BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 592
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          Date of Hearing:   May 4, 2011

                     ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT
                                Sandre Swanson, Chair
                     AB 592 (Lara) - As Amended:  April 25, 2011
           
          SUBJECT  :   Employment: leave: interference.

           SUMMARY  :   This bill would prohibit employers from interfering 
          or restraining an employee's exercise or attempted exercise of 
          their rights under the state's medical leave law.  Specifically, 
           this bill  :

          1)Explicitly prohibits an employer from interfering with or 
            restraining the exercise or attempted exercise of a pregnant 
            employee's right to take job- protected pregnancy disability 
            leave.

          2)States that this bill is declarative of existing law.

           EXISTING FEDERAL LAW  : 

          1)Establishes the Pregnancy Discrimination Act (PDA), as an 
            amendment to the Civil Rights Act of 1964, to prohibit sex 
            discrimination based on pregnancy, childbirth and related 
            medical condition.

          2)Establishes the federal Family and Medical Leave Act (FMLA) of 
            1993 to entitle employees to up to 12 weeks of unpaid leave 
            for the following:

             a)   The birth of a child or the placement of a child for 
               adoption or foster care,

             b)    In order to care for a seriously ill spouse, child or 
               parent of the employee

             c)   The employee has a health condition that prohibits him 
               or her from performing his or her work functions.   

          3)Defines FMLA "eligible employees" as those who have worked 
            with employer from which leave is being requested for at least 
            12 months and provided at least 1250 hours of service during 
            the 12 months preceding the request.









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          4) Prohibits an employer from interfering with an employee's 
            exercise of his or her rights or the attempted exercise of any 
            right provided under FMLA.

          5)Entitles an employee to a right of action to recover the 
            damages or equitable relief against any employer who 
            interferes or attempts to interfere with an employee who 
            exercise's his or her rights under FMLA.  

           



          EXISTING STATE LAW  : 

          1)Establishes the Fair Employment and Housing Act (FEHA) to 
            prohibit an employer from refusing to hire or employ a person 
            based on specified characteristics, including, but not limited 
            to the person's sex and or the person's medical condition.

             a)   Includes in the definition of "sex," as it relates to 
               unlawful employment practices, pregnancy, childbirth and 
               medical conditions related to pregnancy or childbirth. 

          2)Entitles an employee disabled by pregnancy, childbirth or 
            related medical conditions to take pregnancy disability leave 
            (PDL) for a maximum of four months.   

             a)   PDL prohibits employers with five or more employees from 
               refusing to allow an employee disabled by pregnancy the 
               right to take job-protected, unpaid leave. 

          3)Allows an employer to require that a pregnant employee provide 
            reasonable notice of the date pregnancy leave will commence 
            and an estimated duration of the pregnancy leave. 

          4)Establishes the California Family Rights Act (CFRA) which 
            requires employers to grant employees up to 12 weeks of unpaid 
            protected leave, in any 12 month period, to care for a 
            seriously ill spouse, child or parent, or for their own 
            serious medical condition

             a)   Requires employer to grant leave under CFRA for 
               employees who have more than 12 months of service with 
               their employer and at least 1250 hours of service during 








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               the previous 12 month period;

             b)   Includes, in the definition of "family care and medical 
               leave," leave for the reason of the birth of a child of the 
               employee.

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   According to the author, as written, California's 
          PDL and CFRA do not specifically recognize "interference" with 
          an employee's right to leave as a basis for liability. The 
          author notes that, as a result, some courts have found that an 
          employer in California who interferes with an eligible 
          employee's right to take protected leave is not in violation of 
          the law as long as the employer does not actually "refuse" the 
          employee the right to take leave. (see Harris v. CashCall, Inc.)

          The author states that, because PDL and CFRA do not specifically 
          mention "interference" in their statutes, some courts have not 
          recognized interference as an independent cause of action, 
          resulting in inconsistent decisions and confusion for employees 
          and employers alike.

          The author asserts that in  Harris v. CashCall, Inc.  , a female 
          employee's employer issued her a disciplinary action report for 
          taking pregnancy disability leave and left the action report in 
          her employee file.  According to the author, when a supervisor 
          was interviewing the same female for a different position within 
          the company, the supervisor used the abovementioned disciplinary 
          report against her, affecting her ability to retain her 
          employment. 
          The author notes that, although the trial court found that the 
          affected female's employer had interfered with her right to 
          pregnancy leave, the company was not found liable.  The author 
          states that such inconsistency impairs a mother's ability to 
          take protected leave.  

          The author notes that this bill will bring California's 
          pregnancy and family medical leave laws in line with the federal 
          standard by clarifying that "interference" is a basis for 
          liability under California law as well.  According to the 
          author, this bill will minimize confusion among employers and 
          employees, and afford a woman who is eligible to take leave in 
          California, the greatest protection under the law.









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          According to the United States Equal Employment Opportunity 
          Commission (EEOC), the PDA is an amendment to Title VII of the 
          Civil Rights Act of 1964. EEOC notes that discrimination on the 
          basis of pregnancy, childbirth or related medical conditions 
          constitutes unlawful sex discrimination under Title VII, which 
          convers employers with 15 or more employees, including federal, 
          state and local government, employment agencies and labor 
          organizations. EEOC notes that in the fiscal year of 2008, the 
          latest data available, they received 6,285 charges of 
          pregnancy-based discrimination.  EEOC states that they resolved 
          5,292 pregnancy discrimination charges in 2008 and recovered 
          $12.2 million in monetary benefits for charging parties and 
          other aggrieved individuals.     

          The National Partnership for Women & Families (NPWF) asserts 
          that 32 years after the 1978 passage of PDA, the measure is 
          still a critical tool for fighting pregnancy discrimination.  
          NPWF notes that, while PDA was the first law that gave pregnant 
          women and key federal enforcement agencies the legal means to 
          discourage and combat pregnancy discrimination, EEOC has seen a 
          39 percent increase in the number of pregnancy discrimination 
          charges filed since 1992.  According to NPWF, many women face 
          discriminatory pregnancy-related practices that pose serious 
          obstacles to their success and advancement in the workplace. 
          They note that vigorous enforcement of the law and comprehensive 
          public education about what the law requires are essential to 
          ensure that the PDA continues to be a vital tool for creating 
          workplaces free of discrimination.   

          Under the current Fair Employment and Housing Department (FEHD) 
          Regulations (California Code of Regulations, 7291.5), it is 
          unlawful for an employer to harass an employee because of 
          pregnancy or retaliate against an employee because of pregnancy 
          or because a pregnant employee has exercised her right to take a 
          pregnancy disability leave. In addition current proposed 
          amendments to FEHD regulations (as amended at the FEHC meeting 
          on 10/19/10) would add the term "intermittent leave" to PDL 
          regulations that would specify that a pregnant employee can use 
          PDL time for medical appointments for purposes related to 
          pregnancy, childbirth or related medical conditions.

          Supporters of this measure feel this bill makes it clear that 
          interfering with an employee's CFRA rights is forbidden and that 
          by stating this in the CFRA statute itself will better aid 
          employers in conforming their conduct to the law helping to 








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          avoid potential litigation.
           





          PRIOR AND RELATED LEGISLATION  :

          AB 1865 (Kuehl) of 2000, Chapter 1047, Statues of 2000, 
          expressly provided that employees of  any entity covered by the 
          FEHA are personally liable for their acts of harassment, 
          regardless of whether their employer knows or should have known 
          of the conduct and fails to take immediate and appropriate 
          corrective action. 

          AB 1670 (Assembly Judiciary Committee) of 1999, Chapter 591, 
          Statutes of 1999, strengthened and clarified various civil 
          rights and protections afforded by FEHA and other civil rights 
          statutes, including, but not limited to, the right of pregnant 
          workers to be provided with reasonable accommodations by their 
          employers, if the employees requests such accommodations with 
          the advice of their health care providers. 

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          CA Conference Board of the Amalgamated Transit Union
          CA Conference of Machinists
          California Employment Lawyers Association
          California Labor Federation, AFL-CIO
          CA Official Court Reporters Association
          California Nurses Association
          California Teamsters Public Affairs Council
          Engineers and Scientists of California
          International Longshore and Warehouse Union
          Professional and Technical Engineers, Local 21
          UNITE HERE!
          United Food and Commercial Workers-Western State Conference
          Utility Workers Union of America, Local 132

           Opposition 
           
          None on file.








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          Analysis Prepared by  :    Shannon McKinley / L. & E. / (916) 
          319-2091