Bill Text: CA AB3075 | 2019-2020 | Regular Session | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Wages: enforcement.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2020-09-30 - Chaptered by Secretary of State - Chapter 357, Statutes of 2020. [AB3075 Detail]
Download: California-2019-AB3075-Amended.html
NOYES
Local Program:
NOYES
section: section and in Section 1206:SECTION 1. Section 1041 of the Labor Code is amended to read: 1041.
Bill Title: Wages: enforcement.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2020-09-30 - Chaptered by Secretary of State - Chapter 357, Statutes of 2020. [AB3075 Detail]
Download: California-2019-AB3075-Amended.html
|
Amended
IN
Assembly
May 04, 2020 |
CALIFORNIA LEGISLATURE—
2019–2020 REGULAR SESSION
Assembly Bill
No. 3075
| Introduced by Assembly Member Gonzalez |
February 21, 2020 |
An act to amend Section 1041 of the Labor Code, relating to employment. Sections 110 and 202 of the Corporations Code, and to amend Sections 1205 and 1206 of the Labor Code, relating to employment.
LEGISLATIVE COUNSEL'S DIGEST
AB 3075, as amended, Gonzalez.
Literacy education: employer assistance. Wages: enforcement.
(1) Existing law provides for the formation and governance of various business entities, including, but not limited to, limited liability companies, limited liability partnerships, and corporations. Existing law requires a business entity to file specified documents disclosing information regarding the entity with the Secretary of State, including, but not limited to, the articles of incorporation.
This bill would provide that articles of incorporation are not in conformance with the law if any filer is an owner, director, officer, managing agent, or any other person acting on behalf of an employer, as defined, that has an outstanding
judgment issued by the Division of Labor Standards Enforcement or a court of law for violation of any wage order or provision of the Labor Code. The bill would require the Secretary of State to established and maintain a list of employers who have outstanding wage judgments or citations against them.
Existing law requires articles of incorporation to contain certain information, including specified statements regarding the purpose for, and activities of, the corporation.
This bill would require the articles of incorporation to also contain a statement signed by the filers, under penalty of perjury, that the filer is not an owner, director, officer, managing agent, or any other person acting on behalf of an employer, as defined, that has an outstanding judgment issued by the Division of Labor Standards Enforcement or a
court of law for violation of any wage order or provision of the Labor Code. Because this bill would expand the crime of perjury, it would impose a state-mandated local program.
(2) Under existing law, the Labor Commissioner enforces statutory wage requirements, including minimum wage amounts. Existing law specifies that nothing in these statutory provisions precludes a local jurisdiction from enforcing local labor standards that are more stringent than the state standards.
This bill would, instead, provide that nothing in the statutory provisions precludes a local jurisdiction from enforcing local labor standards that are at least as stringent as the state standards.
(3) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Existing law, the Employee Literacy Education Assistance Act, requires every private employer regularly employing 25 or more employees to reasonably accommodate any employee who reveals a problem of illiteracy and requests employer assistance in enrolling in an adult literacy education program.
This bill would make a nonsubstantive change to these provisions.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee:Bill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 110 of the Corporations Code is amended to read:110.
(a) Upon receipt of any instrument by the Secretary of State for filing pursuant to this division, if it conforms to law, it shall be filed by, and in the office of, the Secretary of State and the date of filing endorsed thereon. Except for instruments filed pursuant to Section 1502, the date of filing shall be the date the instrument is received by the Secretary of State unless the instrument provides that it is to be withheld from filing until a future date or unless in the judgment of the Secretary of State the filing is intended to be coordinated with the filing of some other corporate document which cannot be filed. The Secretary of State shall file a document as of any requested future date not more than 90 days after its receipt, including a Saturday, Sunday, or legal holiday, if the document is received in the Secretary of State’s office at least one business day prior to the requested date of filing. An instrument does not fail to conform to law because it is not accompanied by the full filing fee if the unpaid portion of the fee does not exceed the limits established by the policy of the Secretary of State for extending credit in these cases.(b) (1) Articles of incorporation are not in conformance with the law for purposes of this section if any filer is an owner, director, officer, managing agent, or any other person acting on behalf of an employer that has an outstanding judgment issued by the Division of Labor Standards Enforcement or a court of law for violation of any wage order or provision of the Labor Code.
(2) The Secretary of State shall establish and maintain a current list of employers and any owner, director, officer, managing agent, or any other person acting on behalf of an employer, who is a current wage-order judgment debtor or a recipient of citations from the Division of Labor Standards Enforcement.
(3) For purposes of this subdivision, the following terms have the following meanings:
(A) “Other person acting on behalf of an employer” is limited to a natural person who is an owner, director, officer, or managing agent of the employer.
(B) “Managing Agent” has the same meaning as set forth in subdivision (b) of Section 3294 of the Civil Code.
(4) Nothing in this subdivision shall be
construed to limit the definition of employer under existing law.
(b)
(c) If the Secretary of State determines that an instrument submitted for filing or otherwise submitted does not conform to law and returns it to the person submitting it, the instrument may be resubmitted accompanied by a written opinion of the member of the State Bar of California submitting the instrument, or representing the person submitting it, to the effect that the specific provision of the instrument objected to by the Secretary of State does conform to law and stating the points and authorities upon which the opinion is based. The Secretary of State shall rely, with
respect to any disputed point of law (other than the application of Sections 201, 2101, and 2106), upon that written opinion in determining whether the instrument conforms to law. The date of filing in that case shall be the date the instrument is received on resubmission.
(c)
(d) Any instrument filed with respect to a corporation (other than original articles) may provide that it is to become effective not more than 90 days subsequent to its filing date. In case such a delayed effective date is specified, the instrument may be prevented from becoming effective by a certificate stating that by appropriate corporate action it has been revoked and is null and void, executed in
the same manner as the original instrument and filed before the specified effective date. In the case of a merger agreement, the certificate revoking the earlier filing need only be executed on behalf of one of the constituent corporations. If no revocation certificate is filed, the instrument becomes effective on the date specified.
SEC. 2.
Section 202 of the Corporations Code is amended to read:202.
The articles of incorporation shall set forth:(a) The name of the corporation; provided, however, that in order for the corporation to be subject to the provisions of this division applicable to a close corporation (Section 158), the name of the corporation must contain the word “corporation,” “incorporated,” or “limited” or an abbreviation of one of such words.
(b) (1) The applicable one of the following statements:
(A) The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the General Corporation Law of California other than the banking business, the trust company
business or the practice of a profession permitted to be incorporated by the California Corporations Code; or
(B) The purpose of the corporation is to engage in the profession of ____ (with the insertion of a profession permitted to be incorporated by the California Corporations Code) and any other lawful activities (other than the banking or trust company business) not prohibited to a corporation engaging in such profession by applicable laws and regulations.
(C) Filers shall sign under penalty of perjury that the purpose of the corporation is lawful and that the filer is not an owner, director, officer, managing agent, or any other person acting on behalf of an employer, that has an outstanding judgment issued by the Division of Labor Standards Enforcement or a court of law for violation of any
wage order or provision of the Labor Code.
(2) In case the corporation is a corporation subject to the Banking Law (Division 1.1 (commencing with Section 1000) of the Financial Code), the articles shall set forth a statement of purpose which is prescribed in the applicable provision of the Banking Law.
(3) In case the corporation is a corporation subject to the Insurance Code as an insurer, the articles shall additionally state that the business of the corporation is to be an insurer.
(4) If the corporation is intended to be a “professional corporation” within the meaning of the Moscone-Knox Professional Corporation Act (Part 4 (commencing with Section 13400) of Division 3), the articles shall additionally contain the statement required by Section 13404.
The articles shall not set forth any further or additional statement with respect to the purposes or powers of the corporation, except by way of limitation or except as expressly required by any law of this state other than this division or any federal or other statute or regulation (including the Internal Revenue Code and regulations thereunder as a condition of acquiring or maintaining a particular status for tax purposes).
(c) The name and street address in this state of the corporation’s initial agent for service of process in accordance with subdivision (b) of Section 1502.
(d) The initial street address of the corporation.
(e) The initial mailing address of the corporation, if different from the initial street address.
(f) If the corporation is authorized to issue only one class of shares, the total number of shares which the corporation is authorized to issue.
(g) If the corporation is authorized to issue more than one class of shares, or if any class of shares is to have two or more series:
(1) The total number of shares of each class the corporation is authorized to issue, and the total number of shares of each series which the corporation is authorized to issue or that the board is authorized to fix the number of shares of any such series;
(2) The designation of each class, and the designation of each series or that the board may determine the designation of any such series; and
(3) The rights, preferences, privileges, and restrictions granted to or
imposed upon the respective classes or series of shares or the holders thereof, or that the board, within any limits and restrictions stated, may determine or alter the rights, preferences, privileges, and restrictions granted to or imposed upon any wholly unissued class of shares or any wholly unissued series of any class of shares. As to any series the number of shares of which is authorized to be fixed by the board, the articles may also authorize the board, within the limits and restrictions stated therein or stated in any resolution or resolutions of the board originally fixing the number of shares constituting any series, to increase or decrease (but not below the number of shares of such series then outstanding) the number of shares of any such series subsequent to the issue of shares of that series. In case the number of shares of any series shall be so decreased, the shares constituting such decrease shall resume the status which they had prior to the adoption of the resolution originally fixing the
number of shares of such series.
SEC. 3.
Section 1205 of the Labor Code is amended to read:1205.
(a) As used in this(1) “Local jurisdiction” means any city, county, district, or agency, or any subdivision or combination thereof.
(2) “State agency” means any state office, officer, department, division, bureau, board, commission, or agency, or any subdivision thereof.
(3) “Labor standards” means any legal requirements regarding wages paid, hours worked, and other
conditions of employment.
(b) Nothing in this part shall be deemed to restrict the exercise of local police powers in a more stringent manner. manner that is at least as stringent as set forth in this code.
(c) When a local jurisdiction expends funds that have been provided to it by a state agency, operates a program that has received assistance from a state agency, or engages in an activity that has received assistance from a state agency, labor standards established by the local jurisdiction through exercise of local police powers or spending powers shall take effect with regard to that expenditure, program, or activity, so long as those labor standards are not in explicit conflict with, or
explicitly preempted by, state law. A state agency may not require as a condition to the receipt of state funds or assistance that a local jurisdiction refrain from applying labor standards established by the local jurisdiction to expenditures, programs, or activities supported by the state funds or assistance in question.
SEC. 4.
Section 1206 of the Labor Code is amended to read:1206.
(a) Notwithstanding any other provision of law, this code establishes minimum penalties for failure to comply with wage-related statutes and regulations.(b) It is the intent of the Legislature to authorize local jurisdictions to enforce labor standards requirements regarding the payment of wages that are at least as stringent as those in this code.
SEC. 5.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.(a)Every private employer regularly employing 25 or more employees shall reasonably accommodate and assist an employee who reveals a problem of illiteracy and requests employer assistance in enrolling in an adult literacy education program, provided that this reasonable accommodation does not impose an undue hardship on the employer.
(b)For purposes of this section, employer assistance includes, but is not limited to, providing the employee with the locations of local literacy education programs or arranging for a literacy education
provider to visit the jobsite.
