BILL ANALYSIS �
AB 1336
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CONCURRENCE IN SENATE AMENDMENTS
AB 1336 (Frazier)
As Amended June 24, 2013
Majority vote
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|ASSEMBLY: |49-21|(May 24, 2013) |SENATE: |25-11|(September 3, |
| | | | | |2013) |
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Original Committee Reference: L. & E.
SUMMARY : Enacts various provisions of law related to
enforcement of prevailing wage law by specified joint-labor
management committees.
The Senate amendments :
1)Reduce the proposed increase to the statute of limitations for
specified enforcement actions from 24 months to 18 months
after the filing of a valid notice of completion of acceptance
of the public work.
2)Increase the deadline for service by the Labor Commissioner of
specified assessments from 180 days to 18 months after the
filing of a valid notice of completion of acceptance of the
public work.
3)Specify that the civil penalties established under this bill
may only be imposed against an employer that failed to pay the
prevailing wage to its employees.
4)Specify that, in imposing civil penalties established under
this bill, a court shall follow the same standards and have
the same discretion in setting the amount of penalties as are
provided in a specified provision of existing law.
5)Provide that liquidated damages shall only be awarded if the
complaint alleges with specificity the wages due and unpaid,
and the defendant fails to pay the wages, deposit that amount
with the court to be held in escrow, or provide proof to the
court of an adequate surety bond.
6)Provide that liquidated damages shall be awarded only on the
wages found to be due and unpaid.
AB 1336
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7)Authorize a court to exercise discretion to waive the payment
of liquidated damages, as specified.
8)Make other related technical and conforming changes.
FISCAL EFFECT : According to the Senate Appropriations Committee
pursuant to Senate Rule 28.8, negligible state costs.
COMMENTS : This bill is sponsored by the State Building and
Construction Trades Council of California, who argues that it
will enhance the state's enforcement efforts to combat the
underground economy, protect the public's investment in
infrastructure and protect workers from wage theft.
The sponsor states that the change in the statute of limitations
for claims will allow for adequate time for a legal remedy for
workers cheated out of wages they are owed since victims of wage
theft are underpaid for years on multiple projects and only come
forward when their employment with the contractor ends.
In addition, the sponsor states that under current law, a joint
labor-management committee that requests certified payroll
records receives them only with the workers' addresses and not
the workers' names. However, many instances of wage theft
involve payroll records that do not report all the hours an
employee is actually working. Providing the names of the
employees will allow the committee to properly follow-up and
determine if the payroll records are fraudulent.
Finally, the sponsor states that this bill will provide
Taft-Hartley trust funds with the last four digits of social
security numbers, enabling the correct allocation of health
benefits and pension contributions to workers for which the
contributions were made. The sponsor states that the redaction
of this information severely hinders this process and often
lawsuits are required to obtain this information. Many
instances of wage theft involve payroll records that do not
report all the hours the employee is actually working and there
are occasions when the employer has gone out of business or
refuses to cooperate in an audit, so the certified payroll
records are the only practicable means for allocating benefit
contributions.
AB 1336
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Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091
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