BILL ANALYSIS
Appropriations Committee Fiscal Summary
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| |AB 649 (Floyd) |
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|Hearing Date: 8/16/99 |Amended: As introduced |
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|Consultant: David |Policy Vote: PE&R 3-0 |
|Maxwell-Jolly | |
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BILL SUMMARY:
AB 649 requires state agencies to pay overtime by the
payday for the next regular payroll period. The bill
subjects these payment to review by the Labor Commissioner.
Failure to pay wages that the commissioner determines are
due can result in treble damages.
Fiscal Impact (in thousands)
Major Provisions 1999-2000 2000-01 2001-02 Fund
Damages potential cost for damages General &
others
STAFF COMMENTS:
There is no information about the number of times that
state agencies have delayed in the payment of overtime due
workers, so it is difficult to determine the cost of
meeting the standard to which we hold private employers or
the potential for payment of damages.
Delayed payment of overtime happens for a variety of
reasons. If the Legislature and the Governor ever failed to
agree on a budget before the start of a new fiscal year,
the state could be liable for these penalties. A delay at
Cal-Trans occurred due to the establishment of a new
centralized payment system that had some problems during
implementation.
This is a reintroduction of AB 2522 of last year that was
vetoed.