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AB-2932 Workweek: hours and overtime.(2021-2022)



Current Version: 03/24/22 - Amended Assembly

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AB2932:v98#DOCUMENT

Amended  IN  Assembly  March 24, 2022

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 2932


Introduced by Assembly Members Low and Cristina Garcia

February 18, 2022


An act relating to employment. to amend Section 510 of the Labor Code, relating to employment.


LEGISLATIVE COUNSEL'S DIGEST


AB 2932, as amended, Low. Employment: workweek. Workweek: hours and overtime.
Existing law defines and regulates the terms and conditions of employment. Existing law generally defines “workweek” for these purposes and requires that work in excess of 40 hours in a workweek be compensated at a rate of at least 1 1/2 times the employee’s regular rate of pay, subject to certain exceptions. Existing law makes a violation of these provisions a misdemeanor.
This bill would instead require that work in excess of 32 hours in a workweek be compensated at the rate of no less than 1 1/2 times the employee’s regular rate of pay. The bill would require the compensation rate of pay at 32 hours to reflect the previous compensation rate of pay at 40 hours and would prohibit an employer from reducing an employee’s regular rate of pay as a result of this reduced hourly workweek requirement. The bill would exempt an employer with no more than 500 employees from the above provisions. By expanding the scope of a crime, this bill would impose a state-mandated local program.
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 generally establishes that 8 hours of labor constitutes a day’s work and further establishes a 40-hour-workweek.

This bill would declare the intent of the Legislature to enact legislation that would enact a four-day-workweek.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NOYES  

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


SECTION 1.

 Section 510 of the Labor Code is amended to read:

510.
 (a) (1) Eight hours of labor constitutes a day’s work. Any work in excess of eight hours in one workday and any work in excess of 40 32 hours in any one workweek and the first eight hours worked on the seventh day of work in any one workweek shall be compensated at the rate of no less than one and one-half times the regular rate of pay for an employee. Any work in excess of 12 hours in one day shall be compensated at the rate of no less than twice the regular rate of pay for an employee. In addition, any work in excess of eight hours on any seventh day of a workweek shall be compensated at the rate of no less than twice the regular rate of pay of an employee. Nothing The compensation rate of pay at 32 hours shall reflect the previous compensation rate of pay at 40 hours, and an employer shall not reduce an employee’s regular rate of pay as a result of this reduced hourly workweek requirement.
(2) (A) Paragraph (1) does not apply to an employer with no more than 500 employees.
(B) For an employer with no more than 500 employees, eight hours of labor constitutes a day’s work. Any work in excess of eight hours in one workday and any work in excess of 40 hours in any one workweek and the first eight hours worked on the seventh day of work in any one workweek shall be compensated at the rate of no less than one and one-half times the regular rate of pay for an employee. Any work in excess of 12 hours in one day shall be compensated at the rate of no less than twice the regular rate of pay for an employee. In addition, any work in excess of eight hours on any seventh day of a workweek shall be compensated at the rate of no less than twice the regular rate of pay of an employee.
(b) Nothing in this section requires an employer to combine more than one rate of overtime compensation in order to calculate the amount to be paid to an employee for any hour of overtime work. The requirements of this section do not apply to the payment of overtime compensation to an employee working pursuant to any of the following:
(1) An alternative workweek schedule adopted pursuant to Section 511.
(2) An alternative workweek schedule adopted pursuant to a collective bargaining agreement pursuant to Section 514.
(3) An alternative workweek schedule to which this chapter is inapplicable pursuant to Section 554.

(b)

(c) Time spent commuting to and from the first place at which an employee’s presence is required by the employer shall not be considered to be a part of a day’s work, when the employee commutes in a vehicle that is owned, leased, or subsidized by the employer and is used for the purpose of ridesharing, as defined in Section 522 of the Vehicle Code.

(c)

(d) This section does not affect, change, or limit an employer’s liability under the workers’ compensation law.
(e) This section applies to persons who are not exempt from overtime compensation pursuant to Section 515.5, 515.6, 515.7, or 515.8.

SEC. 2.

 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.
SECTION 1.

It is the intent of the Legislature to enact legislation that would enact a four-day-workweek.