Nicole Rice

Workforce micromanagement measure stalls for the year

By Nicole Rice, Policy Director, Government Relations

Capitol Update, Jan. 19, 2018

A measure to micromanage manufacturers’ daily workforce decisions and needs failed to advance out of its fiscal committee last week. AB 5 by Assembly Member Lorena Gonzalez Fletcher (D-San Diego) was held by the Assembly Appropriations Committee, a body that is also chaired by the measure’s author. Prior to its defeat, Assembly Member Gonzalez Fletcher announced that the Committee would be holding several bills that day due to its commitment to vote out bills that have fully-formed concepts. Because AB 5 was a two-year bill (having failed to meet last year’s legislative deadline for advancement), the bill needed to be voted out of the Appropriations Committee and approved by the full body of the Assembly before January 31.

AB 5 would have required employers with as few as 10 employees to offer all their existing employees any additional hours of work that may become available before hiring a new employee, temporary employee or contractor. The offer would have to be made in a non-discriminatory and transparent manner and the employer would have to make the offer to all employees whom, in their reasonable judgment, have the skills and experience to perform those additional hours of work.

This is a positive development for manufacturers who would have found it difficult to address their evolving workforce needs under this mandate and to avoid increased litigation exposure given the bill’s multiple enforcement mechanisms, including the Private Attorney General Act (PAGA).

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