BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           2340 (Monning)
          
          Hearing Date:  8/2/2010         Amended: 7/15/2010
          Consultant:  Bob Franzoia       Policy Vote: L&IR 4-1
          _________________________________________________________________ 
          ____
          BILL SUMMARY: AB 2340 would add to employee rights, the right to  
          inquire about, request, and take up to three days off for  
          bereavement leave.  The provisions of the bill would not apply  
          to an employee who is covered by a valid collective bargaining  
          agreement that provides for bereavement leave and other  
          specified working conditions.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13     Fund
           Bereavement leave      Minor, if any, compensation costs for  
          General/
                                 public employees                 Special
          Enforcement                       $25            $50   $50   
          Special*
                                            Costs to the Division of Labor  
          Standards
                                            Enforcement (DLSE) within the  
          Department
                                            of Industrial Relations to  
          respond to private
                                            employee complaints

          * Labor Enforcement and Compliance Fund      
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: Currently, state collective bargaining contracts  
          provide up to three (8 hour) days of bereavement leave.   
          (Bargaining Unit 8 (firefighters) provides one duty shift for  
          bereavement leave.  Firefighters' duty shifts last 72 hours or 3  
          days.  Thus, BU 8's procedure is no different than the other  
          bargaining units.)  Supervisors and exempt positions are not  
          covered by collective bargaining agreements.  Under Government  
          Code 19859.3 (b) these employees receive up to 3 days of  
          bereavement leave.  Supervisors may bring bereavement leave  










          issues under the excluded employees grievance procedure per  
          California Code of Regulations 599.859.  Ultimately, the  
          Department of Personnel Administration decides the merit of  
          supervisors' grievances.

          Since bereavement leave is covered under a collective bargaining  
          agreement for rank and file employees, those employees would use  
          their bargaining agreement grievance process to complain about  
          bereavement leave issues.  That is, generally they would discuss  
          the issue with their supervisor.  If the issue didn't settle,  
          they would file a formal grievance with their department's labor  
          relations department.  If the matter still didn't settle, then  
          the issue would be decided at an arbitration hearing.   
          Typically, the Department of Personnel Administration is  
          involved at this elevated stage of the process.

          Since there is no statutory right to bereavement leave for  
          private sector employees, if 
          these employees have a bereavement leave complaint, they would  
          most likely have to identify a company policy or collective  
          bargaining agreement and claim that the policy or
          Page 2
          AB 2340 (Monning)

          bargaining agreement is not being applied equitably.  Under a  
          theory of discrimination or retaliation, these employees could  
          seek redress with DLSE. 

          Information to estimate potential complaints and enforcement  
          costs is scare.  Between 2004-05 and 2008-09, the Department of  
          Fair Employment and Housing (DEFH) has responded to an average  
          of 830 complaints for denial of family care leave under to the  
          California Family Rights Act (CFRA).  However, because CFRA  
          provisions are more restrictive regarding when employers are  
          obligated to provide family leave and apply only to employers  
          with at least 50 employees, DFEH enforcement costs may not  
          provide a valid reference point.

          Another way to estimate potential enforcement costs would be to  
          consider bereavement leave in terms of sick leave usage.  In  
          2009, 27 cases were filed with the DSLE under Labor Code 233 for  
          failure to be able to use sick leave.  

          SB 549 (Corbett) 2007, which proposed providing up to four days  
          off for bereavement leave, was vetoed with the following  
          message:











          This bill, along with two others I am returning without my  
          signature, would significantly expand California's workplace  
          leave laws.  While some expansion of existing law may have some  
          merit, these laws in combination are too expensive and also fail  
          to recognize the need for reforms to current law.

          California has the strongest employment leave and workplace  
          protection laws in the country.  While these laws have been  
          enacted with the best of intentions, they have also caused much  
          confusion for employers and employees.  Unfortunately, many  
          California-only standards in areas such as family leave,  
          overtime, and meal and rest periods have been developed  
          haphazardly and have resulted in needless litigation that has  
          created a perception that California is not friendly to  
          business.

          Instead of expanding the confusing network of laws that  
          presently exist, employers and employees should be working  
          together to eliminate confusion and create a system of workplace  
          laws that protects workers, provides reasonable leave  
          requirements, and offers both employers and employees  
          flexibility to meet their respective needs.