Amended in Senate June 14, 2016

Amended in Senate May 19, 2016

Amended in Assembly January 25, 2016

Amended in Assembly June 3, 2015

Amended in Assembly June 2, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 67


Introduced by Assembly Member Gonzalez

(Coauthors: Assembly Members Calderon, Chu, and McCarty)

(Coauthor: Senator Allen)

December 17, 2014


An act to add Section 511.5 to the Labor Code, relating to employment.

LEGISLATIVE COUNSEL’S DIGEST

AB 67, as amended, Gonzalez. Double Pay on the Holiday Act of 2016.

Existing law provides that 8 hours of labor constitutes a day’s work. Under existing law, any work in excess of 8 hours in one workday and any work in excess of 40 hours in any one workweek, and the first 8 hours worked on the 7th day of work in any one workweek, is required to be compensated at the rate of no less than 112 times the regular rate of pay for an employee. Existing law also provides that hours worked in excess of 12 hours in one day as well as hours worked in excess of 8 hours on any 7th day of work are to be compensated at the rate of no less than twice the regular rate of pay of an employee. A violation of these overtime wage provisions constitutes a crime.

This bill would enact the Double Pay on the Holiday Act of 2016, which would require an employer to pay at least 2 times the regular rate of pay to employees at retail and grocery store establishments, as defined, except employees in specified categories, for work on a family holiday, as defined. The bill would exemptbegin delete restaurants, except for restaurantsend deletebegin insert retail food facilities, as defined, from the act unless the retail food facility is a grocery store establishment, or isend insert located withinbegin insert aend insert retailbegin insert establishment,end insert orbegin insert is located within aend insert grocery storebegin delete establishments, from the act.end deletebegin insert establishment and primarily sells food for onsite consumption.end insert

Because this bill would expand the definition of a crime, it would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 511.5 is added to the Labor Code, to
2read:

3

511.5.  

(a) This section shall be known, and may be cited, as
4the Double Pay on the Holiday Act of 2016.

5(b) Any work performed at a retail store establishment or a
6grocery store establishment on a family holiday shall be
7compensated by the employer at no less than twice the employee’s
8regular rate of pay.

9(c) The provisions of this section are in addition to and
10independent of any other rights, remedies, or procedures available
11under any other law to an aggrieved employee.

begin insert

12
(d) This section does not apply to a retail food facility unless it
13is a grocery store establishment, or is located within a retail store
14establishment, or is located within a grocery store establishment
15and primarily sells food for onsite consumption.

end insert
begin delete

16(d)

end delete

P3    1begin insert(e)end insert As used in this section:

2(1) “Employee” does not include the following:

3(A) An employee covered by a valid collective bargaining
4agreement if the agreement expressly provides for the wages, hours
5of work, and working conditions of employees, and expressly
6provides for holiday premium pay for those employees, premium
7wage rates for all overtime hours worked, and a regular hourly
8rate of pay of not less than 30 percent more than the state minimum
9wage.

10(B) An employee who is exempt from the payment of an
11overtime rate of compensation for executive, administrative, and
12professional employees pursuant to wage orders issued by the
13Industrial Welfare Commission described in Section 515.

14(C) An employee who is employed by an employer who employs
15500 or fewer employees.

16(2) “Employer” means any personbegin delete employing another under
17any arrangement or contract of hire and includes the state, political
18subdivisions of the state, and municipalities.end delete
begin insert who employs another
19under any arrangement or contract of hire for a retail store
20establishment or grocery store establishment.end insert

21(3) “Retail store establishment” means a physical store within
22the state with more than 50 percent of its revenue generated from
23merchandise subject to the state’s sales and use taxes, including,
24but not limited to, electronics, appliances, clothing, furniture,
25sporting goods, health and personalbegin delete products, or a limited line of
26food products for onsite consumption.end delete
begin insert products. A “retail store
27establishment” includes a retail food facility,end insert
begin insert if the retail food
28 facility end insert
begin insertis located within a retail store establishment.end insert A “retail
29store establishment” does not include abegin insert retailend insert storebegin insert establishmentend insert
30 located inbegin delete a hotel,end deletebegin insert anend insert amusement park,begin delete orend deletebegin insert hotel,end insert movie theater,begin delete orend delete
31 a new motor vehicle dealer, as defined in Section 426 of the
32Vehiclebegin delete Code.end deletebegin insert Code, or a ski resort.end insert

33(4) “Grocery store establishment” means a physical store within
34the state that sells primarily household foodstuffs for offsite
35consumption, including, but not limited to, the sale of fresh
36produce, meats, poultry, fish, deli products, dairy products, canned
37foods, dry foods, beverages, and baked or prepared foods. Other
38household supplies or products are secondary to the primary
39purpose of food sales.begin insert A “grocery store establishment” includes
40a separate retail food facility that is located within a grocery store
P4    1establishment and primarily sells food for onsite consumption.end insert
A
2“grocery store establishment” does not include a store that occupies
35,000 square feet or less of floor space and that sells transportation
4fuels in conjunction with, and at the same physical location as,
5household foodstuffs for offsite consumption.

6(5) “Family holiday” means the fourth Thursday of November
7of each year.

begin delete

8(e) This section shall not apply to restaurants, except for
9restaurants that are located within a retail store establishment or a
10grocery store establishment.

end delete
begin insert

11
(6) “Retail food facility” has the same meaning as in Section
12113789 of the Health and Safety Code.

end insert
13

SEC. 2.  

No reimbursement is required by this act pursuant to
14Section 6 of Article XIII B of the California Constitution because
15the only costs that may be incurred by a local agency or school
16district will be incurred because this act creates a new crime or
17infraction, eliminates a crime or infraction, or changes the penalty
18for a crime or infraction, within the meaning of Section 17556 of
19the Government Code, or changes the definition of a crime within
20the meaning of Section 6 of Article XIII B of the California
21Constitution.



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