Two labor-backed bills that could place pull your business into labor disputes that you have nothing to do with, passed two Senate committees in the past week.  We oppose both bills.

AB 2416 (Stone; D-Scotts Valley) Unproven Wage Liens.  This bill creates a dangerous and unfair precedent in the wage and hour arena by allowing employees to file liens on an employer’s real or personal property, or property where work was performed, based upon alleged yet unproven wage claims.

AB 1897 (Hernandez; D-West Covina) Labor Contracting; Client Liability.  This bill would force one company to essentially insure the wage and hour obligations, workers’ compensation coverage, and occupational health and safety duties of a separate employer’s employees, which will discourage the use of contractors and their employees.

The CalChamber has identified both bills as “Job Killers,” and a large coalition of business groups are marshalling our forces in Sacramento to educate legislators about negative impacts of this measure.  Both bills move to the Senate Appropriations Committee where we will continue the battle and ask that all of our members get involved.

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