BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2039
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          ASSEMBLY THIRD READING
          AB 2039 (Swanson)
          As Introduced  February 23, 2012
          Majority vote 

           LABOR & EMPLOYMENT      5-1     APPROPRIATIONS      12-5        
           
           ----------------------------------------------------------------- 
          |Ayes:|Swanson, Alejo, Allen,    |Ayes:|Fuentes, Blumenfield,     |
          |     |Furutani, Yamada          |     |Bradford, Charles         |
          |     |                          |     |Calderon, Campos, Davis,  |
          |     |                          |     |Gatto, Ammiano, Hill,     |
          |     |                          |     |Lara, Mitchell, Solorio   |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Morrell                   |Nays:|Harkey, Donnelly,         |
          |     |                          |     |Nielsen, Norby, Wagner    |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Amends the California Family Rights Act (CFRA) to 
          expand the definition of family member.  Specifically,  this 
          bill  :  

          1)Amends the definition of "child" to eliminate reference to the 
            age and dependent status of the child.

          2)Expands the scope of permissible family and medical leave to 
            include leave to care for a sibling, grandparent, grandchild, 
            or parent-in-law with a serious health condition.

          3)Specifies that permissible leave includes leave to care for a 
            domestic partner with a serious health condition. 

           EXISTING LAW  : 

          1)Establishes the CFRA, also known as the Moore-Brown-Roberti 
            Family Rights Act.

          2)Requires employers with 50 or more employees to provide 
            covered employees, upon request, with up to 12 weeks of 
            protected unpaid leave during any 12 month period for the 
            following reasons:

             a)   For the birth of a child or the placement of a child in 








                                                                  AB 2039
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               connection with the adoption or placement in foster care of 
               the child with the employee.

             b)   To care for a parent, spouse or child with a serious 
               health condition.

             c)   Because of the employee's own serious health condition.

          3)Defines "child" as a biological, adopted or foster child, a 
            stepchild, a legal ward, or a child of a person standing in 
            loco parentis, who is either under the age of 18 or is an 
            adult independent child.

          4)Defines an "employer" as either any person who directly 
            employs 50 or more persons to perform services for a wage or a 
            salary, or the state and any political or civil subdivision of 
            the state and cities.

          5)Defines a "parent" as a biological, foster, or adoptive 
            parent, a stepparent, a legal guardian, or other person who 
            stood in loco parentis to the employee when the employee was a 
            child. 

          6)Defines a "serious" health condition as an illness, injury, 
            impairment, or physical or mental condition that involves 
            either inpatient care or continuing treatment or supervision 
            by a health care provider.

          7)Requires an employee to provide the employer with reasonable 
            advance notice of the need for the leave, if foreseeable.

          8)Authorizes an employer to require that an employee request for 
            leave for a serious health condition be certified by a health 
            care provider, as specified, and that it subsequently may be 
            recertified if additional leave is requested.

          9)Establishes a process by whereby an employer may contest the 
            validity of the certification of a serious health condition 
            and obtain an ultimate determination that is final and binding 
            on the employer and the employee. 

           FISCAL EFFECT  :  According to Assembly Appropriations Committee, 
          minor, absorbable General Fund (GF) costs to the Department of 
          Fair Employment and Housing (DFEH) to implement this measure.   








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          DFEH reports it will begin utilizing a new case management 
          system for complaints in spring 2012. This system will enable 
          all complaints to be filed electronically and allow all relevant 
          personnel to have quick and easy access to this information.  
          DFEH expects this system to minimize its workload for complaints 
          filed.  Likewise, DFEH reports the number of complaints filed is 
          down over the last several years.

          Unknown but potentially significant GF costs to the state, as 
          the employer of approximately 200,000 individuals who would 
          receive expanded leave rights. 

           COMMENTS  :  According to the author, the need for job-protected 
          family care and medical leave is critical to workers' physical 
          and emotional well-being, as workers who do not have job 
          protection are presented with the untenable choice of caring for 
          their family members or losing their job.  The author notes that 
          one of the shortcomings of CFRA is that the current definition 
          of "family member" does not adequately reflect the reality of 
          California's families in which siblings care for one another, 
          grandchildren care for grandparents and parent care for adult 
          children.

          A report by Eileen Appelbaum and Ruth Milkman, titled "Leaves 
          that Pay," (LTP Report), does not specifically study unpaid 
          leave, but addresses the general importance of workers having 
          job-protected leave.  According to the LTP Report, the demand 
          for time off from work to address family needs has grown rapidly 
          as family and work patterns have shifted over recent decades.  
          The LTP Report notes that the only major U.S. legislation to 
          address these issues is the 1993 Family and Medical Leave Act 
          (FMLA), which guarantees up to 12 weeks of job protected leave.  
          However, FMLA's coverage is limited to only about half of all 
          workers.  According to the National Center for Children in 
          Poverty, the prospect of lost wages often discourages low-wage 
          workers from taking time off to care for a sick family member. 

          The FMLA covers all public sector workers and private sector 
          workers who work for employers with 50 or more employees on the 
          payroll or within 75 miles of the worksite. In addition, 
          employees must work for at least 12 months and worked 1,250 
          hours or more for the same employer in the year preceding the 
          leave.









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          In addition to unpaid leave, SB 1661 (Kuehl), Chapter 901, 
          Statutes of 2002, established the Paid Family Leave Program, 
          also known as the Family Temporary Disability Insurance Program. 
           This law guarantees California workers up to six weeks of paid 
          family leave at 55% of their base pay.  Deductions from eligible 
          employee wages began on January 1, 2004, and benefits were made 
          payable beginning July 1, 2004.

          Please see the policy committee analysis for additional, 
          more-detailed comments.


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




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