VOLUME 34, NUMBER 20 ● JUNE 20, 2008 Multi-Industry Meal Period Lawsuit Crisis Coalition Advocating Needs Complete Solution Sensible Truck/Bus Replacement Rule The California Chamber of Commerce At an April 9 hearing, the Senate is continuing to urge lawmakers to insist Labor and Industrial Relations The on a comprehensive solution to the meal Committee amended SB 1539 to de- California period litigation crisis. clare the Legislature’s intent to clarify Chamber of The CalChamber is receiving frequent the meal period law, then passed the Commerce, calls from members who are involved in bill by a unanimous vote to provide an along with a meal period lawsuit or who have a cli- opportunity for ongoing discussions to truck ent who is being sued. The calls originate craft a solution to current issues with owners, from a variety of industries and locations. the law. farmers, On April 21, SB 1539 was referred construction contractors and other Comprehensive Solution to the Senate Rules Committee, where it business and community leaders, has Despite claims to the contrary, the subsequently died for missing the end- announced the formation of “Driving CalChamber believes there is a com- of-May deadline to pass its house of Toward a Cleaner California” (DTCC). prehensive solution that would provide origin. The coalition is committed to work- a remedy across all industries, all job ing with the California Air Resources classifications and all employers — both Changes Needed Board (ARB) to craft a sensible truck union and non-union. The CalChamber is calling for a so- and bus replacement rule that both The comprehensive solution was con- lution that will provide both employers cleans the air and keeps California’s tained in the language of CalChamber- and employees with the clarity and flex- economy moving forward. sponsored SB 1539 (R. Calderon; ibility needed to comply with the meal Affects Diesel Trucks/Buses D-Montebello) as introduced on period statute, Labor Code Section 512. February 22. See Meal Period: Page 6 The recently proposed on-road diesel truck and bus replacement rule — set to be voted on by the ARB this October — would have an impact on the more than 1.5 million trucks and buses CalChamber Opposition Helps Stop Unfair Tax used to transport goods and people on California’s roads, highways and farms. Strong opposition from a tax on either motor vehicles or vehicle Starting in 2010, this proposal re- the California Chamber fuel. quires every diesel truck and bus oper- of Commerce, local The bill was scheduled to be heard ating in California today — this chambers and the for the second time in the Assembly includes “those transiting California California business Transportation Committee; however, the See Multi-Industry: Page 6 community has helped hearing was cancelled due to the heavy to stop a CalChamber- opposition to the bill. opposed “job killer” bill that California’s energy prices are already would have increased transportation costs among the highest in the nation. SB 445 by creating a new fuel tax or increased the proposed a tax of up to an additional 10 Inside vehicle registration fee. cents per gallon. This proposed tax plus SB 445 (Torlakson; D-Antioch) would the rising energy prices due to existing Court Upholds Workers’ have assessed an unfair tax on businesses environmental initiatives would have made Comp Reforms: Page 3 and consumers by authorizing specified it more and more difficult for California’s regional transportation agencies to impose See CalChamber: Page 4 JUNE 20, 2008 ● PAGE 2 CALIFORNIA CHAMBER OF COMMERCE Labor Law Corner Step-by-Step Guide to Implementing Alternative Workweek Schedule Step 1: 4 Shift; 4 Separate physical location; or Locate and display the appropriate 4 Recognized subdivision of any such wage order. work unit. The wage orders contain the specific steps that employers must take in order to Step 3: implement a valid alternative workweek schedule. Develop and propose a written alternative workweek schedule to ● Before implementing an alternative Jessica Hawthorne employees in the affected work unit. Employment Law workweek policy, identify and read the Counsel wage order that covers your company. A ● Designate a regularly scheduled free Wage Order Wizard is available at alternative workweek in which the www.hrcalifornia.com. specified number of workdays and How do I implement an alternative work hours are regularly recurring. workweek schedule in keeping with ● Post the wage order applicable to your business in a prominent spot in your The actual days worked within the current requirements? alternative workweek schedule do not Follow the steps below to create and workplace, such as a break room or any other place employees frequently visit. need to be specified in the agreement. implement an alternative workweek The schedule must provide no fewer than policy for your company. Step 2: two consecutive days off within each workweek, except for Wage Orders 4, 5, 9, Determine the employees affected by the 10, 15 and 16. wage order. You may propose a single work Employees in different work units may schedule that would become the standard work a different schedule, or there may be California Chamber Officers schedule for all workers in the work unit, many different schedules within a work or a menu of work schedule options from Edwin A. Guiles unit. which each employee in the work unit Chair ● Define the work unit, which would be entitled to choose. may include one or more non-exempt Frederick R. Ruiz If you offer a menu of choices, you employees in a: may limit the choices of schedules on First Vice Chair 4 Division; some non-discriminatory basis, such as Larree M. Renda 4 Department; seniority or random selection, as long as Second Vice Chair 4 Job classification; this limitation is approved as part of the S. Shariq Yosufzai two-thirds vote of the work unit. Another Third Vice Chair option would be to divide the workforce Russell Gould into separate work units and propose a Immediate Past Chair Seminars/Trade Shows different alternative workweek schedule Allan Zaremberg for each unit. President and Chief Executive Officer For more information, visit l Prepare a written disclosure of the Alert (ISSN 0882-0929) is published weekly www.calchamber.com/events. effects of the proposed schedule on the during legislative session with exceptions by employees’ wages, hours and benefits. For California Chamber of Commerce, 1215 K Business Resources Street, Suite 1400, Sacramento, CA 95814- Cities Readiness Initiative. County of example, specify: 3918. Subscription price is $50 paid through Sacramento. June 25, McClellan 4 The specific days those employees membership dues. Periodicals Postage Paid at will work, if you are proposing only one Sacramento, CA. Business Park. (916) 784-9202. International Trade schedule. POSTMASTER: Send address changes to Brazil Infrastructure Projects Roadshow. 4 The amount of time that will be Alert, 1215 K Street, Suite 1400, Sacramento, charged to an employee’s vacation or sick CA 95814-3918. Publisher: Allan Zaremberg. Brazilian Embassy. June 25, San Executive Editor: Ann Amioka. Associate Francisco. (202) 238-2770. time if they miss a day. For example, if the Editor: Blake Ellington. Art Director: Marcy Customs and Compliance Seminar. Bay workday is 10 hours, will you charge eight Wacker. Graphics Assistant: Jason Untalan. hours or 10 hours? Capitol Correspondent: Christine Haddon. Area World Trade Center. June 26, Photographer: Aaron Lambert. Oakland. (510) 251-5900. 4 What impact the alternate workweek plan will have on sick, vacation or paid Permission granted to reprint articles if credit BIS Export Management Seminar. U.S. is given to the California Chamber of Com- Bureau of Industry and Security. July time off (PTO) accruals. Will employees merce Alert, and reprint is mailed to Alert at 9-10, San Jose. (408) 998-8806. accrue the same amount of sick, vacation address above. Labor Law or PTO, but at an accelerated rate — e.g., E-mail: [email protected]. HR 201: Labor Law Update On-Demand for every day worked? There are 260 days Home page: www.calchamber.com. Web Seminar. CalChamber. 90 in a work year (52 weeks x 5 days), minutes. (800) 331-8877. See Step-by-Step: Page 4 CALIFORNIA CHAMBER OF COMMERCE JUNE 20, 2008 ● PAGE 3 CalChamber in Court Court Upholds Workers’ Comp Reforms The 1st District maintain the workers’ compensation receive for a single industrial accident. The Court of Appeal has system, and with that power comes the Legislature clearly has the constitutional upheld the 24-visit discretion to restrict access to or deny authority to make that determination.” cap on chiropractic workers’ compensation benefits when According to Sovocool, who appeared care, occupational appropriate. for the CalChamber at the oral argument, and physical therapy The workers’ compensation reforms the decision is particularly important enacted as part of the were designed to reduce the skyrocketing because it eliminates what could otherwise 2003-2004 workers’ costs of workers’ compensation premiums be a flood of constitutional challenges to the compensation for employers, bring businesses back to integrity of the reforms. reforms. California and bolster the state’s economy. In the case of Jose Facundo-Guerrero In making its revisions, the Legislature Workers’ Comp Reforms v. Nurserymen’s Exchange, Insured by weighed the various interests involved, The reform legislation, CalChamber- Argonaut Insurance Company, the issue including the need of the injured workers supported SB 228 (Alarcón; D-San before the court was whether such a cap to have adequate and appropriate access to Fernando Valley) and SB 899 was constitutional. care and the need of employers to have a (Poochigian; R-Fresno) made fundamental The California Chamber of Commerce reasonably priced workers’ compensation changes in the way the workers’ filed a “friend of the court” brief arguing system.