BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 432| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: SB 432 Author: Mendoza (D) Amended: 4/27/15 Vote: 21 SENATE LABOR & IND. REL. COMMITTEE: 5-0, 4/8/15 AYES: Mendoza, Stone, Jackson, Leno, Mitchell SUBJECT: Public works: aliens SOURCE: Author DIGEST: This bill deletes the definition of alien from the Labor Code to describe any person who is not a born or fully naturalized citizen of the United States. This bill also deletes a prescribed order for the issuance of employment under public works contracts in the limited instance of extraordinary unemployment, as specified. Senate Floor Amendments of 4/27/15 repeal a section of the Labor Code that prescribes an order for the issuance of unemployment under public works contracts in the limited instance of extraordinary unemployment, as specified. ANALYSIS: SB 432 Page 2 Existing federal law: 1)States that it is illegal for a person or other entity to "knowingly" hire, recruit, or refer for employment an unauthorized individual or any individual without complying with specified employment verification procedures. 2)Requires employers to verify that every new hire is either a U.S. citizen or authorized to work in the U.S. 3)Requires that all employers have new employees complete form I-9, Employment Eligibility Verification, upon hire. Existing state law: 1)States that all protections, rights, and remedies available under state law, except any reinstatement remedy prohibited by federal law, are available to all individuals regardless of immigration status who have applied for employment, or who are or have been employed in the state. In addition, for purposes of enforcing state labor and employment laws, a person's immigration status is irrelevant to the issue of liability or in proceedings, where no inquiry is permitted into a person's immigration status except where the person seeking the inquiry has shown, by clear and convincing evidence, that the inquiry is necessary in order to comply with federal immigration law. (Labor Code § 1171.5; Civil Code § 3339; Health and Safety Code § 24000; Government Code § 7285) 2)Prohibits an employer from engaging in (or directing another person or entity to engage in) unfair immigration-related practices against any person for the purpose of, or with the intent of, retaliating against any person for exercising any right protected under Labor Code or by any local ordinance applicable to employees. "Unfair immigration-related practice" means any of the following practices when undertaken for retaliatory purposes (Labor Code § 1019): SB 432 Page 3 a) Requesting more or different employment verification documents than are required under law, or refusing to honor documents that on their face reasonably appear to be genuine. b) Using the federal E-Verify system to check the employment authorization status of a person at a time or in a manner not required under federal law, or not authorized under any memorandum of understanding governing the use of the federal E-Verify system. c) Threatening to file or the filing of a false police report, or a false report or complaint with any state or federal agency. d) Threatening to contact or contacting immigration authorities. This bill: 1)Deletes the definition of "alien" from the Labor Code to describe any person who is not a born or fully naturalized citizen of the U.S. 2)Deletes a code section which specifies that under a period of extraordinary unemployment caused by an industrial depression, the preference of employment in public works projects shall be extended as follows: first, to citizens of this State; second, to citizens of other States within the U.S., who are within the State at the time of making application; and third, to aliens who are within the State at the time of application. Background In 1937, the Legislature enacted various provisions regarding the employment of "aliens," who are defined as any person who is not a born or fully naturalized citizen of the U.S. The Legislature repealed most of these Labor Code statutes in 1970. SB 432 Page 4 The definition for "alien" was not repealed and is still found in the Labor Code. Under current law, all employment protections, rights, and remedies available under state law, except as prohibited by federal law, are available to all individuals regardless of immigration status. Over the last few years, several bills have been passed and signed into law which has strengthened labor law protections for immigrant workers. This bill continues these efforts by repealing from the Labor Code the term "alien" as a definition for an immigrant individual. This bill also strikes from the Labor Code an outdated requirement that prescribes an order for the issuance of employment under public works contracts first to citizens of the U.S., second to citizens of other States in the U.S., and third to aliens. FISCAL EFFECT: Appropriation: No Fiscal Com.:NoLocal: No SUPPORT: (Verified4/28/15) California Applicants' Attorneys Association California Rural Legal Assistance Foundation OPPOSITION: (Verified4/28/15) None received ARGUMENTS IN SUPPORT: According to the author, the U.S. is a country of immigrants who not only form an integral part of our culture and society, but are also critical contributors to our economic success. Immigrants work and pay taxes as well as SB 432 Page 5 create new products, businesses, and technologies which generate jobs for all Americans. According to the Bureau of Labor Statistics (BLS), in 2013, there were 25.3 million foreign-born persons in the U.S. labor force, comprising 16.3 percent of the total (BLS, "Foreign-Born Workers: Labor Force Characteristics in 2013"). The BLS also found that foreign-born workers were more likely than native-born workers to be employed in service occupations. Furthermore, the U.S. Department of Treasury notes that immigrants own 10.8 percent of all firms with employees, providing job opportunities for thousands of Americans. Proponents argue that California is among the top destination states for immigrants in the U.S. and given the abundant evidence of their many contributions, the author believes it is imperative that any derogative references to foreign-born individuals be repealed from state law. Further, proponents argue that the word "alien," and any statutes prescribing an order for the issuance of employment to "aliens," has no place in the laws of our state and more importantly, should never be the basis of an employment hiring protocol. Prepared by:Alma Perez / L. & I.R. / (916) 651-1556 4/29/15 16:07:41 **** END ****