BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1841
                                                                  Page  1

          Date of Hearing:   August 11, 2004

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                    SB 1841 (Bowen) - As Amended:  August 4, 2004 

          Policy Committee:                              Labor and  
          Employment   Vote:                            6-2

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill prohibits a public or private employer from engaging  
          in electronic monitoring of employee activities and  
          communications without first giving clear and conspicuous notice  
          to each employee. The notice may be electronic or in writing in  
          a manner reasonably calculated to provide actual notice and must  
          include the following information:

          1)The form of communication or other activity to be monitored,  
            and 

          2)The kinds of information that will be obtained through the  
            monitoring. 

          This bill would not diminish any rights of employees granted  
          under federal, state or local law, or under any collective  
          bargaining agreement, if the law or agreement provides a greater  
          level of employee protection.

           FISCAL EFFECT  

          1)No state fiscal impact.  The bill conforms to current state  
            notice requirements.

          2)Violations would constitute a misdemeanor; local law  
            enforcement costs not state-reimbursable.

           COMMENTS  

           1)Background  . Article 1 of the California Constitution provides  
            every California resident with a right to privacy. This right  








                                                                  SB 1841
                                                                  Page  2

            is enforceable through a private right of action when a  
            person's "reasonable expectation of privacy" is violated.   
            Additionally, current law requires employers to inform  
            employees when they listen in on employee telephone calls, and  
            disconnect once it is determined to be a personal call. The  
            State of California currently requires that all state  
            employees having access to the Internet consent that all  
            network activity is the property of the state and not private.  


           2)Purpose . This bill establishes the right to privacy for public  
            and private sector employees with regard to the monitoring of  
            their workplace activities and communications by their  
            employers. The bill does not prohibit monitoring, but requires  
            employers to notify employees about such monitoring.  

           3)Prior Legislation  . Governor Davis vetoed two similar bills by  
            the same author in recent years - SB 1822 of 2000 and SB 1016  
            of 1999.  Both bills prohibited an employer from secretly  
            monitoring the electronic mail or other computer records  
            generated by an employee. In vetoing these bills, the governor  
            expressed concern about placing undue regulatory burdens and  
            legal liabilities on business. 

           Analysis Prepared by  :    Stephen Shea / APPR. / (916) 319-2081