Legislative Update: Fiscal Committees Clear Files; One Job Killer Held in Committee
The Senate and Assembly Appropriations committees cleared their files last week, holding one employment-related job killer and moving another to the Assembly Floor. A third employment-related bill will now go to the Governor.
The Assembly Appropriations Committee did not take up SB 3 (Leno; D-San Francisco/Leyva; D-Chino), which would have unfairly increased employers’ costs while ignoring the economic factors or other costs of employers by increasing the minimum wage by $3.00 over the next two and a half years with automatic increases tied to inflation.
Since April, the California Chamber of Commerce had identified 19 bills as job killers that would have a negative impact on California’s job climate and economic recovery if they were to become law.
CFRA Related Bill to Assembly Floor
The following employment-related bill passed the Assembly Appropriations Committee and will be voted on soon by the entire Assembly:
- SB 406 (Jackson; D-Santa Barbara) Significant Expansion of California Family Rights Act — Increases costs, risk of litigation and less conformity with federal law by dramatically reducing the employee threshold from 50 to at least 25 employees and expanding the family members for whom leave may be taken, which will provide a California-only, separate 12-week protected leave of absence for both small and large employers to administer.
Job Killer to Governor
A bill that, if signed, could significantly drive up litigation costs for all California employers passed the Assembly during a concurrence vote yesterday and is headed to the Governor’s desk.
AB 465 (R. Hernández; D-West Covina) precludes mandatory employment arbitration agreements, which is likely pre-empted by the Federal Arbitration Act. The bill will serve only to increase litigation costs of individual claims, representative actions and class action lawsuits against California employers of all sizes until such legislation can work through the judicial process to be challenged once again.
For more information on the remaining job killer bills, visit www.CAJobKillers.com.