BILL ANALYSIS �
AB 1522
Page 1
( Without Reference to File )
CONCURRENCE IN SENATE AMENDMENTS
AB 1522 (Gonzalez)
As Amended August 29, 2014
Majority vote
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|ASSEMBLY: |52-23|(May 29, 2014) |SENATE: | | |
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(vote not available)
Original Committee Reference: L. & E.
SUMMARY : Requires employers to provide paid sick days, as
specified.
The Senate amendments :
1)Delete amendments to existing law related to itemized wage
statements and instead provide that an employer shall provide
an employee with written notice that sets forth the amount of
paid sick leave available either on the employee's itemized
wage statement or in a separate writing provided on the
designated pay date with the employee's payment of wages.
2)Provide that this bill does not apply to providers of in-home
supportive services.
3)Provide that this bill does not apply an individual employed
by an air carrier as a flight deck or cabin crew member
covered under specified federal labor law, provided the
individual is provided with compensated time off equal to or
exceeding the amount of leave created by this bill.
4)Provide that no accrual or carry over is required if the full
amount of leave is received at the beginning of each year, as
specified.
5)Provide that the provisions of this bill are in addition to
and independent of any other rights, remedies, or procedures
available under any other law and do not diminish, alter, or
negate any other legal rights, remedies, or procedures
available to an aggrieved person.
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6)Provide that the bill applies to an employee who works in
California for 30 (rather than seven) or more days within a
year from the commencement of employment.
7)Specify that an employer is not required to provide additional
paid sick days if the employer has a paid leave policy or paid
time off policy that does either of the following:
a) Satisfies the accrual, carry over and use requirements
of this section.
b) Provides no less than 24 hours or three days of paid
sick leave, or equivalent paid leave or paid time off, for
employee use each year of employment or calendar year or
12-month basis.
8)Provide that an employer has no obligation to allow an
employee's total accrual of paid sick leave to exceed 48 hours
or six days, provided that an employee's rights to accrue and
use paid sick leave are not otherwise limited.
9)Provide that an employee may determine how much paid sick
leave he or she needs to use, provided that the employer may
set a reasonable minimum increment, not to exceed two hours,
for the use of paid sick leave.
10)Provide that the rate of pay shall be the employee's hourly
wage, and establishes a specified methodology for determining
the rate of pay for employees with different hourly wages or
paid by commission, piece rate, or salary basis.
11)Provide that if the need for paid sick leave is foreseeable,
the employee shall provide reasonable advanced notice. If the
need is unforeseeable, the employee shall provide notice as
soon as practicable.
12)Provide that an employer shall provide payment for sick leave
taken by an employee no later than the payday for the next
regular payroll period after the sick leave was taken.
13)Delete a specified employer notice requirement.
14)Specify the information that must be contained on a poster
displayed in the workplace.
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15)Amend existing law related to a specified notice provided to
employees at the time of hire to include specified information
about the provisions created by this bill.
16)Reduce the employer record-keeping requirement from five
years to three years.
17)Provide that in specified civil actions, the Labor
Commissioner or the Attorney General shall be entitled to
collect legal or equitable relief on behalf of the aggrieved
person.
18)Provide that specified administrative penalties and
liquidated damages shall not exceed an aggregate of $4,000.
19)Provide that an employer shall not be assessed any penalty or
liquidated damages under this bill due to an isolated and
unintentional payroll error or written notice error that is
clerical or an inadvertent mistake regarding the accrual or
available use of paid sick leave.
20)Provide that in reviewing for compliance with this bill, the
factfinder may consider as a relevant factor whether the
employer, prior to an alleged violation, has adopted and is in
compliance with a set of policies, procedures, and practices
that fully comply with this bill.
21)Make other related and technical changes.
AS PASSED BY THE ASSEMBLY , this bill:
1)Provided that an employee who works in California for seven or
more days in a calendar year is entitled to paid sick days as
specified in this bill, on and after July 1, 2015.
2)Provided that an employee shall accrue paid sick days at the
rate of not less than one hour per every 30 hours worked,
beginning at the commencement of employment or the operative
date of this bill, whichever is later.
3)Provided that an employee shall be entitled to use accrued
paid sick days beginning on the 90th calendar day of
employment, after which the employee may use paid sick days as
they are accrued.
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4)Provided that an "employee" does not include:
a) An employee covered by a valid collective bargaining
agreement that expressly provides for paid sick days or
similar policy, as specified.
b) An employee in the construction industry covered by a
valid collective bargaining agreement that was entered into
before January 1, 2015, or waives the requirements of this
bill, as specified.
5)Provided that "employer" includes the state, political
subdivisions of the state, and municipalities.
6)Provided that a public authority shall comply with these
requirements for individuals who perform in-home supportive
services, except that the public authority may satisfy these
requirements by entering into a collective bargaining
agreement that provides an incremental hourly wage adjustment
in an amount sufficient to satisfy the accrual requirements of
this bill.
7)Provided that an employer shall provide paid sick days for the
following purposes:
a) Diagnosis, care, or treatment of an existing health
condition of, or preventative care for, an employee or an
employee's family member, as defined.
b) For an employee who is a victim of domestic violence,
sexual assault or stalking, as specified.
8)Provided that paid sick days shall carry over to the following
year of employment, but an employer may limit an employee's
use of paid sick days to 24 hours or three days in each
calendar year of employment.
9)Specified that an employer is not required to provide
additional paid sick days if the employer has a paid leave
policy or paid time off policy that meets the accrual
requirements and other purposes of this section, as specified.
10)Provided that an employer is not required to provide
compensation to an employee for accrued and unused paid sick
days upon separation from employment, except that if an
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employee separates from employment and is rehired within one
year, previously accrued and unused paid sick leave shall be
reinstated.
11)Authorized an employer to lend paid sick days to an employee
in advance of accrual, as specified.
12)Provided that an employer shall not deny an employee the
right to use paid sick days or engage in other adverse
employment actions, as specified.
13)Provided that there shall be a rebuttable presumption of
unlawful retaliation if any employer denies an employee the
right to use paid sick days or takes other specified adverse
action within 30 days of specified protected activities by the
employee.
14)Required an employer to provide each employee with written
notice of these requirements, as specified.
15)Required the employer to retain records for five years
documenting an employee's hours worked and paid sick days
accrued and used, as specified.
16)Directed the Labor Commissioner to coordinate implementation
and enforcement of these requirements and to promulgate
guidelines and regulations.
17)Directed the Labor Commissioner to enforce these
requirements, and establishes administrative procedures,
enforcement actions, and administrative penalties, as
specified.
18)Authorized the Labor Commissioner or the Attorney General to
bring a civil action in a court of competent jurisdiction to
recover relief, as specified, including back pay, penalties,
liquidated damages and attorney's fees and costs.
19)Provided that these requirements do not limit or affect any
laws guaranteeing the privacy of health information, or
information related to domestic violence or sexual assault, as
specified.
20)Provided that these requirements shall not be construed to
discourage or prohibit an employer from the adoption or
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retention of a more generous paid sick days policy.
21)Provided that these requirements do not lessen the obligation
of an employer to comply with a contract, collective
bargaining agreement, employment benefit plan, or other
agreement providing more generous sick days.
22)Provided that these requirements establish minimum standards
and do not preempt, limit or otherwise affect the
applicability of any other law, regulation, requirement,
policy, or standard that provides for greater accrual or use
of employees of sick days or that extends other protections to
an employee.
23)Made related legislative findings and declarations of
legislative intent.
24)Made related and conforming changes.
FISCAL EFFECT : According to the Senate Appropriations
Committee, the Department of Industrial Relations would incur
first year costs of $1.2 million and ongoing costs of $1.1
million. The Department of Justice would incur ongoing costs of
$900,000. In addition, increased enforcement costs related to
the In-Home Supportive Services Program are estimated to be
about $14 million.
COMMENTS : Supporters of this measure argue that millions of
workers in California cannot take a day off when they or someone
in their family falls ill. Under current state law, nothing
requires employers to provide paid sick days, and as a result,
roughly 39% of the workforce earns no sick leave benefits
whatsoever. That leaves seven million Californians with few
options when personal or family needs arise. Supporters state
that a worker without such leave is either expected to work
while sick, risking the health and safety of co-workers and
customers, or stay home and forego wages, jeopardizing that
worker's own ability to survive. This impossible choice is as
unfair as it is unnecessary and has no place in today's economy.
Opponents, including the California Chamber of Commerce, argue
that while many employers voluntarily offer sick leave for
full-time employees, expanding this mandate on all employers
will create a huge burden on employers. For example, many
employers currently offer paid sick leave which accrues on a per
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month or per pay period basis. However, this bill requires them
to completely change their existing policies in order to mirror
the accrual rate proposed under this bill. Opponents also
contend that the new posting and notice requirements, with
additional penalties for noncompliance, puts employers at risk
of litigation. Opponents raise particular concern about some of
the enforcement mechanisms contained in this bill, including the
private right of action.
As introduced, this bill authorized the Labor Commissioner, the
Attorney General, an aggrieved person, or an entity a member of
which is aggrieved to bring specified civil actions for
violations of this bill. Assembly amendments deleted the
authorization for aggrieved persons and specified entities to
bring such civil actions. However, Senate amendments clarify
that the provisions of this bill are in addition to and
independent of any other rights, remedies or procedures
available under any other law and do not diminish, alter or
negate any other legal rights, remedies or procedures available
to an aggrieved person.
Recent amendments exclude providers of in-home supportive
services from this bill. With these amendments, the California
State Council of the Service Employees International Union and
the American Federation of State, County and Municipal Employees
now oppose the bill. They argue that this exclusion makes
in-home supportive services workers second-class citizens and
ineligible for the same benefit that is being afforded to other
workers covered by this bill.
Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091
FN:
0005588