BILL ANALYSIS Ó SB 432 Page 1 SENATE THIRD READING SB 432 (Mendoza) As Amended April 27, 2015 Majority vote SENATE VOTE: 35-0 ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Labor |6-1 |Roger Hernández, Chu, |Harper | | | |Low, McCarty, | | | | |Patterson, Thurmond | | | | | | | | | | | | ------------------------------------------------------------------ SUMMARY: Deletes the definition of "alien" from the Labor Code to describe any person who is not born in or a fully naturalized citizen of the United States and also deletes a prescribed order for the issuance of employment under public works contracts in the limited instance of extraordinary unemployment, as specified. EXISTING FEDERAL LAW: SB 432 Page 2 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 United States (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. 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 SB 432 Page 3 applicable to employees. "Unfair immigration-related practice" means any of the following practices when undertaken for retaliatory purposes: 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. FISCAL EFFECT: None COMMENTS: 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-create new products, businesses, and technologies, which generate jobs for all Americans. Additionally, the author points out, the Bureau of Labor Statistics (BLS) Report "Foreign-Born Workers: Labor Force Characteristics in 2013", there were 25.3 million foreign-born persons in the U.S. labor force, comprising 16.3% SB 432 Page 4 of the total workforce. The BLS Report also noted 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% of all firms with employees thus providing job opportunities for thousands of Americans. In 1937, the state Legislature enacted various provisions regarding the employment of "aliens," who are defined as any person who is not born in or a fully naturalized citizen of the U.S. The Legislature repealed most of these Labor Code statutes in 1970. However, 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, bills have been signed into law, which have strengthened labor law protections for immigrant workers. 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. No opposition on file. Analysis Prepared by: Lorie Alvarez / L. & E. / (916) 319-2091 FN: SB 432 Page 5 0001076