Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to verify an individuals legal status or authorization to work prior to providing services to that individual in accordance with procedures established under federal law. Existing law specifies that proof of legal status or authorization to work includes specified documents providing evidence of legal residence or authorization to work in the United States. It also specifies that those provisions requiring verification of an individuals legal status or authorization to work prior to providing employment services do not apply to employment services offered by school districts under secondary school and adult education programs.

Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to post in a prominent location in the workplace a notice stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agencys or organizations employment services that are funded by the federal or state government, as specified.

This bill would repeal the above-described requirements.

Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to verify an individuals legal status or authorization to work prior to providing services to that individual in accordance with procedures established under federal law. Existing law specifies that proof of legal status or authorization to work includes specified documents providing evidence of legal residence or authorization to work in the United States. It also specifies that those provisions requiring verification of an individuals legal status or authorization to work prior to providing employment services do not apply to employment services offered by school districts under secondary school and adult education programs.

Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to post in a prominent location in the workplace a notice stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agencys or organizations employment services that are funded by the federal or state government, as specified.

This bill would repeal the above-described requirements.

Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to verify an individuals legal status or authorization to work prior to providing services to that individual in accordance with procedures established under federal law. Existing law specifies that proof of legal status or authorization to work includes specified documents providing evidence of legal residence or authorization to work in the United States. It also specifies that those provisions requiring verification of an individuals legal status or authorization to work prior to providing employment services do not apply to employment services offered by school districts under secondary school and adult education programs.

Existing law requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to post in a prominent location in the workplace a notice stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agencys or organizations employment services that are funded by the federal or state government, as specified.

This bill would repeal the above-described requirements.

 THIRD READING  

Bill No: AB 2532

Author:

:

Vote:

SENATE LABOR & IND. REL. COMMITTEE: 3-1, 6/8/16

AYES: Mendoza, Leno, Mitchell

NOES: Stone

NO VOTE RECORDED: Jackson

SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8

ASSEMBLY FLOOR: 54-20, 5/19/16 - See last page for vote

SUBJECT:

SOURCE: Mexican American Legal Defense Education Fund

DIGEST: This bill repeals the requirement to verify an individual's legal status or authorization to work prior to them receiving employment services from state or local government agencies or any private contracting agencies. This bill also repeals the associated workplace posting requirement regarding the need for such verification.

ANALYSIS:

Existing law:

1. Requires each state or local government agency or community action agency, or any private organization contracting with them, that provides employment services such as job training, retraining, or placement, to verify an individual’s legal status or authorization to work prior to providing those services to that individual (Unemployment Insurance (UI) Code §9601.5).
2. Specifies that proof of legal status or authorization to work includes a social security card, immigration visa, birth certificate or passport, among others (UI Code §9601.5).
3. Requires the agencies or organizations described above that provide specified employment services to post a notice in the workplace stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agency’s or organization’s employment services that are funded by the federal or state government (UI Code §9601.7).

This bill:

1. Repeals the requirement to verify an individual's legal status or authorization to work prior to them receiving employment services from state or local government agencies or any private contracting agencies.
2. Repeals the associated workplace posting requirement that informs workers that only citizens or those legally authorized to work in the U.S. can use employment services being provided by these agencies.

Comments

Brief background on the Immigration Reform and Control Act of 1986 (IRCA). IRCA was enacted into U.S. law as an attempt to control and deter unlawful immigration to the United States. Its major provisions called for the legalization of undocumented persons who had been continuously present in the U.S. since 1982, the legalization of certain agricultural workers, sanctions for employers who knowingly hire undocumented workers, and increased enforcement at U.S. borders.

IRCA required employers to attest to their employees' immigration status, through the establishment of the I-9 Form, and made it illegal to hire or recruit undocumented workers knowingly, among other things. IRCA also states that in terms of employment in the United States, it is unlawful for a person or other entity knowingly to recruit or refer for a fee an unauthorized person, or to ignore the verification requirements for providing these services.

Need for this bill? SB 733 (Russell, Chapter 819, Statutes of 1993) added Sections 9601.5 and 9601.7 to the UI Code (see “Existing law” section above). The author argues that the law was always of questionable constitutionality because federal law already regulates those employment agents who “recruit or refer for a fee” or in other words, provide employment services, under IRCA. This law expressly preempts “any State or local law imposing civil or criminal sanctions (other than through licensing and similar laws) upon those who employ, or recruit or refer for a fee for employment, unauthorized aliens.” (8 U.S.C. § 1324a (h)(2).)

In short, the author argues that the sections of the UI Code in question are not necessary and burdensome because they already fall under the purview of federal law. In this case, the IRCA prohibits state preemptions or interference with federal law on this issue. The author states that AB 2532 repeals these sections and eliminates a problematic and discriminatory redundancy with federal law.

FISCAL EFFECT: Appropriation: Fiscal Com.: Local:

SUPPORT: (Verified 6/27/16)

Mexican American Legal Defense Education Fund (source)

American Civil Liberties Union of California

California Immigrant Policy Center

Worksafe

OPPOSITION: (Verified 6/27/16)

None received

ARGUMENTS IN SUPPORT: Proponents state that this bill removes two provisions of California law sponsored by the nativist organization Federation for American Immigration Reform (FAIR). California UI Code §9601.5 and 9601.7 were enacted two decades ago in an era of heightened anti-immigrant lawmaking in the state. Proponents assert that these two UI Code sections are preempted by federal law and that their continued enforcement would subject California to potential legal action. Proponents add that the United States Supreme Court recently held that federal law, since the 1986 enactment of IRCA, provides a “comprehensive framework” to address the employment of unauthorized immigrants and does not permit state legislation within the area addressed by the framework. Because UI Code Sections 9601.5 and 9601.7 could result in civil sanctions for a violation, the two provisions are expressly preempted under IRCA so far as they apply to employment services agencies that charge to recruit or refer. Moreover, to the extent the provisions apply to agencies that provide services for free, they are impliedly preempted because Congress, in enacting IRCA, decided not to regulate such free services as part of its comprehensive framework. Also proponents believe that the notice-posting obligation in UI Code Section 9601.7 exacerbates these legal concerns and imposes unnecessary added costs on businesses. Finally, proponents contend that AB 2532 would do nothing to change immigrant eligibility for any government services, which is regulated by other provisions of federal and state law. Nor would this bill change the federal obligation that employers face with respect to employment of authorized workers and the duty to check the work authorization of new hires.

ASSEMBLY FLOOR: 54-20, 5/19/16

AYES: Achadjian, Alejo, Arambula, Atkins, Baker, Bloom, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chau, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Hadley, Roger Hernández, Holden, Irwin, Jones-Sawyer, Lackey, Levine, Linder, Lopez, Low, Medina, Mullin, Nazarian, O'Donnell, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Mark Stone, Thurmond, Ting, Weber, Wood, Rendon

NOES: Travis Allen, Bigelow, Brough, Chávez, Beth Gaines, Gallagher, Gray, Grove, Harper, Jones, Maienschein, Mayes, Melendez, Obernolte, Olsen, Patterson, Steinorth, Wagner, Waldron, Wilk

NO VOTE RECORDED: Chang, Dahle, Kim, Mathis, McCarty, Williams

Prepared by:

6/29/16 15:46:02

**** END ****

SENATE COMMITTEE ON LABOR AND INDUSTRIAL RELATIONS

Senator Tony Mendoza, Chair

2015 - 2016 Regular

Bill No: AB 2532 Hearing Date: June 8, 2016

Subject: Employment services: verification

KEY ISSUE

Should the Legislature repeal the requirement to verify an individual's legal status or authorization to work prior to them receiving employment services from state or local government agencies or any private contracting agencies?

ANALYSIS

Existing law

• Requires each state or local government agency or community action agency, or any private organization contracting with them, that provides employment services such as job training, retraining, or placement, to verify an individual’s legal status or authorization to work prior to providing those services to that individual (Unemployment Insurance Code §9601.5).
• Specifies that proof of legal status or authorization to work includes a social security card, immigration visa, birth certificate or passport, among others (Unemployment Insurance Code §9601.5).

• Requires the agencies or organizations described above that provide specified employment services to post a notice in the workplace stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agency’s or organization’s employment services that are funded by the federal or state government (Unemployment Insurance Code §9601.7).

This Bill

• Repeals the requirement to verify an individual's legal status or authorization to work prior to them receiving employment services from state or local government agencies or any private contracting agencies.
• Repeals the associated workplace posting requirement that informs workers that only citizens or those legally authorized to work in the U.S. can use employment services being provided by these agencies.

COMMENTS

1. Brief Background on the Immigration Reform and Control Act of 1986 (IRCA)

IRCA was enacted into U.S. law as an attempt to control and deter unlawful immigration to the United States. Its major provisions called for the legalization of undocumented persons who had been continuously present in the U.S. since 1982, the legalization of certain agricultural workers, sanctions for employers who knowingly hire undocumented workers, and increased enforcement at U.S. borders.

IRCA required employers to attest to their employees' immigration status, through the establishment of the I-9 Form, and made it illegal to hire or recruit undocumented workers knowingly, among other things. IRCA also states that in terms of employment in the United States, it is unlawful for a person or other entity knowingly to recruit or refer for a fee an unauthorized person, or to ignore the verification requirements for providing these services.

2. Need for this bill?

SB 733 (Russell, 1993) added §9601.5 and 9601.7 to the Unemployment Insurance (UI) Code (see “Existing law” section above). The author argues that the law was always of questionable constitutionality because federal law already regulates those employment agents who “recruit or refer for a fee” or in other words, provide employment services, under the Immigration Reform and Control Act. This law expressly preempts “any State or local law imposing civil or criminal sanctions (other than through licensing and similar laws) upon those who employ, or recruit or refer for a fee for employment, unauthorized aliens.” 8 U.S.C. § 1324a (h)(2).

In short, the author argues that the sections of the UI Code in question are not necessary and burdensome because they already fall under the purview of federal law. In this case, the IRCA prohibits state preemptions or interference with federal law on this issue. The author states that AB 2532 repeals these sections and eliminates a problematic and discriminatory redundancy with federal law.

3. Proponent Arguments:

Proponents state that this bill would remove two provisions of California law sponsored by the nativist organization Federation for American Immigration Reform (FAIR). California UI Code §9601.5 and 9601.7 were enacted two decades ago in an era of heightened anti- immigrant lawmaking in the state. Proponents assert that these two UI Code sections are preempted by federal law and that their continued enforcement would subject California to potential legal action.

Proponents add that the United States Supreme Court recently held that federal law, since the 1986 enactment of IRCA, provides a “comprehensive framework” to address the employment of unauthorized immigrants and does not permit state legislation within the area addressed by the framework. Because UI Code §9601.5 and 9601.7 could result in civil sanctions for a violation, the two provisions are expressly preempted under IRCA so far as they apply to employment services agencies that charge to recruit or refer. Moreover, to the extent the provisions apply to agencies that provide services for free, they are impliedly preempted because Congress, in enacting IRCA, decided not to regulate such free services as part of its comprehensive framework. Also proponents believe that the notice-posting obligation in UI Code §9601.7 exacerbates these legal concerns and imposes unnecessary added costs on businesses.

Finally, proponents contend that AB 2532 would do nothing to change immigrant eligibility for any government services, which is regulated by other provisions of federal and state law. Nor would the bill change the federal obligation that employers face with respect to employment of authorized workers and the duty to check the work authorization of new hires.

4. Opponent Arguments:

None received.

5. Prior Legislation:

SB 733 (Russell) Chapter 819, Statutes of 1993 – Added the requirement for state or local government or community action agencies, or any private organization contracting with them to verify an individual’s legal status or authorization to work in the United States before providing them with employment services. Also requires these agencies and organizations to post a notice in the workplace stating that only citizens or those persons legally authorized to work in the U.S. will be permitted to use the employment services that these entities provide.

SUPPORT

Mexican American Legal Defense Education Fund (Sponsor)

American Civil Liberties Union of California

California Immigrant Policy Center

Worksafe

OPPOSITION

None on file.

-- END --

ASSEMBLY THIRD READING

ATR Bill Id:

Author:(Chiu)

As Introduced Ver:February 19, 2016

Majority vote

SUMMARY:

1. Repeals the verification requirement of an individual's legal status or authorization to work prior to providing employment services by state or local government agency's or any private organization contracting with the those agencies that provide employment services.
2. Repeals the specified workplace posting requirement for employment services being provided by the agencies.

EXISTING LAW:

1. Requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to verify an individual's legal status or authorization to work prior to providing services to that individual in accordance with procedures established under federal law.
2. Specifies that proof of legal status or authorization to work includes specified documents providing evidence of legal residence or authorization to work in the United States (U.S.). It also exempts employment services offered by school districts under secondary school and adult education programs from provisions requiring verification of an individual's legal status or authorization to work prior to providing services.
3. Requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to post in a prominent location in the workplace a notice stating that only citizens or those persons legally authorized to work in the U.S. will be permitted to use the agency's or organization's employment services that are funded by the federal or state government, as specified.

FISCAL EFFECT: According to the Assembly Appropriations Committee, minor/absorbable costs to the Employee Development Department (EDD) to update current policies, processes and manuals. EDD indicates removing the requirement to verify legal status and authorization to work before providing a staff-assisted service would simplify and streamline the intake process, which would save time for front line staff in the EDD's America's Job Center of California offices.

COMMENTS: According to the EDD Web site, California's workforce services, a part of the U.S. Employment Service, is one of the world's largest public employment service operations. With service points throughout the state, the EDD program serves the state's employers and job seekers. The nationwide U.S. Employment Service was authorized by the federal Wagner Peyser Act (WPA) in 1933 and funded under Title III of the Social Security Act of 1935. The WPA was amended by the Workforce Innovation and Opportunity Act of 2014 to provide a foundation for the Workforce Services and other federal, state, and local workforce development partners to offer services through the America's Job Center of California (AJCC).

The AJCC's offer a variety of services that bring employers with job openings together with qualified job seekers. Customers may access services through self-service or with the assistance of staff. The AJCC provides universal access to an integrated array of labor exchange and Workforce Innovation and Opportunity Act (WIOA) services so that workers, job seekers, and businesses can find the services they need at any of the job centers. The AJCC serves the State's 900,000 employers and the more than a million job seekers who use these services each year.

Currently, California law requires that EDD verify a job seeker's legal status and authorization to work in the U.S. prior to providing an employment-related service. The requirement applies to all employment service applicants, whether or not they are U.S. citizens, temporary or resident aliens, residing in or outside of California.

Should this bill get enacted, under federal law, EDD would still be required to ask each client to indicate eligibility to work in the U.S. prior to providing job training and placement services; however, it does not require agencies to verify an individual's legal status to work prior to providing employment services.

The Immigration Reform and Control Act (IRCA) of 1986

IRCA was passed in order to control and deter unlawful immigration to the U.S. Its major provisions stipulated legalization of undocumented persons who had been continuously unlawfully present since 1982, legalization of certain agricultural workers sanctions for employers who knowingly hire undocumented workers, and increased enforcement at U.S. borders. IRCA required employers to attest to their employees' immigration status, through the establishment of the I-9 Form; IRCA made it illegal to hire or recruit undocumented workers knowingly, among other things. IRCA permits employers to rely on a good faith belief in the proof of work authorization an applicant offers.

In general IRCA also states it is unlawful for a person or other entity to hire, to recruit or refer for a fee, for employment in the United States an unauthorized person knowing the person is an unauthorized worker with respect to employment or without complying with the verification requirements. IRCA does not require agencies to verify an individual's legal status to work prior to providing employment services.

Arguments in Support

The sponsor of this measure, the Mexican American Legal Defense and Educational Fund (MALDEF), argues the two Unemployment Insurance provisions (UIC) this bill repeals impose an unnecessary and redundant burden on businesses providing employment services. Regulation of employment for immigrants is already covered in federal law so any additional state requirements place added costs on businesses. They further argue that by repealing the two UIC sections would do nothing to change immigrant eligibility for any government services which is regulated by other provisions of federal and state law. Nor would the bill change the federal obligation that employers face with respect to employment of authorized workers and the duty to check work authorization of new hires.

No opposition on file.

Analysis Prepared by: Lorie Alvarez / L. & E. / (916) 319-2091 FN: 0002841

Date of Hearing: May 4, 2016

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Lorena Gonzalez, Chair

ABPCA Bill Id:AB 2532

Author:(Chiu) – As Introduced Ver:February 19, 2016

Urgency: No State Mandated Local Program: No Reimbursable: No

SUMMARY:

This bill repeals requirements in state law that state and local government employers and community action agencies verify an individual’s legal status or authorization to work prior to providing services to that individual.

FISCAL EFFECT:

Minor/absorbable costs to the Employee Development Department (EDD) to update current policies, processes and manuals. EDD indicates removing the requirement to verify legal status and authorization to work before providing a staff-assisted service would simplify and streamline the intake process, which would save time for front line staff in the EDD’s America’s Job Center of California offices. 

COMMENTS:

1. Purpose. The Mexican American Legal Defense and Educational Fund (MALDEF) are sponsoring this bill to repeal two Unemployment Insurance provisions (UIC) that they state impose an unnecessary and redundant burden on businesses providing employment services. Regulation of employment for immigrants is already covered in federal law so any additional state requirements place added costs on businesses. They further state that repealing the two UIC sections would do nothing to change immigrant eligibility for any government services which is regulated by other provisions of federal and state law. Nor would the bill change the federal obligation that employers face with respect to employment of authorized workers and the duty to check work authorization of new hires.
2. Background. State law requires that Employment Development Department (EDD) to verify a job seeker’s legal status and authorization to work in the United States prior to providing an employment-related service. The requirement applies to all employment service applicants, whether or not they are U.S. citizens, temporary or resident aliens, residing in or outside of California. If this bill were enacted, Federal law still requires the EDD to ask each client to indicate eligibility to work in the U.S. prior to providing job training and placement services; however, it does not require agencies to verify an individual's legal status to work prior to providing employment services.

Analysis Prepared by: Misty Feusahrens / APPR. / (916) 319-2081

Date of Hearing: April 20, 2016

ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT

Roger Hernández, Chair

ABPCA Bill Id:AB 2532 (

Author:Chiu) – As Introduced Ver:February 19, 2016

SUBJECT: Employment services: verification

SUMMARY:

1. Repeals the verification requirement of an individual's legal status or authorization to work prior to providing employment services by state or local government agency's or any private organization contracting with the those agencies that provide employment services.
2. Repeals the specified workplace posting requirement for employment services being provided by the agencies.

EXISTING LAW:

1. Requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to verify an individual’s legal status or authorization to work prior to providing services to that individual in accordance with procedures established under federal law.
2. Specifies that proof of legal status or authorization to work includes specified documents providing evidence of legal residence or authorization to work in the United States. It also exempts employment services offered by school districts under secondary school and adult education programs from provisions requiring verification of an individual’s legal status or authorization to work prior to providing services.
3. Requires each state or local government agency or community action agency, or any private organization contracting with a state or local government agency, that provides specified employment services to post in a prominent location in the workplace a notice stating that only citizens or those persons legally authorized to work in the United States will be permitted to use the agency’s or organization’s employment services that are funded by the federal or state government, as specified.

FISCAL EFFECT: Unknown

COMMENTS: According to the Employment Development Department's (EDD) website, California’s workforce services, a part of the United States (U.S.) Employment Service, is one of the world’s largest public employment service operations. With service points throughout the state, the EDD program serves the state’s employers and job seekers. The nationwide U.S. Employment Service was authorized by the federal Wagner Peyser Act (WPA) in 1933 and funded under Title III of the Social Security Act of 1935. The WPA was amended by the Workforce Innovation and Opportunity Act of 2014 to provide a foundation for the Workforce Services and other federal, state, and local workforce development partners to offer services through the America’s Job Center of California (AJCC).

The AJCC's offer a variety of services that bring employers with job openings together with qualified job seekers. Customers may access services through self-service or with the assistance of staff. The AJCC provides universal access to an integrated array of labor exchange and Workforce Innovation and Opportunity Act (WIOA) services so that workers, job seekers, and businesses can find the services they need at any of the job centers. The AJCC serves the State’s 900,000 employers and the more than a million job seekers who use these services each year.

Currently, California law requires that EDD verify a job seeker’s legal status and authorization to work in the United States prior to providing an employment-related service. The requirement applies to all employment service applicants, whether or not they are U.S. citizens, temporary or resident aliens, residing in or outside of California.

Should this bill go into effect, under federal law, EDD would still be required to ask each client to indicate eligibility to work in the U.S. prior to providing job training and placement services; however, it does not require agencies to verify an individual's legal status to work prior to providing employment services.

The Immigration Reform and Control Act (IRCA) of 1986

IRCA as passed in order to control and deter unlawful immigration to the United States. Its major provisions stipulated legalization of undocumented persons who had been continuously unlawfully present since 1982, legalization of certain agricultural workers, sanctions for employers who knowingly hire undocumented workers, and increased enforcement at U.S. borders. IRCA required employers to attest to their employees' immigration status, through the establishment of the I-9 Form; IRCA made it illegal to hire or recruit undocumented workers knowingly, among other things. IRCA permits employers to rely on a good faith belief in the proof of work authorization an applicant offers.

In general IRCA also states it is unlawful for a person or other entity to hire, to recruit or refer for a fee, for employment in the United States an unauthorized person knowing the person is an unauthorized worker with respect to employment or without complying with the verification requirements. IRCA does not require agencies to verify an individual's legal status to work prior to providing employment services.

Arguments in Support

The sponsor of this measure, the Mexican American Legal Defense and Educational Fund (MALDEF), argues the two Unemployment Insurance provisions (UIC) this bill repeals impose an unnecessary and redundant burden on businesses providing employment services. Regulation of employment for immigrants is already covered in federal law so any additional state requirements place added costs on businesses. They further argue that by repealing the two UIC sections would do nothing to change immigrant eligibility for any government services which is regulated by other provisions of federal and state law. Nor would the bill change the federal obligation that employers face with respect to employment of authorized workers and the duty to check work authorization of new hires.

REGISTERED SUPPORT / OPPOSITION:

Support

American Civil Liberties Union

California Immigrant Policy Center

Mexican American Legal Defense and Educational Fund (sponsor)

Opposition

None on file.

Analysis Prepared by: Lorie Alvarez / L. & E. / (916) 319-2091