation leave for organ donation,  
            unless doing so would violate the provisions of any applicable  
            collective bargaining agreement. 

          4)Specifies that bone marrow and organ donation leave shall not  
            be taken concurrently with any leave taken pursuant to the  
            federal Family and Medical Leave Act of 1993 or the California  
            Family Rights Act.

          5)Prohibits an employer from interfering with, restraining or  
            denying the exercise of the rights established by the act or  
            from retaliating against an employee for taking an authorized  
            leave or opposing an unlawful employment practice related to  
            organ or bone marrow donation leave.

           EXISTING LAW  : 

          1)Pursuant to the federal Family Medical Leave Act (FMLA) and  
            the California Family Rights Act (CFRA), requires all  
            employers with 50 or more employees within a 75 mile radius to  
            grant 12 weeks of unpaid family leave in a 12-month period to  
            any employee who is eligible.  This leave can be taken by an  
            employee for the purposes of child birth, care of a newly  
            adopted child or newly placed foster child, and serious health  
            conditions for the employee, the employee's spouse or  
            registered domestic partner, or for the employee's parent.   
            With certain exceptions, the employee taking the leave must be  
            reinstated.  (29 U.S.C. Sec. 2601 et seq.; 29 CFR Part 825;  
            Gov. Code Sec. 12945.2.)

          2)Requires that employees of the state who have exhausted all  
            available sick leave be allowed to take a leave of absence  
            with pay, not exceeding 30 days for the purpose of organ  
            donation and not exceeding five days for bone marrow donation.  








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             (Gov. Code Sec. 19991.11.)

           COMMENTS  :  The purpose for this bill is to provide a leave of  
          absence for employees who participate in organ and bone marrow  
          donation.  According to the author, this bill originated from a  
          constituent, Megan Williams (Hoang Thu) of Walnut Creek after  
          her daughter Michelle, passed away from leukemia in 2009.  The  
          author states:

               While cancer impacts all of us, cancers such as leukemia  
               are particularly deadly to diverse, ethnic communities due  
               to the overwhelming small number of individuals registered  
               to donate bone marrow.  When a bone marrow match cannot be  
               found within a family, individuals must reach out to the  
               bone marrow donation registry to find individuals of the  
               same ethnicity.

               Nationally, the donor registry is 74 percent Caucasian and  
               only 7.1 percent Asian Pacific Islander (API).  This  
               overstates the donation and match rate since a Korean  
               cancer patient, for example, would most likely need a bone  
               marrow donation from a Korean donor, rather than another  
               donor of the API community.

          According to the author, SB 1304 would remove a major impediment  
          to organ and bone marrow donation by lowering the cost to  
          individuals associated with taking unpaid leaves of absences  
          from their employment.  Supporters state that at least one study  
          has demonstrated that wage loss is a significant barrier to bone  
          marrow donation.  Accordingly, this bill seeks to remove  
          barriers for private employees to take paid leaves of absences  
          for these purposes.

           This Bill Would Extend To Private Sector Employees A Right To  
          Leave Time Currently Provided To State Employees.   The author  
          notes that current law provides state employees with a leave of  
          absence to donate an organ or bone marrow if the employee has  
          exhausted all available sick leave time.  Currently, private  
          sector employees are not provided the same benefit, which  
          supporters contend does not promote organ and bone marrow  
          donation, contributing to the unnecessary loss of lives.  The  
          author argues that this bill has been crafted to ensure  
          protected leave for a limited period, and only for companies  
          that are large enough to afford providing such leave to their  
          employees.  By authorizing this leave, supporters argue, this  








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          bill will encourage an increase in the size and diversity of the  
          bone marrow donation registry.

           Demographic Data on Medical Registries  .  The National Marrow  
          Donor Program (NMDP) is the national registry providing bone  
          marrow tissue for individuals who require new bone marrow for  
          the treatment of a variety of diseases and cancers, including  
          leukemia, lymphoma, and certain pediatric diseases, such as  
          sickle cell anemia and certain immunodeficiency disorders.  In  
          FY 2009, there were 266 bone marrow donations in California;  
          that number is expected to increase by 12 percent in FY 2010.   
          Generally, a patient is more likely to find a bone marrow match  
          from a relative or a member of the same ethnic group.

          As demonstrated by the statistics below, patients who are white  
          have a higher chance of finding a bone marrow match, and  
          therefore receiving successful treatment.  This is particularly  
          troubling since minorities make up 64 percent of organ  
          transplant candidates and 71 percent of those awaiting kidneys  
          in California.  Nationally, the demographic breakdown of the  
          NMDP bone marrow registry was:


           ----------------------------------------------------------------- 
          |Composition of the Match        |Percentage of Potential         |
          |Registry by Race and Ethnicity  |Adult Donors (Rounded)          |
          |--------------------------------+--------------------------------|
          |African American or Black       |7%                              |
          |--------------------------------+--------------------------------|
          |American Indian/Alaska Native   |1%                              |
          |--------------------------------+--------------------------------|
          |Asian                           |7%                              |
          |--------------------------------+--------------------------------|
          |Hispanic (identified as either  |10%                             |
          |Hispanic                        |                                |
          |or Latino ethnicity)            |                                |
          |--------------------------------+--------------------------------|
          |Multiple Race                   |3%                              |
          |--------------------------------+--------------------------------|
          |Native Hawaiian or              |.1%                             |
          |Other Pacific Islander          |                                |
          |--------------------------------+--------------------------------|
          |White                           |74%                             |
           ----------------------------------------------------------------- 









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           Similar Laws In Other States  .  The author reports that,  
          according to National Conference of State Legislatures, 29  
          states have enacted laws that provide both private and public  
          employees, paid or unpaid leave for bone marrow and/or organ  
          donors.  Of these, 23 states allow paid leave for state  
          employees for bone marrow and/or organ donation.  There are  
          reportedly 8 states (Arkansas, Connecticut, Illinois, Louisiana,  
          Maine, Minnesota, Nebraska and Oregon) that allow a leave of  
          absence for private sector employees.  The period of leave is  
          usually 30 days for organ donors and 7 days for bone marrow  
          donors.  Some state laws have provisions which require  
          authorization for requested leave or prohibit states from  
          penalizing employees from taking such leave.

           ARGUMENTS IN OPPOSITION  :  The Administration and business groups  
          oppose the bill.  The Department of Industrial Relations takes  
          the position that government should let employee leave rules be  
          determined by negotiations between the employer and the  
          employee, not by law.  Business groups make a virtually  
          identical argument.  They state: "We do not believe a new  
          private sector mandate is the appropriate role of government or  
          the correct policy approach for advancing this laudable goal.   
          Creating a new paid leave mandate removes flexibility employers  
          need to balance overlapping leave requests by different  
          employees for a variety of important reasons, and can be  
          especially challenging for small businesses with limited staff."  
           The business advocates further assert that small business  
          bankruptcies are at an all-time high, and that a new paid leave  
          mandate will increase the cost of doing business, "which may  
          unfortunately translate into fewer jobs or other leaves and  
          benefits that employers currently provide."

           Potential Amendments To Address Opposition Concerns  .  To  
          alleviate opposition concerns about employer flexibility, the  
          author may wish to amend the bill to allow the leave to be  
          scheduled in consultation with the employer.  Unlike virtually  
          every other leave of absence, the timing of organ and bone  
          marrow donations should in most cases be amenable to some  
          scheduling flexibility in order to accommodate legitimate  
          business needs.  The author may also wish to respond to the  
          small-business argument by increasing the size of covered  
          employers, perhaps comparably to the existing family and medical  
          leave protections - e.g., 50 or more employees within a 75 mile  
          radius - rather than the 15-employee threshold currently in the  
          bill.  In addition, or alternatively, the author might consider  








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          eliminating the requirement that the leave be paid.

           Prior Related Legislation.   AB 485 (Carter, Chapter 242,  
          Statutes of 2009), required employers to provide unpaid leave  
          for employees who are volunteer members of the California Wing  
          of the Civil Air Patrol when they respond to an authorized  
          emergency operational mission, and prohibits employer  
          discrimination against any employee who is a member of the Civil  
          Air Patrol.

          AB 392 (Lieu, Chapter 361, Statutes of 2007) allowed the spouses  
          of service members of the armed forces to take up to 10 days of  
          unpaid leave when their spouse is on qualified leave from  
          military deployment.

          AB 1825 (Nakano, Chapter 869, Statutes of 2002) required that  
          leaves of absence with pay be granted to state employees and  
          employees of the California State University who are organ or  
          bone marrow donors and allowed the Regents of the University of  
          California to adopt the same leave of absence provisions.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 

           Project Michelle (sponsor) 
          American Cancer Society
          AFSCME
          Asian American Donor Program 
          Asians for Miracle Marrow Matches
          Asian & Pacific Islander American Health Forum
          Association of California State Supervisors
          Boat People SOS
          California Employment Lawyers Association
          California Nurses Association/National Nurses Organizing  
          Committee
          California Pan-Ethnic Health Network
          California State Employees Association 
          California State Employees Association Retirees, Inc.
          California State University Employees Union
          California Transplant Donor Network
          Consumer Attorneys of California 
          Dave Cortese, County of Santa Clara Supervisor, District Three
          Donate Life California 
          Leukemia and Lymphoma Society








                                                                  SB 1304
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          Madison P. Nguyen, Councilmember, Dist.7- City of San Jose 
          National Kidney Foundation of Northern California
          National Marrow Donor Program 
          Santa Clara County Board of Supervisors
          SEIU Local 1000
          numerous individuals
           
            Opposition 
           
          Associated General Contractors
          California Chamber of Commerce
          California Construction & Industrial Materials Association
          California Employment Law Council
          California Independent Grocers Association
          National Federation of Independent Business
          Western Electrical Contractors Association


           Analysis Prepared by  :    Kevin G. Baker / JUD. / (916) 319-2334