BILL ANALYSIS                                                                                                                                                                                                    



                                                          AB 649
                                                          Page  1

Date of Hearing:   April 21, 1999

           ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT 
                    Darrell Steinberg, Chair
        AB 649 (Floyd) - As Introduced:  February 23, 1999
  
SUMMARY  : Requires state agency employers to make payment of  
overtime wages no later than the payday for the next regular  
payroll period.  Specifically,  this bill  :

1)Requires state agency employers to make payment of wages  
  earned, for labor in excess of the normal work period, no  
  later than the payday for the next regular payroll period.

2)Requires the Division of Labor Standards Enforcement (Labor  
  Commissioner) to investigate violations and would require the  
  state agency to pay any claim for those wages that the Labor  
  Commissioner finds to be due, following an investigation and  
  hearing, within 10 days after receiving the Labor  
  Commissioner's ruling, subject to treble damages for willful  
  failure to do so. 
   
  EXISTING LAW  

1)Requires wages earned for labor in excess of the normal work  
  period to be paid no later than the payday for the next  
  regular payroll period.

2)Requires employers, in the event of a dispute over wages, to  
  pay the undisputed portion.
 
3)Requires the Labor Commissioner to inquire diligently for  
  violations of these requirements, among others (sic).

4)Requires an employer to pay a wage claim within 10 days after  
  receipt of notice, following an investigation and hearing,  
  when the Labor Commissioner has determined that the wages are  
  due.

5)Provides that an employer who willfully fails to pay the wages  
  within the 10-day period is liable for treble damages to the  
  employee. 

6)Excludes from these provisions employees of the state,  
  counties or municipalities. 








                                                          AB 649
                                                          Page  2


  FISCAL EFFECT  :   Unknown

  COMMENTS  : 

1)Proponents of this legislation point out that many state  
  workers who are called to work an alternative work schedule or  
  during an emergency situation do not receive their separate  
  overtime check for this work until many months later.  Many  
  times this can take almost a year. 

2)This bill is identical to AB 2522 (Labor Committee) of 1998,  
  which passed the Legislature and was vetoed by Governor  
  Wilson.


  REGISTERED SUPPORT / OPPOSITION  :   

  Support  

California Labor Federation, AFL-CIO
California-Nevada Conference of Operating Engineers

  Opposition  

None registered.
  

Analysis Prepared by  :    Ralph Lightstone / L. & E. /  
(916)319-2091