BILL ANALYSIS Ó SB 1087 Page 1 SENATE THIRD READING SB 1087 (Monning) As Amended June 30, 2014 Majority vote SENATE VOTE :26-10 LABOR & EMPLOYMENT 5-0 APPROPRIATIONS 12-5 ----------------------------------------------------------------- |Ayes:|Roger Hernández, Alejo, |Ayes:|Gatto, Bocanegra, | | |Chau, Holden, | |Bradford, | | |Ridley-Thomas | |Ian Calderon, Campos, | | | | |Eggman, Gomez, Holden, | | | | |Pan, Quirk, | | | | |Ridley-Thomas, Weber | | | | | | |-----+--------------------------+-----+--------------------------| | | |Nays:|Bigelow, Donnelly, Jones, | | | | |Linder, Wagner | ----------------------------------------------------------------- SUMMARY : Amends existing law and enacts new provisions related to the regulation of farm labor contractors (FLCs). Specifically, this bill : 1)Requires a FLC to provide a list of all employees who provided FLC services on behalf of the FLC, as specified. 2)Requires the FLC to provide documentation to the Labor Commissioner (LC) of the size of the contractor's payroll, using specified sources. 3)Increases the FLC licensure fee to $600, with the additional $100 funding the LC's Farm Labor Contractor Enforcement Unit and the Farm Labor Contractor Verification Unit. 4)Requires an applicant for licensure as a FLC to provide a written statement verifying that the person's supervisorial and non-supervisorial employees have been trained in the prevention of sexual harassment, as specified. 5)Increases the examination fee by $100 and adds the Department of Fair Employment and Housing to the organizations that must be SB 1087 Page 2 consulted by the LC when creating the exam. 6)Expands circumstances where service to the surety is appropriate to include if the FLC remains in the state, but has fled the jurisdiction where the labor law violation has occurred. 7)Requires that the FLC fully document net and gross hours worked and wages to a grower and provides paystubs that fully comply with existing law to the contractor's employees. 8)Allows for the collection of expert witness fees in the event of a successful action against an FLC. 9)Increases fees for any FLC who continues to provide farm labor contracting services after his or her license has been suspended or revoked to not less than $10,000, and also extend this penalty to FLCs who were denied a license. 10)Makes additional changes regarding compliance with federal law and appropriate posting of a FLC's license information. 11)Expands the conditions upon which a FLC's surety bond may be payable to include damages due to sexual harassment specifically, or harassment generally on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status. 12)Requires the addition of protection from sexual harassment in the workplace as a topic for the FLC written examination. 13)Increases annual continuing education for FLCs to nine hours and requires it include at least one hour of sexual harassment prevention training. 14)Prohibits the LC from issuing a license to an FLC who, within the three preceding years, committed sexual harassment or employed a supervisor who the FLC knew, or should have known, had been found to have committed sexual harassment of an employee. 15)Allows the LC to revoke, suspend, or refuse to renew the license of an FLC who, within the three preceding years, committed sexual harassment or employed a supervisor who the farm labor contractor SB 1087 Page 3 knew, or should have known, had been found to have committed sexual harassment of an employee. 16)Provides that a FLC licensee will be considered to have not known about sexual harassment committed by an employee or supervisor if the employee or supervisor executes a form provided by the LC that the employee or supervisor has not been found to have committed sexual harassment, as specified. These provisions shall not apply until the LC prepares the form and makes it available on its' Internet Web site. FISCAL EFFECT : According to the Assembly Appropriations Committee, this bill will result in one-time costs of $58,000 (special funds) to the Department of Industrial Relations related to rulemaking, and minor costs to the Department of Fair Employment and Housing. COMMENTS : This bill represents a wide-ranging and comprehensive reform of existing farm labor contractor licensure requirements. This bill is sponsored by the California Rural Legal Assistance Foundation. They and other supporters argue that this bill is an important step in protecting the lives of farm workers in the fields. Supporters note that this bill does not expand liability for farm labor contractors, but rather ensures that farm labor contractors are sufficiently bonded to protect the needs of farm workers, as well as increases funds available for the purposes of licensure enforcement. Additionally, supporters note that sexual harassment and assault in a serious and significant problem in California's agricultural industry. Supporters argue that additional training and surety bond claims will provide needed protection to female farm workers from the current injustices under which they currently suffer. There is no opposition on file. Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091 FN: 0004361