Labor & HR Committee Update
June 27, 2012
Staff Contact: Frank Kerbein
End of Session HR Legislative Summary
The 2012 Legislative session ended on Thursday, June 21, 2012. Here is the status of HR related legislation at that time.
The Business Council supported the following bills:
Wage Theft Prevention Act reform. S.6063-A (Defrancisco)/A.8856 (Gabryszak). This legislation, which has already passed the Senate, would repeal the mandate that all employees receive and provide a signed acknowledgement of an additional annual wage notice.
- Was still under consideration in Assembly at the end of the legislative session; TBC had offered additional amendments to the Assembly to address some concerns of advocates; may still see action if special sessions are called later in the year.
Unemployment insurance wage base bill. S.6850 (Ritchie)/A.9725 (Morelle). Eliminates UI account charges against an employer who released an employee for cause, in instances where the employee obtains and is laid off by a subsequent employer, and excludes from calculation of UI benefits those wages earned from an employer from whom the claimant lost employment under conditions that would disqualify him or her from UI benefits.
- Has not moved out of Labor Committee in either house.
Allow Paycheck Payment cards. S.6288-A (Robach)/A.6894-A (Wright). This bill allows for payment of wages with payroll cards (i.e., debit cards), in addition to checks and direct deposit. It also establishes provisions for issuance and use of payroll cards, including making the use of payroll cards at the discretion of the individual employees, and requirements of at least one free cash withdrawal per pay period.
- This legislation was recently amended to be a “same as,” and discussions are ongoing, but has not advanced out of the Labor Committee in either house.
Wage withholding legislation. A.10785 (Morelle)/S.7790 (Young) This legislation would authorize additional categories of allowable, voluntary wage withholdings by employers and impose additional administrative requirements.
- This bill passed both houses and is expected to be signed by the Governor. The Business Council summary report on this bill is here.
The Business Council opposed the following bills:
Minimum wage. S.6413 (Klein)/A.9148 (Wright). Would increase the minimum wage to $8.50/hour and index future annual increases to the CPI.
- This bill passed the Assembly; no action is expected in the Senate.
DOL Collections for Sole Proprietor contracts. S.4129-C (Golden)/A.6698-B (Silver). Would direct the Department of Labor to intercede on behalf of sole proprietor/independent contractor, for failure to receive prompt payment from a client, regardless of compliance with other provisions of their contract; establishes presumptions in favor of sole proprietors in such actions; and authorizes total recovery and penalties of up to four times the disputed payment plus legal costs.
- This bill passed the Assembly; while it has not been reported from Senate Labor Committee, the sponsor has indicated interest in moving the bill.
Disclosure of Employee Personal Account Credentials. S.6831 (Klein)/A.9654 (Dinowitz). This would prohibit an employer from requesting that an employee or applicant disclose any passwords to electronic social media accounts or services, including those provided by the employer.
- This bill passed the Assembly; we do not expect it to move in the Senate.
Prohibit employer’s use of credit history in employment decisions. A8070-B (Stevenson)/S4905-A (Klein).
- This bill passed the Assembly; no action expected in the Senate.