BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 2532|
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                                   THIRD READING 


          Bill No:  AB 2532
          Author:   Chiu (D), et al.
          Introduced:2/19/16  
          Vote:     21 

           SENATE LABOR & IND. REL. COMMITTEE:  3-1, 6/8/16
           AYES:  Mendoza, Leno, Mitchell
           NOES:  Stone
           NO VOTE RECORDED:  Jackson

           SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           ASSEMBLY FLOOR:  54-20, 5/19/16 - See last page for vote

           SUBJECT:   Employment services:  verification


          SOURCE:    Mexican American Legal Defense Education Fund

          DIGEST:   This bill repeals the requirement to verify an  
          individual's legal status or authorization to work prior to them  
          receiving employment services from state or local government  
          agencies or any private contracting agencies.  This bill also  
          repeals the associated workplace posting requirement regarding  
          the need for such verification.


          ANALYSIS: 


          Existing law:










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          1)Requires each state or local government agency or community  
            action agency, or any private organization contracting with  
            them, that provides employment services such as job training,  
            retraining, or placement, to verify an individual's legal  
            status or authorization to work prior to providing those  
            services to that individual (Unemployment Insurance (UI) Code  
            §9601.5).  


           2)Specifies that proof of legal status or authorization to work  
            includes a social security card, immigration visa, birth  
            certificate or passport, among others (UI Code §9601.5).  


           3)Requires the agencies or organizations described above that  
            provide specified employment services to post a notice in the  
            workplace stating that only citizens or those persons legally  
            authorized to work in the United States will be permitted to  
            use the agency's or organization's employment services that  
            are funded by the federal or state government (UI Code  
            §9601.7).


          This bill:


          1)Repeals the requirement to verify an individual's legal status  
            or authorization to work prior to them receiving employment  
            services from state or local government agencies or any  
            private contracting agencies.


          2)Repeals the associated workplace posting requirement that  
            informs workers that only citizens or those legally authorized  
            to work in the U.S. can use employment services being provided  
            by these agencies.


          Comments


          Brief background on the Immigration Reform and Control Act of  
          1986 (IRCA). IRCA was enacted into U.S. law as an attempt to  
          control and deter unlawful immigration to the United States.   







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          Its major provisions called for the legalization of undocumented  
          persons who had been continuously present in the U.S. since  
          1982, the legalization of certain agricultural workers,  
          sanctions for employers who knowingly hire undocumented workers,  
          and increased enforcement at U.S. borders. 


          IRCA required employers to attest to their employees'  
          immigration status, through the establishment of the I-9 Form,  
          and made it illegal to hire or recruit undocumented workers  
          knowingly, among other things.  IRCA also states that in terms  
          of employment in the United States, it is unlawful for a person  
          or other entity knowingly to recruit or refer for a fee an  
          unauthorized person, or to ignore the verification requirements  
          for providing these services.  


          Need for this bill? SB 733 (Russell, Chapter 819, Statutes of  
          1993) added Sections 9601.5 and 9601.7 to the UI Code (see  
          "Existing law" section above). The author argues that the law  
          was always of questionable constitutionality because federal law  
          already regulates those employment agents who "recruit or refer  
          for a fee" or in other words, provide employment services, under  
          IRCA. This law expressly preempts "any State or local law  
          imposing civil or criminal sanctions (other than through  
          licensing and similar laws) upon those who employ, or recruit or  
          refer for a fee for employment, unauthorized aliens."  (8 U.S.C.  
          § 1324a (h)(2).)


          In short, the author argues that the sections of the UI Code in  
          question are not necessary and burdensome because they already  
          fall under the purview of federal law. In this case, the IRCA  
          prohibits state preemptions or interference with federal law on  
          this issue. The author states that AB 2532 repeals these  
          sections and eliminates a problematic and discriminatory  
          redundancy with federal law.




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No








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          SUPPORT:   (Verified6/27/16)


          Mexican American Legal Defense Education Fund (source)
          American Civil Liberties Union of California
          California Immigrant Policy Center
          Worksafe


          OPPOSITION:   (Verified6/27/16)


          None received


          ARGUMENTS IN SUPPORT:     Proponents state that this bill  
          removes two provisions of California law sponsored by the  
          nativist organization Federation for American Immigration Reform  
          (FAIR). California UI Code §9601.5 and 9601.7 were enacted two  
          decades ago in an era of heightened anti-immigrant lawmaking in  
          the state. Proponents assert that these two UI Code sections are  
          preempted by federal law and that their continued enforcement  
          would subject California to potential legal action. Proponents  
          add that the United States Supreme Court recently held that  
          federal law, since the 1986 enactment of IRCA, provides a  
          "comprehensive framework" to address the employment of  
          unauthorized immigrants and does not permit state legislation  
          within the area addressed by the framework. Because UI Code  
          Sections 9601.5 and 9601.7 could result in civil sanctions for a  
          violation, the two provisions are expressly preempted under IRCA  
          so far as they apply to employment services agencies that charge  
          to recruit or refer. Moreover, to the extent the provisions  
          apply to agencies that provide services for free, they are  
          impliedly preempted because Congress, in enacting IRCA, decided  
          not to regulate such free services as part of its comprehensive  
          framework. Also proponents believe that the notice-posting  
          obligation in UI Code Section 9601.7 exacerbates these legal  
          concerns and imposes unnecessary added costs on businesses.  
          Finally, proponents contend that AB 2532 would do nothing to  
          change immigrant eligibility for any government services, which  
          is regulated by other provisions of federal and state law. Nor  
          would this bill change the federal obligation that employers  
          face with respect to employment of authorized workers and the  







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          duty to check the work authorization of new hires. 


           

          ASSEMBLY FLOOR:  54-20, 5/19/16
          AYES:  Achadjian, Alejo, Arambula, Atkins, Baker, Bloom,  
            Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chau, Chiu,  
            Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier,  
            Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez,  
            Gonzalez, Gordon, Hadley, Roger Hernández, Holden, Irwin,  
            Jones-Sawyer, Lackey, Levine, Linder, Lopez, Low, Medina,  
            Mullin, Nazarian, O'Donnell, Quirk, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Mark Stone, Thurmond, Ting, Weber, Wood,  
            Rendon
          NOES:  Travis Allen, Bigelow, Brough, Chávez, Beth Gaines,  
            Gallagher, Gray, Grove, Harper, Jones, Maienschein, Mayes,  
            Melendez, Obernolte, Olsen, Patterson, Steinorth, Wagner,  
            Waldron, Wilk
          NO VOTE RECORDED:  Chang, Dahle, Kim, Mathis, McCarty, Williams

          Prepared by:Brandon Seto / L. & I.R. / (916) 651-1556
          6/29/16 15:46:02


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