BILL ANALYSIS                                                                                                                                                                                                    Ó





          SENATE COMMITTEE ON LABOR AND INDUSTRIAL RELATIONS
                             Senator Tony Mendoza, Chair
                                2015 - 2016  Regular 

          Bill No:               AB 520       Hearing Date:     June 8,  
          2016
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          |Author:    |Levine                                               |
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          |Version:   |February 23, 2015                                    |
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          |Urgency:   |No                     |Fiscal:    |Yes              |
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          |Consultant:|Gideon Baum                                          |
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                              Subject:  Apprenticeship


          KEY ISSUE
          
          Should the Legislature revise the annual report filed by the  
          Division of Apprenticeship Standards (DAS) and the California  
          Apprenticeship Council (CAC) to include any apprenticeship  
          standards or regulations that were proposed or adopted in the  
          previous year?

          ANALYSIS
          
           Existing law  requires the Division of Apprenticeship Standards  
          (DAS) and the California Apprenticeship Council (CAC) to file an  
          annual report through the Director of Industrial Relations that  
          contains information including, but not limited to, analyses of  
          the following:


          1)The number of individuals, including numbers of women and  
            minorities, registered in apprenticeship programs in this  
            state for the current year and in each of the previous five  
            years.










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          2)The number and percentage of apprentices, including numbers  
            and percentages of minorities and women, registered in each  
            apprenticeship program having five or more apprentices, and  
            the percentage of those apprentices who have completed their  
            programs successfully in the current year and in each of the  
            previous five years.


          3)Remedial actions taken by the division to assist those  
            apprenticeship programs having difficulty in achieving  
            affirmative action goals or having very low completion rates.


          4)The number of disputed issues with respect to individual  
            apprenticeship agreements submitted to the Administrator of  
            Apprenticeship for determination and the number of those  
            issues resolved by the CAC on appeal.


          5)The number of apprenticeship program applications received by  
            the division, the number approved, the number denied and the  
            reason for those denials, the number being reviewed, and  
            deficiencies, if any, with respect to those program  
            applications being reviewed.


          6)The number of apprenticeship programs approved by DAS that are  
            disapproved by the CAC, and the reasons for those  
            disapprovals.


          (Labor Code §3073.5)


           
          This bill  would add apprenticeship standards or regulations that  
          were proposed or adopted in the previous year to the annual  
          report from DAS and CAC.


          COMMENTS
          

          1.  Background on Californias Apprenticeship System:








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             Stateregistered apprenticeship is a unique and important  
            component of California's workforce development system.  The  
            system is administered by the Division of Apprenticeship  
            Standards (DAS) and the California Apprenticeship Council  
            (CAC).  California continues to lead the nation, with 55,280  
            apprentices registered in over 540 programs recognized by DAS.


            The California Apprenticeship Council (CAC)


            The California Apprenticeship Council (CAC) was established in  
            1939 by the Shelley Maloney Apprentice Labor Standards Act and  
            comprises 17 members, 14 of whom are appointed by the Governor  
            to serve fouryear terms. Of the appointed members, 6 represent  
            management, 6 represent labor, and 2 represent the public. The  
            Director of the Department of Industrial Relations (DIR), the  
            Superintendent of Public Instruction, and the Chancellor of  
            the California Community Colleges, or their permanent and best  
            qualified designees, are also members of CAC. The Chair of CAC  
            is elected annually by the members of the Council. The Chief  
            of DAS serves as secretary to CAC, and DAS provides staff  
            services. CAC holds open quarterly meetings to address issues  
            affecting apprenticeship in California and to fulfill its  
            statutory requirement to provide policy advice on  
            apprenticeship matters to the Administrator of Apprenticeship  
            and the Director of DIR. It also issues rules and regulations,  
            as necessary, to carry out the intent of the law and ensures  
            that selection procedures are impartially administered. The  
            Council conducts appeal hearings on matters of apprenticeship  
            agreement disputes, new apprenticeship standards approval, and  
            apprenticeship program administration. 


            The Division of Apprenticeship Standards (DAS)


            DAS operates within DIR and administers Californias  
            apprenticeship law, the Shelley Maloney Apprentice Labor  
            Standards Act of 1939, as well as CACs regulations. As an  
            integral part of the California workforce development system,  
            the primary responsibilities of DAS are the promotion and  
            development of apprenticeship training programs, the  
            improvement of working conditions for apprentices, and the  
            advancement of subsequent employment opportunities for  







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            apprentices. DAS accomplishes these objectives by providing  
            consultative services to apprenticeship program sponsors,  
            employers, employee organizations, and education providers.  
            Additionally, DAS has oversight responsibilities for proper  
            program management of apprenticeship programs, ensuring that  
            high training standards are maintained for all apprentices.  
            DAS monitors apprentice wages, hours, working conditions,  
            learning of skills, length of training, and required  
            supplemental classroom instruction resulting in a healthy rate  
            of program graduations for all apprentices, including women  
            and people of ethnic minorities. Upon recommendation of the  
            apprentice's program sponsor, DAS certifies the completion of  
            apprenticeship programs approved by CAC. For the year 2013,  
            DAS issued 7,122 certificates of completion to graduating  
            apprentices.

          2.  Proponent Arguments  :
            
            According to the author, this bill improves apprenticeship  
            programs by increasing dialogue and communication between the  
            Legislature and DIR.  This bill will require the DIR to  
            include in the annual report to the Legislature proposed or  
            adopted changes to apprenticeship standards.

            Supporters state that, because of the sizeable state  
            investment in apprenticeship programs, it is critical for the  
            Legislature and stakeholders to have as much data and feedback  
            as possible about how the apprenticeship program is working.   
            This will help ensure that we know our investment is paying  
            off and apprenticeship programs are helping apprentices  
            matriculate through the system.  
          
          3.  Opponent Arguments  :

            None on File.

          4.  Prior Legislation  :

            SB 792 (Padilla) of 2014 directed the Department of Industrial  
            Relations to establish performance standards for corrosion  
            prevention work. SB 792 was vetoed by Governor Brown, who  
            instead directed the Department of Industrial Relations to  
            incorporate industry accepted standards for corrosion  
            prevention training into the appropriate apprenticeship  
            programs. 







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          SUPPORT
          
          International Union of Painters and Allied Trades, District  
          Council 16
          State Building and Construction Trades Council, AFL-CIO
          

          OPPOSITION
          


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