BILL ANALYSIS                                                                                                                                                                                                    Ó



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          CONCURRENCE IN SENATE AMENDMENTS


          AB  
          2025 (Gonzalez)


          As Amended  August 19, 2016


          Majority vote


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          Original Committee Reference:  B. & P.




          SUMMARY:  Requires the Board of Barbering and Cosmetology (BBC),  
          to provide practitioner and establishment applicants with  
          information about basic labor laws, as specified; requires the  
          BBC to translate all of its written materials in English,  
          Korean, Spanish, and Vietnamese; and, authorizes the BBC to  
          collect voluntary demographic information of its applicants for  
          licensure and renewal.  Specifically, this bill:
          1)Requires the BBC to offer and make available all written  
            materials provided to licensees and applicants in English,  
            Korean, Spanish, and Vietnamese.  
          2)Requires, commencing July 1, 2017, the BBC's Health and Safety  
            Advisory Committee to additionally advise the BBC on the issue  
            of how to ensure licensees are aware of basic labor laws,  
            including, but not limited to the following:










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             a)   Key differences between the legal rights, benefits, and  
               obligations of an employee and an independent contractor;
             b)   Wage and hour rights for hourly employees;


             c)   Antidiscrimination laws relating to the use of a  
               particular language in the workplace;


             d)   Anti-retaliation laws relating to a worker's right to  
               file complaints with the Department of Industrial  
               Relations; and, 


             e)   How to obtain more information about state and federal  
               labor laws.


          3)Requires basic labor laws to be included in the BBC's health  
            and safety course on hazardous substances, commencing July 1,  
            2017. 
          4)Requires, as part of a complete establishment application and  
            electronic renewal application, a signed acknowledgement that  
            the applicant understands that establishments are responsible  
            for obeying labor laws of the state and the informational  
            materials on basic labor laws as provided by the BBC.


          5)Requires, commencing July 1, 2017, every electronic renewal  
            application to include a signed acknowledgement that the  
            renewal applicant understands his or her rights as a licensee,  
            as specified. 


          6)Requires, commencing July 1, 2017, each applicant to include a  
            signed acknowledgment the he or she understands his or her  
            rights as a licensee as outlined in the information provided  
            by the BBC.


          7)Requires the BBC, commencing July 1, 2017, to collect through  
            optional questions on an application for licensure, and in an  








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            electronic renewal application, the spoken and written  
            language preference of each applicant. 


          The Senate amendments revise the requirements for applicants for  
          an establishment and practitioner license to obtain information  
          about specified labor laws and make a technical and conforming  
          change. 


          FISCAL EFFECT:  According to the Senate Appropriations  
          Committee, this bill will result in: 


          1)No significant costs are anticipated from the requirement to  
            provide information to licensees in Spanish, and Vietnamese or  
            to collect applicant demographic data.  The Board has already  
            translated its informational materials into those languages or  
            is in the process of doing so. Similarly, the Board indicates  
            that cost to update the BreEze license application system to  
            collect optional demographic data from applicants can be  
            accommodated within the existing maintenance budget, given the  
            delayed implementation date of this requirement of January 1,  
            2018.


          2)Additional information technology costs, likely over $150,000  
            to make changes to the BreEze online application system, to  
            record a license applicant's acknowledgement of his or her  
            responsibility to comply with state labor laws (Barbering and  
            Cosmetology Contingent Fund).  This requirement of this bill  
            would go into effect on January 1, 2017 and could not be  
            absorbed within the current year maintenance budget.


          COMMENTS:  


          Purpose.  This bill aims to increase education and information  
          for licensees and establishment owners in basic labor laws and  
          also requires the BBC to translate informational material for  
          licensees into English, Spanish and Vietnamese.  This bill is  








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          sponsored by the California Healthy Nail Salon Collaborative.   
          According to the author, "California has many strong labor  
          standards, but part of enforcing those laws is making sure  
          workers know their rights, and that business owners are aware of  
          obligations to the workers in those businesses.  [This bill]  
          takes the opportunity to educate workers and salon owners using  
          existing license application processes and training  
          requirements.  The Legislature also knows that language barriers  
          are a problem for establishments regulated by the Board of  
          Barbering and Cosmetology, especially nail salons, which is why  
          [this bill] includes provisions to improve language access for  
          both workers and businesses."


          Board of Barbering and Cosmetology.  The BBC is responsible for  
          licensing and regulating barbers, cosmetologists, estheticians,  
          electrologists, manicurists, apprentices and approximately  
          41,000 establishments.  Establishment licensees do not need to  
          hold a separate professional license.  In order to obtain an  
          establishment license, an individual must submit an application  
          to the BBC and pay the appropriate fee.  


          The BBC is required to maintain a program of random and targeted  
          inspections of establishments to ensure compliance with  
          applicable laws relating to health and safety.  While the BBC  
          inspects establishments for compliance with applicable health  
          and safety requirements, it does not have jurisdiction over the  
          enforcement of labor laws.  This bill does not provide the BBC  
          with enforcement authority for labor code violations; however,  
          it will require the BBC to provide information to licensees on  
          basic labor laws.  This bill will specifically require  
          applicants for an establishment and practitioner license and  
          licensure renewals to acknowledge, through the application  
          process, that they understand the informational materials on  
          basic labor laws.  The materials on basic labor laws must  
          include at a minimum, information about key differences between  
          the legal rights, benefits, and obligations of an employee and  
          independent contractor, wage and hour rights for employees,  
          antidiscrimination and, anti-retaliation laws.  










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          Joint Hearing on Labor Practices, Health, and Safety in  
          California Nail Salons.  Labor concerns for nail technicians  
          were raised in a May 7, 2015, article from the New York Times,  
          "The Price of Nice Nails," in which it was reported:  "The New  
          York Times interviewed more than 150 nail salon workers and  
          owners, in four languages, and found that a vast majority of  
          workers are paid below minimum wage; sometimes they are not even  
          paid.  Workers endure all manner of humiliation, including  
          having their tips docked as punishment for minor transgressions,  
          constant video monitoring by owners, even physical abuse.   
          Employers are rarely punished for labor and other violations."  

          In August of 2015, the Assembly Select Committee on Women in the  
          Workplace, Assembly Select Committee on Girls and Women of  
          Color, Assembly Committee on Health, Assembly Committee on  
          Business and Professions, and the Assembly Committee on Labor  
          and Employment held a joint informational hearing which focused  
          on both the health and safety of licensees regarding exposure to  
          chemicals and other ingredients, and concerns about labor  
          practices in nail salons, where according to the Healthy Nail  
          Salon Collaborative, "there are approximately 97,100 manicurists  
          and 241,700 cosmetologists in California.  Up to 80% are  
          estimated to be Vietnamese immigrants, and more than 50% are of  
          childbearing age."  

          Health and Safety Curriculum.  The BBC is required to design the  
          curriculum of a health and safety course that must be covered by  
          schools as part of the hours of required instruction.  Business  
          and Professions Code Section 7389 specifies that the BBC is to  
          develop or adopt a health and safety course on hazardous  
          substances, which must be taught in schools approved by the BBC.  
           This curriculum needs to be taught as a stand-alone course,  
          separate from other curricula, in order to fulfill the Health  
          and Safety Hazardous Substances requirement.  This bill will  
          require the health and safety course to include instruction on  
          basic labor laws, commencing July 1, 2017. 

          Language Access Issues.  During the BBC's 2015 Sunset Review,  
          the issue of language access and the BBC's ability to enhance  
          language-access services to consumers and licensees was raised.   
          As noted in the Assembly Committee on Business and Professions  
          2015 background paper, because the BBC's licensing population is  








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          over 550,000 licensees, in order to meet the needs of its  
          diverse licensing population, with respect to regulatory  
          oversight, it is critical that the BBC is able to communicate  
          effectively with its licensees throughout the lifecycle of the  
          licensing process.  The BBC noted in its 2014 Sunset Review  
          Report that it made language access one of its priorities over  
          the last two years.  To that end, the BBC reported that it has  
          translated all of its documents into Vietnamese, Spanish, and  
          Korean.  This bill would require the BBC to offer and make  
          available all written materials provided to licensees and  
          applicants in English, Spanish, and Vietnamese.  Another issue  
          that was raised during the BBC's 2015 sunset review hearing  
          pertained to the collection of demographic data of  
          BBC-licensees.  Without statutory authority, the BBC reports  
          that it is not able to collect specified data about its  
          applicants or licensees, including language preferences.   
          Beginning July 1, 2017, this bill will authorize the BBC, to  
          collect language preference, if an applicant chooses to provide  
          the information.  This bill will not require applicants for  
          licensure to provide such information.  

          Analysis Prepared by:                                             
                          Elissa Silva / B. & P. / (916) 319-3301  FN:  
          0004857