California Legislature—2013–14 Regular Session

Assembly BillNo. 2750


Introduced by Committee on Labor and Employment (Roger Hernández (Chair), Alejo, Chau, Gomez, and Holden)

March 13, 2014


An act to amend Labor Code Section 2055, relating to car washes.

LEGISLATIVE COUNSEL’S DIGEST

AB 2750, as introduced, Committee on Labor and Employment. Car washes.

Existing law regulates the employment practices of car washes and requires employers of car washers to register with the Labor Commissioner and pay a specified registration fee, or be subject to a specified civil fine. Existing law also requires employers of car washers to post a $150,000 bond for the benefit of the state to compensate employees damaged by the employer’s nonpayment of wages, except as specified.

This bill would make nonsubstantive changes to this provision.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1

SECTION 1.  

Section 2055 of the Labor Code is amended to
2read:

3

2055.  

The commissionerbegin delete mayend deletebegin insert shallend insert not permit any employer
4to register, nor may the commissioner permit any employer to
5renew registrationbegin insert,end insert until all of the following conditions are satisfied:

P2    1(a) The employer has applied for registration to the
2commissioner by presenting proof of compliance with the local
3government’s business licensing or regional regulatory
4requirements.

5(b) The employer has obtained a surety bond issued by a surety
6 company admitted to do business in this state. The principal sum
7of the bond shall be not less than one hundred fifty thousand dollars
8($150,000). The employer shall file a copy of the bond with the
9commissioner.

10(1) The bond required by this section shall be in favor of, and
11payable to the people of the State of California and shall be for
12the benefit of any employee damaged by his or her employer’s
13failure to pay wages, interest on wages, or fringe benefits, or
14damaged by violation of Section 351 or 353.

15(2) Thirty daysbegin delete prior toend deletebegin insert beforeend insert the cancellation or termination
16of any surety bond required by this section, the surety shall send
17written notice to both the employer and the commissioner,
18 identifying the bond and the date of the cancellation or termination.

19(3) An employerbegin delete mayend deletebegin insert shallend insert not conduct any business until the
20employer obtains a new surety bond and files a copy of it with the
21commissioner.

22(4) This subdivision shall not apply to an employer covered by
23a valid collective bargaining agreement, if the agreement expressly
24provides for all of the following:

25(A) Wages.

26(B) Hours of work.

27(C) Working conditions.

28(D) An expeditious process to resolve disputes concerning
29nonpayment of wages.

30(c) The employer has documented that a current workers’
31compensation insurance policy is in effect for the employees.

32(d) The employer has paid the fees established pursuant to
33Section 2059.



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