BILL ANALYSIS Ó AB 1398 Page 1 Date of Hearing: May 18, 2011 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 1398 (Chesbro) - As Amended: March 31, 2011 Policy Committee: Labor Vote:6-0 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill extends, from January 1, 2012 to January 2017, the authority of the Labor Commissioner (LC) to allow minors 16 or 17 years of age who reside in Lake County to work in agricultural packing plants up to 60 hours per week during peak harvest season. FISCAL EFFECT Minor cost to the LC to continue producing an annual report on working conditions in the Lake County agricultural packing industry. COMMENTS 1)Background . Existing law limits 16 and 17-year old minors to no more than an eight-hour work day and a 48-hour work week when school is not in session (lower limits apply during the school year). However, the LC is permitted to issue exemptions allowing 16 and 17-year-olds to work in packing plants for up to 10 hours per day and 48 hours per week during peak harvest season when school is not in session. In the case of Lake County, legislation passed in 1996 allows the LC to authorize packing plants to employ 16 and 17 year-olds for up to 10 hours per day and 60 hours per week, if (a) the minors reside in Lake County, and (b) the LC has obtained written approval of the Lake County Office of Education. Authority for this enhanced exemption expires on January 1, 2012. The exemption has been extended three times, in 2001, 2004, and 2007. AB 1398 Page 2 2)Rationale . Lake County has experienced significant labor shortages during the peak harvest season, partly because the harvest season coincides with the peak tourist season in the county. According to the Scully Packing Company located in Lake County, "Last year 29 students worked in our county pear sheds. Many of them earn enough that they do not need to work during the school year. They use their earnings toward college, school clothes, senior year expenses, car insurance, and other items which their family budgets might not ordinarily support." This bill extends, from January 1, 2012 to January 2017, the authority of the LC to allow minors 16 or 17 years of age who reside in Lake County to work in agricultural packing plants up to 60 hours per week during peak harvest season. 3)Existing law requires an employer who employs minors under this statute, on or before March 1 of each year, to file a written report to the LC that contains specified information, including the number of minors employed, the general working conditions of the minors, number of workplace injuries that occurred to minors, and a summary of inspections. According to the 2010 Report on Employment of Minors in Agricultural Packing Plants, one employer in Lake County submitted exemption requests to employ minors at two locations. The LC granted the exemption for both locations. This same employer received an exemption in 2009. According to the report, "At the conclusion of the 2009 season, one employer who historically held an approved exemption was found, upon inspection, to be in violation of multiple wage and hour laws, and was cited. This employer was told at the end of the 2009 season that it would not be eligible for an exemption for the 2010 season and did not apply." The report revealed the employer who received the exemption in employed a total of 24 minors aged 16 and 17 years old during the 2010 peak packing season. Of those 24, one individual turned 18 early in the season. Two 15-year-olds were employed AB 1398 Page 3 on a schedule of no more than eight hours per day and/or 40 hours a week. Analysis Prepared by : Kimberly Rodriguez / APPR. / (916) 319-2081