BILL ANALYSIS Ó AB 2271 Page 1 Date of Hearing: May 7, 2014 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 2271 (Ian Calderon) - As Amended: March 28, 2014 Policy Committee: LaborVote:5-2 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill prohibits an employer, employment agency or person operating a job posting website from stating or indicating that an individual's current employment is a requirement for a job, unless based on a bona fide occupational qualification. Further prohibits the employer from affirmatively asking an applicant for employment to disclose information concerning the applicant's current employment status until the employer has determined that the applicant meets the minimum employment qualifications for the position. Specifically, this bill: 1)Provides that this bill does not prohibit an employer, employment agency, or person operating a job posting website from doing the following: a) Publishing an advertisement or announcement for any job that contains any provision setting forth qualifications for a job, as specified, including that only individuals who are current employees of the employer will be considered for the job. b) Setting forth qualifications for any job, as specified. c) Obtaining information regarding an individual's employment, including recent relevant experience. d) Having knowledge of a person's employment status. e) Inquiring as to the reasons for an individual's employment status. f) Refusing to offer employment to a person because of the reasons underlying an individual's employment status. g) Otherwise making employment decisions pertaining to that individual. 1)Prohibits an employer, employment agency, or person operating AB 2271 Page 2 a job posting website from interfering with, restraining, or denying the exercise of, or the attempt to exercise, any rights provided under this bill, or discriminating against an individual because the individual has engaged in specified activities. 2)Authorizes an individual aggrieved by a violation of this bill to file a complaint with the Labor Commissioner. 3)Establishes civil penalties of $1,000 for a first violation, $5,000 for a second violation, and $10,000 for each subsequent violation. FISCAL EFFECT GF administrative costs to the Department of Industrial Relations, potentially in the range of $1 million to $3 million, to process, review, and investigate complaints. Predicting the nature of the claims and penalties is difficult. DIR could receive several thousand cases per year as this bill does not allow for private civil action. COMMENTS 1)Purpose . This bill is in response recent media reports that found some employers refusing to consider applicants for employment unless those individuals are currently employed in other jobs (thereby excluding from consideration those applicants who are currently unemployed). Supporters of the measure, including the California Labor Federation, contend the recent recession has given birth to a new form of discrimination. This bill seeks to prevent employers, including the state and local agencies, or employment agencies from affirmatively asking an applicant for employment to disclose information concerning employment status until the employer or employment agency has determined that the applicant meets the minimum employment qualifications for the position. 2)Prior legislation. AB 1450 (Allen) of 2012 was similar to this bill. This bill differs from AB 1450 in that it prohibits an employer from affirmatively asking an applicant AB 2271 Page 3 for employment to disclose information concerning the applicant's current employment status until the employer has determined that the applicant meets the minimum employment qualifications for the position. This approach is more consistent with recent efforts related to employment applicants with criminal histories. For example, AB 218 (Dickinson) enacted last year prohibits a state or local agency from asking an applicant for employment to disclose information concerning the conviction history of the applicant, including any inquiry about conviction history on any employment application, until the agency has determined the applicant meets the minimum employment qualifications, as stated in any notice issued for the position. There is no opposition to this measure on file. Analysis Prepared by : Misty Feusahrens / APPR. / (916) 319-2081