BILL NUMBER: AB 1562 INTRODUCED
BILL TEXT
INTRODUCED BY Committee on Labor and Employment (Monning (Chair),
Eng, Furutani, Ma, and Portantino)
MARCH 11, 2009
An act to amend Section 2929 of the Labor Code, relating to
employment.
LEGISLATIVE COUNSEL'S DIGEST
AB 1562, as introduced, Committee on Labor and Employment.
Employment: garnishment of wages.
Under existing law, an employer may not terminate an employee
because garnishment of an employee's wages has been threatened or an
employee's wages have been subjected to garnishment for the payment
of one judgment.
This bill would prohibit an employer from terminating an employee
because garnishment of the employee's wages has been threatened or
the employee's wages have been subjected to garnishment for the
payment of 5 or fewer judgments at any one time.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 2929 of the Labor Code is amended to read:
2929. (a) As used in this section:
(1) "Garnishment" means any a
judicial procedure through which the wages of an employee are
required to be withheld for the payment of any
a debt.
(2) "Wages" has the same meaning as that term has under Section
200.
(b) No An employer may
shall not discharge any
an employee by reason of the fact that the garnishment of
his the employee's wages has been
threatened. No An employer may
shall not discharge any
an employee by reason of the fact that his
the employee's wages have been subjected to garnishment
for the payment of one judgment five or fewer
judgments at any one time . A provision of a contract of
employment that provides an employee with less protection than is
provided by this subdivision is against public policy and void.
(c) Unless the employee has greater rights under the contract of
employment, the wages of an employee who is discharged in violation
of this section shall continue until reinstatement notwithstanding
such his or her discharge, but
such the employee's wages shall not continue
for more than 30 days and shall not exceed the amount of wages earned
during the 30 calendar days immediately preceding the date of the
levy of execution upon the employee's wages which resulted in his
or her discharge. The employee shall give notice to his
or her employer of his or her intention to make
a wage claim under this subdivision within 30 days after being
discharged; and, if he the employee
desires to have the Labor Commissioner take an assignment of his
or her wage claim, the employee shall file a wage claim with
the Labor Commissioner within 60 days after being discharged. The
Labor Commissioner may , in his discretion, take
assignment of wage claims under this subdivision as provided for in
Section 96. A discharged employee shall not be permitted to
recover wages under this subdivision if a criminal
prosecution based on the same discharge has been commenced for
violation of Section 304 of the Consumer Credit Protection Act of
1968 (15 U.S.C. Sec. 1674).
(d) Nothing in this section affects any other rights
right the employee may have against his or
her employer.
(e) This section is intended to aid in the enforcement of the
prohibition against discharge for garnishment of earnings provided in
the Consumer Credit Protection Act of 1968 (15 U.S.C. Secs.
1671-1677) and shall be interpreted and applied in a manner which is
consistent with the corresponding provisions of such
that act.