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AB-1466 Employee classification: professional classification: specified educational employees.(2019-2020)

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Date Published: 09/13/2019 09:00 PM
AB1466:v93#DOCUMENT

Enrolled  September 13, 2019
Passed  IN  Senate  September 04, 2019
Passed  IN  Assembly  September 10, 2019
Amended  IN  Senate  August 27, 2019
Amended  IN  Senate  June 14, 2019
Amended  IN  Assembly  April 24, 2019
Amended  IN  Assembly  April 11, 2019
Amended  IN  Assembly  March 26, 2019

CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill
No. 1466

Introduced by Assembly Member Irwin

February 22, 2019

An act to add Section 515.7 to the Labor Code, relating to employment.


LEGISLATIVE COUNSEL'S DIGEST


AB 1466, Irwin. Employee classification: professional classification: specified educational employees.
Existing law provides that 8 hours of labor constitutes a day’s work. Under existing law, any work in excess of 8 hours in one workday and any work in excess of 40 hours in any one workweek, and the first 8 hours worked on the 7th day of work in any one workweek, is required to be compensated at the rate of no less than 11/2 times the regular rate of pay for an employee. Existing law also provides that hours worked in excess of 12 hours in one day as well as hours worked in excess of 8 hours on any 7th day of work are to be compensated at the rate of no less than twice the regular rate of pay of an employee. Existing law exempts from these provisions an individual employed as a teacher at a private elementary or secondary academic institution if specified requirements are met.
Existing law, Wage Order No. 4-2001 of the Industrial Welfare Commission, applies to people employed in professional, technical, clerical, mechanical, and similar occupations and addresses wages, hours, and working conditions. The wage order exempts specified persons, including a person who is employed in a professional capacity whose duties meet certain requirements from various portions of the order. Existing law, Wage Order No. 5-2001 of the Industrial Welfare Commission, applies to persons employed in the public housekeeping industry, addresses wages, hours, and working conditions, and also exempts employees in administrative, executive, or professional capacities if their duties meet certain requirements.
This bill would require that a person who is employed to provide instruction in the education field, as specified, be classified as employed in a professional capacity, and therefore exempt from the wage and hour provisions of Wage Order No. 4-2001, or those of Wage Order No. 5-2001, as well as specified provisions of the Labor Code, if that person meets specified criteria, including certain salary or collective bargaining requirements. The bill would prescribe 2 methods for the calculation of an employee’s salary for these exceptions to apply. The employee would not be required to meet these salary requirements if an applicable collective bargaining agreement classifies the employee as employed in a professional capacity in clear and unambiguous terms, and the employee fulfills the bill’s other requirements.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 Section 515.7 is added to the Labor Code, to read:

515.7.
 (a) An employee in the education field shall be classified as employed in a professional capacity under Wage Order No. 4-2001 of the Industrial Welfare Commission, notwithstanding clause (d) of subparagraph (3) of paragraph (A) of Section 1 of that wage order, or under Wage Order No. 5-2001 of the Industrial Welfare Commission, notwithstanding clause (d) of subparagraph (3) of paragraph (B) of Section 1 of that wage order, and shall be exempt from paragraphs (2), (3), and (9) of subdivision (a) Section 226, and Sections 510 and 512, when all of the following apply:
(1) The employee is employed to provide instruction for a credit-bearing course or laboratory at an independent institution of higher education, as defined in subdivision (b) of Section 66010 of the Education Code.
(2) The employee otherwise meets the duties’ test of Wage Order No. 4-2001 or Wage Order No. 5-2001.
(3) The employee is paid on a salary basis, as defined by Section 541.602 of Title 29 of the Code of Federal Regulations, and receives either of the following:
(A) A monthly salary equivalent to no less than two times the state minimum wage for full-time employment.
(B) Payment for a credit-bearing course or laboratory for all classroom time, preparation, grading, office hours, and other course-related work that is calculated by multiplying the employee’s weekly rate of pay for all course or laboratory-related work, as defined in subdivision (b), by the number of instructional weeks in the applicable academic term.
(b) The weekly pay required by subparagraph (B) of paragraph (3) of subdivision (a) shall be calculated in accordance with this subdivision, as follows:
(1) The following weekly rate of pay that encompasses all course or laboratory-related work:
(A) For each classroom hour in 2020: one hundred seventeen dollars ($117) per week.
(B) For each classroom hour in 2021: one hundred twenty-six dollars ($126) per week.
(C) For each classroom hour in 2022: one hundred thirty-five dollars ($135) per week.
(D) For each classroom hour in 2023 and each year thereafter: a percentage increase to the weekly rate described in subparagraph (C) that is equal to the percentage increase to the state minimum wage calculated in accordance with subdivision (c) of Section 1182.12.
(2) Notwithstanding paragraph (1), if a credit-bearing laboratory, art studio course, clinical course, or other nonlecture course is offered for the same number of credits as a lecture-based course, the minimum weekly payment for the credit-bearing laboratory, art studio course, clinical course, or other nonlecture course shall be that of the lecture-based course offered for the same number of credits by the same institution.
(c) As an alternative to meeting the requirements of paragraph (3) of subdivision (a), an employee shall be classified as employed in a professional capacity pursuant to either Wage Order No. 4-2001, notwithstanding clause (d) of subparagraph (3) of paragraph (A) of Section 1 of that wage order, or Wage Order No. 5-2001, notwithstanding clause (d) of subparagraph (3) of paragraph (B) of Section 1 of that wage order, and shall be exempt from paragraphs (2), (3), and (9) of Section 226, and Sections 510 and 512, when all of the following apply: the employee meets the requirements described in paragraphs (1) and (2) of subdivision (a), and is covered by a bona fide collective bargaining agreement, to the extent the classification of employment in a professional capacity is expressly included in the collective bargaining agreement in clear and unambiguous terms.