BILL ANALYSIS �
Senate Committee on Labor and Industrial Relations
William W. Monning, Chair
Date of Hearing: June 12, 2013 2013-2014 Regular
Session
Consultant: Deanna D. Ping Fiscal:Yes
Urgency: No
Bill No: AB 1384
Author: Committee on Labor and Employment
As Introduced: March 4, 2013
SUBJECT
Garment manufacturing: civil penalties
KEY ISSUE
Should the legislature establish penalties for a garment
manufacturer who fails to display specified information at the
front entrance of the business, as required by existing law?
ANALYSIS
Existing law requires every person engaged in the business of
garment manufacturing to register with the Labor Commissioner
and meet other specified requirements. (Labor Code �2675)
Existing law requires every person registered as a garment
manufacturer to display his or her name, address, and garment
manufacturing number on the front of his or her business, as
specified. (Labor Code �2676.5)
Existing law authorizes the Labor Commissioner to waive this
requirement if he or she finds compliance to be infeasible due
to the design or layout of the business premises.
(Labor Code �2676.5)
This bill establishes civil penalties for a garment manufacturer
who fails to display specified information at the front entrance
of the business, as required by existing law.
Specifically, this bill :
1)Provides that any person who fails to comply with the
requirement will be subject to a civil penalty of $100 per
calendar day that the person engages or has engaged in garment
manufacturing.
2)Provides for a penalty of $200 per day for any subsequent
citation.
3)Provides that the procedures for issuing, contesting and
enforcing citations and judgments for the civil penalties will
be the same as under those available for labor law violations.
COMMENTS
1. Need for this bill?
In 1980 the California Legislature passed the Garment
Manufacturing Act - which enacted various provisions to
protect the wages and the health and safety standards in the
garment industry. The Act included such provisions as a
requirement for industry employers to register with the Labor
Commissioner, demonstrate adequate character, competency, and
responsibility. Almost ten years later a new section of Labor
Code was added requiring registered garment manufacturers to
display his or her name, address, and registration number on
the front entrance of the business.
According to the author's office, the posted information is
intended to help both garment workers and the Labor
Commissioner identify the name and address of garment
companies that violate labor laws, however there is no civil
penalty specified for violations of this requirement. This
bill would establish civil penalties for a garment
manufacturer who fails to display the information required by
existing law.
2. Proponent Arguments :
Proponents argue that compliance with the posting requirements
is an important mechanism to achieve transparency in the
Hearing Date: June 12, 2013 AB 1384
Consultant: Deanna D. Ping Page 2
Senate Committee on Labor and Industrial Relations
apparel industry, as it serves to provide basic information to
garment workers about the companies for whom they perform
labor. They contend that in an industry dominated by labor
contractors who often try to conceal their true business
identity, it is appropriate that there be significant
sanctions against those who engage in these practices,
especially since the obscured information prevents workers
from seeking redress for labor law violations. Lastly,
proponents argue that the bill is necessary to ensure that
garment companies no longer take advantage of the lack for
civil penalties for non-compliance with the posting
requirements.
3. Opponent Arguments :
None on file.
SUPPORT
California Rural Legal Assistance Foundation
OPPOSITION
None on file.
Hearing Date: June 12, 2013 AB 1384
Consultant: Deanna D. Ping Page 3
Senate Committee on Labor and Industrial Relations