BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 2539


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          Date of Hearing:  April 20, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          2539 (Levine) - As Amended March 30, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill requires the Occupational Safety and Health Standards  
          Board (Standards Board) to adopt an occupational safety and  
          health standard for models and sets forth other workplace  
          requirements for models and modeling agencies. Specifically,  








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          this bill:  


          1)Prohibits a person from engaging in or carrying on the  
            occupation of a modeling agency without first obtaining a  
            license under existing law related to talent agencies.


          2)Classifies a model as an employee of the person for whom the  
            model's services are directly provided.


          3)Requires the Standards Board, in consultation with accredited  
            specialists in the prevention and treatment of eating  
            disorders, to adopt an occupational safety and health standard  
            for models no later than December 1, 2017. Requires this  
            standard to be operative September 1, 2018 and fully complied  
            with by December 31, 2018.


          4)Requires the standard to address issues including, but not  
            limited to: (1) protection of the model's rights to health  
            care privacy under federal law and all other provisions of  
            law; (2) workplace safety, especially for minors, including  
            protection from sexual exploitation and sexual predators; and  
            (3) prevention and treatment of eating disorders.


          5)Provides that this bill shall not apply to persons covered  
            under certain wage orders regulating the broadcasting industry  
            and the motion picture industry.


          6)Defines "model" to mean an artist covered under Wage Order 4  
            of the Industrial Welfare Commission (IWC) who, in the course  
            of his or her occupation, performs modeling services for, or  
            who consents to the transfer of his or her legal right to the  
            use of his or her name, portrait, picture or image for  
            advertising purposes of trade directly to, a retail store, a  








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            manufacturer, an advertising agency, a photographer, a  
            publishing company, or a modeling agency.


          7)Defines "modeling services" to mean the appearance by a model  
            in photographic sessions or the engagement of model in runway,  
            live, filmed, or taped performances requiring him or her to  
            pose, provide an example or standard of artistic expression,  
            or to be a representation to show the construction or  
            appearance of some thing or place for purposes of display or  
            advertising.


          8)Defines a "modeling agency" as a person that facilitates an  
            employment opportunity for a model and that holds a valid  
            license under existing law related to talent agencies


          FISCAL EFFECT:


          Administrative costs of approximately $420,000 to $450,000  
          (Labor Enforcement and Compliance Fund) for the Division of  
          Labor Standards Enforcement (DLSE) and Cal/OSHA to develop  
          health and safety standards and to process additional wage  
          claims. These estimates reflect anticipated workload for the  
          first two years of implementation. Ongoing costs for DLSE are  
          estimated to be approximately $112,000 annually.  


          COMMENTS:


          1)Purpose. According to the author, this bill protects the  
            health and well-being of models and will also change the  
            messages the fashion industry sends to society about health  
            and beauty.  This bill provides that models are employees and  
            receive all worker protections of employees. The bill also  
            requires the adoption of health guidelines for models.








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          2)Support. According to the Model Alliance, supporters of the  
            bill, eating disorders are widespread in the fashion industry  
            and are too often dismissed or overlooked.  The bill requires  
            the OSHA Standards Board, in consultation with accredited  
            specialists in the prevention and treatment of eating  
            disorders, to adopt an occupational safety and health standard  
            for models.  


            The supporters of this bill also state that many (but not all)  
            modeling agencies are licensed as talent agencies under  
            existing law, affording models the protections that apply to  
            talent agencies, such as registration with the Labor  
            Commissioner and other requirements.  This bill would prohibit  
            a person from engaging in or carrying on the occupation of a  
            modeling agency without first procuring a license under the  
            existing law related to talent agencies. Supporters believe  
            that requiring modeling agencies to be licensed and regulated  
            as talent agencies increases the level of financial  
            transparency and accountability in the modeling industry, and  
            protect models from sexual and financial exploitation.


          3)Opposition. The Association of Talent Agents (ATA) opposes  
            this bill and state it is unworkable. They state the bill is  
            redundant because it seeks to require what is already required  
            - that modeling agencies engaged in the occupation of  
            procuring or attempting to procure employment for "artists"  
            services (including models) be licensed by the Labor  
            Commissioner. They note that the Labor Commissioner has issued  
            rulings on the fact that models are artists covered under the  
            Talent Agents Act (TAA), and therefore the bill serves no  
            discernable purpose. 


            The ATA also raises concerns over statutorily mandating models  
            as employees. They argue that the law is clear that the  








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            classification of a worker as either an employee or an  
            independent contractor depends, among other things, on the  
            circumstances of the work performed and the degree of control  
            over the worker. Because the bill requires models to be  
            classified as employees in every case regardless of the  
            circumstances of the particular job, ATA argues the bill does  
            not reflect the realities of the work environment and unfairly  
            prejudices models who exhibit control over their work and  
            structure their business as independent contractors.


            The ATA also opposes the proposed development of an OSHA  
            workplace health and safety standard for models. They are  
            concerned that the bill provides no definition for what  
            constitutes "healthy" and discourages diversity among body  
            shapes within the industry, with respect to both slender and  
            plus-size models. ATA also expresses concern that the  
            development of such a standard would impose duties upon the  
            modeling agencies, such as making sure that each model it  
            represents has met the standard and is healthy to perform  
            modeling services.


          Analysis Prepared by:Misty Feusahrens / APPR. / (916)  
          319-2081