BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          SB 404 (Jackson) - Fair Employment: Familial Status.
          
          Amended: As Introduced          Policy Vote: Judiciary 5-2
          Urgency: No                     Mandate: No
          Hearing Date: April 15, 2013                            
          Consultant: Robert Ingenito     
          
          This bill meets the criteria for referral to the Suspense File.
          
          
          Bill Summary: SB 404 would amend employment provisions of the  
          Fair Employment and Housing Act (FEHA) to prohibit  
          discrimination based on the family caregiver status of an  
          employee.   

          Fiscal Impact: Estimated $140,000 annually to the General Fund  
          to investigate employment discrimination complaints filed with  
          the Department of Fair Employment and Housing (DFEH).

          Background: The FEHA protects persons against discrimination in  
          employment, housing, public accommodation, and business services  
          based on specified personal characteristics.  These  
          characteristics include sex, race, color, national origin,  
          marital status, religion, sexual orientation, age and  
          disability. 

          Proposed Law: This bill adds family caregiver status to the list  
          of protected classes with respect to employment discrimination.   
          For purposes of the employment sections of the FEHA, family  
          caregiver status refers to an employee's responsibility for care  
          or support of a family member. 

          Related Legislation: This bill is substantially similar to AB  
          1999 (Brownley, 2012) which was held on suspense in this  
          committee.

          AB 1001 (Skinner) 2009 proposed including "familial status" as  
          an additional basis upon which the right to seek, obtain, and  
          hold employment cannot be denied.  That bill would, for  
          employment purposes, define "familial status" as having or  
          providing care for a child, domestic partner, grandchild,  
          grandparent, parent, parent-in-law, sibling, or spouse.  AB 1001  








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          was held in the Assembly Appropriations Committee.  The  
          estimated fiscal impact of that bill was up to $740,000 annually  
          from the General Fund.

          AB 2039 (Swanson) would increase the circumstances under which  
          an employee is entitled to protected leave under the California  
          Family Rights Act.  That bill is on the Suspense File.

          Staff Comments: DFEH anticipates that the inclusion of "familial  
          status" among the bases upon which employment discrimination is  
          prohibited would cause a non-absorbable increase in workload  
          related to the number of complaints filed for investigation.  
          Specifically, DFEH estimates on-going costs of $138,750 to add  
          1.5 positions to investigate the additional complaints it  
          anticipates would be filed if SB 404 is enacted. DFEH would not  
          receive federal reimbursement for the investigation and  
          prosecution of these additional complaints under its workshare  
          agreement with the Equal Employment Opportunity Commission.   

          DEFH already investigates complaints involving large employers'  
          (50 or more employees within 75-miles of worksite)  
          discrimination of employees' qualified California Family Rights  
          Act (CFRA) leave to care for a child, parent and/or spouse.   
          Thus, investigations of these claims for all FEHA employers  
          under SB 404 could be absorbed.  However, the bill's addition of  
          new familial status relationships-sibling, parent-in-law,  
          grandparent and grandchild-would not be absorbable.  Based on  
          nearly 800 CFRA complaints filed in 2011, DFEH estimates the  
          addition of new family relationships could result in 144 more  
          employment discrimination complaints (an increase of 18 percent)  
          filed in the familial status discrimination category.

          The 144 additional complaints estimated to be filed annually  
          would generate investigations but are not anticipated to lead to  
          significant workload related to prosecution.  Generally, less  
          than one percent of complaints filed with DFEH result in  
          prosecutions. 

          
          












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