Bill Text: CA SB1284 | 2017-2018 | Regular Session | Amended

California Senate Bill 1284 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Employers: annual report: pay data.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2018-08-16 - August 16 hearing: Held in committee and under submission. [SB1284 Detail]

Download: California-2017-SB1284-Amended.html

Amended IN Senate April 24, 2018

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Senate Bill

No. 1284

Introduced by Senator Jackson

February 16, 2018

An act to add Chapter 7.2 (commencing with Section 160) to Division 1 of the Labor Code, relating to employment.

LEGISLATIVE COUNSEL'S DIGEST

SB 1284, as amended, Jackson. Employers: annual report: pay data.

Existing law establishes the Department of Industrial Relations in the Labor and Workforce Development Agency to foster, promote, and develop the welfare of the wage earners of California, to improve their working conditions, and to advance their opportunities for profitable employment. Existing law establishes within the department the Division of Labor Standards Enforcement, which is vested with the general duty of enforcing various labor laws. Existing law creates the Labor Enforcement and Compliance Fund, moneys in which, upon appropriation by the Legislature, are available to support the Division of Labor Standards Enforcement, including, among other things, enforcement of laws prohibiting wage differentials.

This bill would require, on or before September 30, 2019, and on or before September 30 each year thereafter, an a private employer ~~that is incorporated under the laws of this state~~ that has 100 or more employees to submit a pay data report to the Department of Industrial ~~Relation,~~ Relations, that contains specified information. This bill would require the department to make the reports available to the ~~Secretary of State, the~~ Department of Fair Employment and ~~Housing, and the Commission on the Status of Women and Girls~~ Housing upon request. This bill would impose a civil penalty of $500 on any employer who does not comply with the reporting requirement, and would require any penalties collected to be deposited into the Labor Enforcement and Compliance Fund, to be allocated upon appropriation by the Legislature to the Division of Labor Standards Enforcement to enforce wage differential laws. This bill would make it unlawful for any officer or employee of the department or the Department of Fair Employment and Housing to make public in any manner whatever any individually identifiable information obtained from this report, as specified.

The California Public Records Act requires a public agency to make public records available for inspection, unless an exemption from disclosure applies.
This bill would provide that any information disclosed to the department pursuant to this bill be considered confidential information and not subject to disclosure pursuant to the California Public Records Act, except as specified.

Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO

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

SECTION 1.

Chapter 7.2 (commencing with Section 160) is added to Division 1 of the Labor Code, to read:

CHAPTER 7.2. Annual Pay Data Report

160.

(a) On or before September 30, 2019, and on or before September 30 each year thereafter, an a private employer ~~that is incorporated under the laws of this state~~ that has 100 or more employees shall submit a pay data report to the department. The department shall make the reports available to ~~the Secretary of State,~~ the Department of Fair Employment and ~~Housing, and the Commission on the Status of Women and Girls~~ Housing upon request.

(b) The pay data report shall include the following information:

(1) The number of employees by race, ethnicity, and sex in each of the following job categories:

(A) Executive or senior level officials and managers.

(B) First or mid level officials and managers.

(D) Technicians.

(E) Sales workers.

(F) Administrative support workers.

(G) Craft workers.

(H) Operatives.

(I) Laborers and helpers.

(J) Service workers.

(2)The number of employees, identified by race, ethnicity, and sex, whose pay shown on the Internal Revenue Service Form W-2 for 12 months was in the pay bands used by the United States Bureau of Labor Statistics in the Occupation Employment Statistics survey.
(c)An employer shall identify each employee’s total earnings as shown on the Internal Revenue Service Form W-2 for a 12-month period looking back from any pay period between July 1 and September 30 of each reporting year.
(2) The number of employees by race, ethnicity, and sex, whose annual earnings fall within each of the pay bands used by the United States Bureau of Labor Statistics in the Occupation Employment Statistics survey. For purposes of establishing these numbers, an employer shall use each employee’s total earnings as shown on the Internal Revenue Service Form W-2 for a 12-month period looking back from any pay period between July 1 and September 30 of each reporting year. Employers shall tabulate and report the number of employees whose W-2 earnings for the prior 12 months fell within each pay band.
~~(d)~~

(c) For part-time and partial-year employment, the employer shall include the total number of hours worked by each employee counted in each pay band over the last 12 months.

~~(e)~~

(d) For employers with multiple establishments, the employer shall submit a report for each establishment and a consolidated report that includes all employees.

~~(f)~~

(e) The report shall include a section for employers to provide clarifying remarks regarding any of the information provided. An employer is not required to provide clarifying remarks.

~~(g)~~

(f) If an employer is required to file an Employer Information Report, otherwise known as the EEO-1 Report, with the United States Equal Employment Opportunity Commission or other federal agency that includes the same or substantially similar pay data information required under this section, the employer may satisfy compliance with this section by submitting the Employer Information Report to the department.

~~(h)~~

(g) (1) An employer who does not comply with this section is subject to a civil penalty of five hundred dollars ($500).

(2) Any civil penalties collected pursuant to this section shall be deposited into the Labor Enforcement and Compliance Fund, created pursuant to subdivision (e) of Section 62.5, and upon appropriation by the Legislature, shall be allocated to the Division of Labor Standards Enforcement to enforce Section 1197.5.

~~(i)~~

(h) For purposes of this section, both of the following definitions shall apply:

(1) “Employee” means an individual on an employer’s payroll, including a part-time individual, for whom the employer is required to withhold federal social security taxes from that individual’s wages.

(2) “Establishment” means an economic unit producing goods or services.

(i) It shall be unlawful for any officer or employee of the department or the Department of Fair Employment and Housing to make public in any manner whatever any individually identifiable information obtained pursuant to their authority under this section prior to the institution of any proceeding under Section 1197.5 of this code or Section 12940 of the Government Code involving such information. For the purposes of this subdivision, “individually identifiable information” includes data that is associated with a specific person or business.
(j) Any information disclosed to the department pursuant to this section shall be considered confidential information and not subject to disclosure pursuant to the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code).
(k) Notwithstanding subdivision (i), the department or the Department of Fair Employment and Housing may develop and publicize aggregate reports based on the data obtained pursuant to their authority under this section, provided that the aggregate reports are reasonably calculated to prevent the association of any data with any individual business or person.