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 ----------------------------------------------------------------- |Author: |Levine | |-----------+-----------------------------------------------------| |Version: |February 23, 2015 | ----------------------------------------------------------------- ----------------------------------------------------------------- |Urgency: |No |Fiscal: |Yes | ----------------------------------------------------------------- ----------------------------------------------------------------- |Consultant:|Gideon Baum | | | | ----------------------------------------------------------------- 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. AB 520 (Levine) Page 2 of ? 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: AB 520 (Levine) Page 3 of ? 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 AB 520 (Levine) Page 4 of ? 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. AB 520 (Levine) Page 5 of ? SUPPORT International Union of Painters and Allied Trades, District Council 16 State Building and Construction Trades Council, AFL-CIO OPPOSITION -- END --