BILL ANALYSIS                                                                                                                                                                                                    Ó






                 Senate Committee on Labor and Industrial Relations
                                 Ted W. Lieu, Chair

          Date of Hearing: April 25, 2012              20011-2012 Regular 
          Session                              
          Consultant: Alma Perez                       Fiscal:Yes
                                                       Urgency: No
          
                                  Bill No: SB 1349
                                     Author: Yee
                        As Introduced/Amended: March 27, 2012
          

                                       SUBJECT
          
              The Social Media Privacy Act: postsecondary education and 
                                     employment 


                                     KEY ISSUES

          Should the Legislature prohibit a public or private 
          postsecondary educational institution from requiring a student 
          or prospective student from disclosing personal social media 
          information? 

          Should the Legislature prohibit a public or private employer 
          from requiring an employee or prospective employee from 
          disclosing personal social media information? 
          

                                       PURPOSE
          
          To establish prohibitions on requirements to disclose 
          information on an individual's personal social media accounts.


                                      ANALYSIS
          
           Existing federal and state law  protects employees, both 
          prospective and current, against employment discrimination when 
          it involves unfair treatment because of a person's race, color, 
          religion, sex (including pregnancy), national origin, age, 
          disability or genetic information.  Existing law also protects 
          employees against harassment by managers, co-workers, or others 
          in the workplace and against retaliation for complaining about 









          discrimination, filing a charge of discrimination, or 
          participating in an employment discrimination investigation or 
          lawsuit.  

           Existing law  prohibits employers from discriminating, 
          discharging or refusing to hire an employee based on an 
          employee's lawful conduct during nonworking hours away from the 
          employer's premises. (Labor Code §96 & 98.6) 

           Both federal and state law  , through the federal Fair Credit 
          Reporting Act (FCRA) and the California Consumer Credit 
          Reporting Agencies Act (CCRAA), regulates the collection, 
          dissemination and use of personal and credit information 
          gathered by consumer credit reporting agencies. Existing law 
          restricts the use, with some exceptions, of credit information 
          for employment purposes. (Labor Code §1024.5)  

           Existing law  further regulates anyone who collects, assembles, 
          evaluates, compiles, reports, transmits, transfers, communicates 
          information on a consumer's character, general reputation, 
          personnel characteristics, or mode of living, for employment 
          purposes, which are matters of public record. (Civic Code 
          §1786.53) 
           

          This Bill  would create the Social Media Privacy Act to establish 
          prohibitions on the ability to require the disclosure of 
          information on personal social media accounts.

          Specifically, this bill would:

             1.   Prohibit a public or private postsecondary educational 
               institution or a public or private employer from requiring, 
               or from formally requesting in writing, a student or 
               employee (or prospective student or employee) to:

                       Disclose the user name or account password for a 
                  personal social media account; or

                       Provide the institution or employer with access to 
                  any content of that account. 

          Hearing Date:  April 25, 2012                            SB 1349  
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             1.   Define "social media" as an electronic medium where 
               users may create, share, and view
               user-generated content including videos, photographs, 
               blogs, video blogs, podcasts, instant messages, or web site 
               profiles or locations. 



                                      COMMENTS

          
          1.  Background on Social Media in the Workplace: 

            The use of technology for personal and business purposes has 
            exploded in recent years, and with that explosion comes 
            challenges. The use of social media for communication through 
            programs such as Facebook, Twitter, LinkedIn and MySpace, has 
            become a phenomenon for people of all ages. Information that 
            was once broadcast by word or written media is now instantly 
            broadcast around the world, unfortunately, to the detriment of 
            some employers and employees.   

            The use of social media in the workplace can present several 
            problematic situations around issues of free speech, 
            discrimination of current and potential employees, harassment, 
            and even termination.  Although existing law protects current 
            and potential employees against discrimination and/or 
            retaliation in the workplace, nothing specifically addresses 
            the issues that arise with the use of information obtained 
            through social media sites.  

            For pre-employment purposes, an employer must make hiring 
            decisions without regard to race, age, gender or familial 
            status, however, a quick search on Facebook could give the 
            employer this information making the employer liable for 
            potential hiring discrimination.  For an individual that is 
            already employed, the National Labor Relations Act (NLRA) 
            prohibits employers from restricting the rights of employees 
            to engage in concerted activities, such as discussions about 
            wages, work conditions or terms of employment.  Employers may 
            create and adopt a policy regarding the use of social media as 
            it relates to their employment site(s); however, existing law 
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            prevents employers from intruding into an employee's legal off 
            duty conduct. Such policies can restrict the use of social 
            media at work with company equipment but cannot prevent 
            employees from discussing the terms and conditions of their 
            employment with other employees using their own personal 
            devices on non-working time. 

          2.  Social Media in the News:  
           
            Recent articles have reported on cases at the national level 
            showing a trend of educational institutions and employers that 
            require current and potential students and employees to 
            divulge their social media user names and passwords.  
            According to an msnbc article, "In Maryland, job seekers 
            applying to the state's Department of Corrections have been 
            asked during interviews to log into their accounts and let an 
            interviewer watch while the potential employee clicks through 
            wall posts, friends, photos and anything else that might be 
            found behind the privacy wall." (Govt. agencies, colleges 
            demand applicants' Facebook passwords, April 20, 2012) 

            According to the same article, "Student athletes in colleges 
            around the country also are finding out they can no longer 
            maintain privacy in Facebook communications because schools 
            are requiring them to "friend" a coach or compliance officer, 
            giving that person access to their "friends-only" posts."  
            Reports have also found that some schools are turning to 
            social media monitoring companies for software packages that 
            automate the task. 

            In the 2010 incident discussed in the article, the Maryland 
            Department of Public Safety and Correctional Services 
            requested that Robert Collins disclose his Facebook username 
            and password during a reinstatement interview following his 
            leave of absence for a death in the family. A complaint was 
            filed by the American Civil Liberties Union which stopped the 
            practice and instead made it voluntary.  Lawmakers in Maryland 
            have recently passed (pending Governor's signature) a bill 
            that would prohibit employers from requiring that applicants 
            or employees disclose personal user names or passwords for any 
            personal account or service.  While the Maryland legislation 
            is the first of its kind, lawmakers in several other states 
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            have introduced legislation to limit employer access to social 
            media user names and passwords.

          3.  Need for this bill?

            It is illegal for an employer to discriminate against an 
            employee or applicant on the basis of lawful conduct they 
            engage in during nonworking hours away from the employment 
            site.  Examples of protected lawful conduct include exercising 
            free speech rights or engaging in political activities while 
            off-duty. Although existing law affords current and potential 
            employees with various protections against discrimination 
            and/or retaliation in the workplace, nothing specifically 
            prohibits the use of information obtained through social media 
            sites.  This bill would prohibit a public or private employer 
            as well as a public or private postsecondary educational 
            institution from requiring, or formally requesting in writing, 
            the disclosure of user name or account passwords for a 
            personal social media account or to otherwise provide access 
            to any content of that account. 

          4.  Staff Comment  :
            
            The use of social media has also created another avenue for an 
            employee to be potentially harassed by a co-worker.  Not only 
            can an employee harass a co-worker in person at the work site, 
            the employee is now able to post harassing messages to a 
            co-worker's social media page during off-work hours.  Current 
            law authorizes both employers and educational institutions to 
            investigate cases of misconduct or allegations of harassment.  
            As currently written, this bill could prohibit an employer 
            from accessing information that can aide in the investigation 
            of alleged incidents. Staff recommends that the author amend 
            the bill to address these circumstances. 

          5.  Double Referral  :
            
            This bill prohibits actions by public and private 
            postsecondary educational institutions as well as public and 
            private employers.  The education specific provisions of this 
            bill were previously discussed by the Senate Education 
            Committee before passing and referring the bill to this 
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            Committee for discussion of the employment related provisions. 


          6.  Proponent Arguments  :

            According to the author, social media and other user based 
            online accounts have become a part of the social norm for 
            communication and while this has provided a useful avenue for 
            socialization and expression, it has also put employees, job 
            applicants and students at risk of having their privacy 
            violated by employers and schools.  Unfortunately, the author 
            argues, there is a growing nationwide trend of employers who 
            are requiring user names and passwords to the social media 
            accounts of employees and job applicants as well as requiring 
            access to the social media content of the employer/applicants 
            personal account.

            The author argues that while current law protects employees 
            from having to release information that could expose them to 
            discrimination, the law does not protect employees from 
            employers requiring them to turn over social media 
            information. Further, the author argues that often times the 
            content found within ones social media account contains 
            information that an employer would normally be prohibited from 
            obtaining such an applicant's religion, age, or sexual 
            preference. Yet, requesting a social media user name and 
            password is another creative attempt to bypass this law by 
            allowing a prospective employer to readily access this type of 
            information in violation of the law.  They argue that gaining 
            this access is no different than reading a personal diary or 
            emails, or viewing personal home videos.  

            Proponents argue that an employer has no right to have access 
            to a prospective employee's private account information, but 
            yet, employers are attempting to circumvent this rule by using 
            coercive means, such as a job offer, to gain consent to search 
            through a prospective employee's private accounts.  According 
            to proponents, in an economy in which jobs are difficult to 
            come by, employers hold the upper hand and California should 
            not allow employers to use intimidation to gain access to 
            information that they otherwise would not be legally entitled 
            to request. This bill would prohibit employers from requiring 
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            social media user name and passwords, or access to content on 
            an account, from employees and job applicants. 

          7.  Opponent Arguments  :

            None received. 

          8.  Prior and Related Legislation  :

            AB 1844 (Campos) of 2012: Awaiting Hearing in Assembly 
            Judiciary Committee 
            AB 1844 is similar to this bill in that it prohibits an 
            employer from requiring an employee or prospective employee to 
            disclose a user name or account password to access a personal 
            social media account. AB 1844 has been referred to the 
            Assembly Committees on Judiciary and Labor and Employment and 
            is currently awaiting hearing in the Assembly Judiciary 
            Committee.

            AB 22 (Mendoza) of 2011: Chaptered 
            AB 22 established prohibitions, with some exceptions, on an 
            employer's ability to utilize consumer credit reports for 
            employment purposes.    


                                       SUPPORT
          
          American Federation of State, County and Municipal Employees 
          California Employment Lawyers Association 
          California Faculty Association 
          California Public Interest Research Group 
          CalSmallBiz
          Community United Against Violence 
          Consumer Action 
          Jewish Vocational Service - Los Angeles 
          National Center for Lesbian Rights 
          Privacy Rights Clearinghouse 
          

                                     OPPOSITION
          
          None received 
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          Hearing Date:  April 25, 2012                            SB 1349  
          Consultant: Alma Perez                                   Page 8

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