Existing law requires the Department of Human Resources to establish and adjust salary ranges for each class of position in the state civil service. Existing law requires the department, with respect to the collective bargaining process for specified bargaining units, to submit to the parties meeting and conferring and to the Legislature a report containing the departments findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies, in accordance with certain timeframes. Existing law requires the state, in order to recruit and retain the highest qualified employees in specified classifications, to consider the estimated average total compensation paid to employees in comparable occupations.

This bill would require the University of California, Berkeley, Labor Center (Center), in recognition of the need to retain skilled state scientists, to undertake a study of existing salary structure and issues currently impacting horizontal and vertical salary relationships as compared to historical relationships, and to provide recommendations, if applicable, for alternative salary models for State Bargaining Unit 10 (Professional Scientific) rank-and-file employees. The bill would require the Center to consult with the Department of Human Resources and the scientists exclusive bargaining representative to identify the studys parameters and objectives.

The bill would require, by April 30, 2024, the Center to report to the Director of Finance, the Chairperson of the Joint Legislative Budget Committee, and the chairpersons of relevant legislative policy and budget committees the studys findings, as specified. The bill would require the Centers report to include information regarding advantages of any alternative salary model included in the recommendations, the transition costs and ongoing costs associated with any recommended alternative salary model, and ways that alternative models address issues of horizontal and vertical salary relationships as compared to historical relationships. The bill would specify that preparation of the report required under the bill shall not delay or prejudice the collective bargaining process required under existing law. The bill would require any increase in salary resulting from the study to be implemented through the negotiation of a memorandum of understanding as required by existing law.

Existing law requires the Department of Human Resources to establish and adjust salary ranges for each class of position in the state civil service. Existing law requires the department, at least 6 months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding, to submit to the parties meeting and conferring and to the Legislature a report containing the departments findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies. Existing law requires the state, in order to recruit and retain the highest qualified employees in specified classifications, to consider the total estimated average compensation paid to employees in comparable occupations.

This bill would require the University of California, Berkeley, Labor Center (Center), in recognition of the need to recruit and retain skilled state scientists, to undertake a study of existing salary structure and issues currently impacting horizontal and vertical salary relationships as compared to historical relationships, and to provide recommendations for alternative salary models, if applicable. The bill would require the Center to consult with the Department of Human Resources and the scientists exclusive bargaining representative to identify the studys parameters and objectives.

The bill would require, by April 30, 2024, the Center to report to the Director of Finance, the chairperson Chairperson of the Joint Legislative Budget Committee, and the chairpersons of relevant legislative policy and budget committees the studys findings, as specified. The Centers report would be required to include information regarding advantages of any alternative salary model included in the recommendations, the transition costs and ongoing costs associated with any recommended alternative salary model, and ways that alternative models address issues of horizontal and vertical salary relationships as compared to historical relationships. The bill would specify that preparation of the report required under the bill shall not delay or prejudice the collective bargaining process required under existing law. The bill would require any increase in salary resulting from the study to be implemented through the negotiation of a memorandum of understanding as required by existing law.

Existing law requires the Department of Human Resources to establish and adjust salary ranges for each class of position in the state civil service. Existing law requires the department, at least 6 months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding, to submit to the parties meeting and conferring and to the Legislature a report containing the departments findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies. Existing law requires the state, in order to recruit and retain the highest qualified employees in specified classifications, to consider the total estimated average compensation paid to employees in comparable occupations.

Existing law requires the Department of Human Resources to establish and adjust salary ranges for each class of position in the state civil service. Existing law requires the department, at least 6 months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding, to submit to the parties meeting and conferring to the Legislature a report containing the departments findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies.

This bill would instead require the department to send that report at least 7 months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding.

GOVERNOR'S VETO

GV Bill Id:AB 1677

Author:(McKinnor)

As Enrolled Ver:September 14, 2023

2/3 vote

SUMMARY

Requires the University of California at Berkeley Labor Center (UCB Labor Center) to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

Senate amendments make a typographical correction.

Governor's Veto Message

"This bill's requirements to implement any increase in compensation resulting from the study effectively circumvents the collective bargaining process and limits the state's ability to consider various economic factors that impact the state or BU 10 members when proposing compensation packages during negotiations."

COMMENTS

1. Background

Under existing law, the California Department of Human Resources (CalHR) is required to establish and adjust salary ranges for each class of position within the state civil service subject to any merit limits, and that the salary range be based on the principle that like salaries must be paid for comparable duties and responsibilities. In establishing or changing these ranges, consideration must be given to prevailing rates for comparable service in other public employment and private business, and the CalHR must not make adjustments that require expenditures in excess of existing appropriations that may be used for salary increases, but may make a change in a salary range retroactive to the date of application of the change. In addition, at least six months before the expiration of a memorandum of understanding (MOU) or immediately upon reopening negotiations under the existing MOU, the CalHR must submit a report containing its findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies, to the meeting and conferring parties, and to the Legislature.

This bill requires the UCB Labor Center to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

1. Equity Solutions and Maximizing Benefits for Underserved and Marginalized Communities

Pursuant to House Resolution (HR) 39 (Gipson, 2021), to continue the Assembly's commitment to investing in equity solutions and maximizing benefits for underserved and marginalized communities, legislative analyses of the Assembly must discuss the equity impact that a bill will, or may, have on such communities, if any.

This bill does not present a particular focus towards addressing equity in relation to maximizing benefits for underserved or marginalized communities as articulated in HR 39.

1. Please see the policy committee analysis for a full discussion of this bill.

According to the Author

"This bill will allow both the California Association of Professional Scientists (CAPS) and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a "chipping away" at the salary lag that currently exists."

Arguments in Support

The California Association of Professional Scientists offer statements similar to those of the author.

Arguments in Opposition

None.

FISCAL COMMENTS

According to the Senate Appropriations Committee:

1. The UCB Labor Center indicates that it would incur a one-time General Fund cost of up to $150,000 to conduct the study.
2. The CalHR anticipates that the bill could have a fiscal impact with respect to providing staff time and data to assist the UCB Labor Center. The magnitude has yet to be determined (General Fund).

VOTES

ASM PUBLIC EMPLOYMENT AND RETIREMENT: 5-1-1

YES: McKinnor, Addis, Haney, Stephanie Nguyen, Schiavo

NO: Vince Fong

ABS, ABST OR NV: Lackey

ASM APPROPRIATIONS: 11-4-1

YES: Holden, Bryan, Calderon, Wendy Carrillo, Mike Fong, Hart, Lowenthal, Papan, Pellerin, Weber, Ortega

NO: Megan Dahle, Dixon, Mathis, Sanchez

ABS, ABST OR NV: Robert Rivas

ASSEMBLY FLOOR: 65-12-3

YES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Juan Carrillo, Wendy Carrillo, Cervantes, Connolly, Davies, Flora, Mike Fong, Friedman, Gabriel, Garcia, Gipson, Grayson, Haney, Hart, Holden, Irwin, Jackson, Jones-Sawyer, Kalra, Lee, Low, Lowenthal, Maienschein, McCarty, McKinnor, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Santiago, Schiavo, Soria, Ting, Valencia, Villapudua, Ward, Weber, Wicks, Wilson, Wood, Zbur, Rendon

NO: Chen, Megan Dahle, Dixon, Essayli, Vince Fong, Gallagher, Mathis, Jim Patterson, Joe Patterson, Sanchez, Waldron, Wallis

ABS, ABST OR NV: Hoover, Lackey, Ta

SENATE FLOOR: 32-8-0

YES: Allen, Alvarado-Gil, Archuleta, Ashby, Atkins, Becker, Blakespear, Bradford, Caballero, Cortese, Dodd, Durazo, Eggman, Glazer, Gonzalez, Hurtado, Laird, Limón, McGuire, Menjivar, Min, Newman, Padilla, Portantino, Roth, Rubio, Skinner, Smallwood-Cuevas, Stern, Umberg, Wahab, Wiener

NO: Dahle, Grove, Jones, Nguyen, Niello, Ochoa Bogh, Seyarto, Wilk

ASSEMBLY FLOOR: 65-5-10

YES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Juan Carrillo, Wendy Carrillo, Cervantes, Connolly, Davies, Flora, Mike Fong, Friedman, Gabriel, Garcia, Gipson, Grayson, Haney, Hart, Holden, Irwin, Jackson, Jones-Sawyer, Kalra, Lee, Low, Lowenthal, Maienschein, McCarty, McKinnor, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Rendon, Reyes, Luz Rivas, Rodriguez, Blanca Rubio, Santiago, Schiavo, Soria, Ting, Valencia, Villapudua, Ward, Weber, Wicks, Wilson, Wood, Zbur, Robert Rivas

NO: Megan Dahle, Vince Fong, Gallagher, Sanchez, Waldron

ABS, ABST OR NV: Chen, Dixon, Essayli, Hoover, Lackey, Mathis, Jim Patterson, Joe Patterson, Ta, Wallis

UPDATED

VERSION: September 14, 2023

CONSULTANT: Michael Bolden / P. E. & R. / (916) 319-3957 FN: 0002480

CONCURRENCE IN SENATE AMENDMENTS

CSA1 Bill Id:AB 1677

Author:(McKinnor)

As Amended Ver:June 22, 2023

Majority vote

SUMMARY

Requires the University of California (UC) at Berkeley Labor Center (UCB Labor Center) to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

Senate Amendments

Make a typographical correction.

COMMENTS

1. Background

Under existing law, the California Department of Human Resources (CalHR) is required to establish and adjust salary ranges for each class of position within the state civil service subject to any merit limits, and that the salary range be based on the principle that like salaries must be paid for comparable duties and responsibilities. In establishing or changing these ranges, consideration must be given to prevailing rates for comparable service in other public employment and private business, and the CalHR must not make adjustments that require expenditures in excess of existing appropriations that may be used for salary increases, but may make a change in a salary range retroactive to the date of application of the change. In addition, at least six months before the expiration of a memorandum of understanding (MOU) or immediately upon reopening negotiations under the existing MOU, the CalHR must submit a report containing its findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies, to the meeting and conferring parties, and to the Legislature.

This bill requires the UCB Labor Center to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

1. Equity Solutions and Maximizing Benefits for Underserved and Marginalized Communities

Pursuant to House Resolution (HR) 39 (Gipson, 2021), to continue the Assembly's commitment to investing in equity solutions and maximizing benefits for underserved and marginalized communities, legislative analyses of the Assembly must discuss the equity impact that a bill will, or may, have on such communities, if any.

This bill does not present a particular focus towards addressing equity in relation to maximizing benefits for underserved or marginalized communities as articulated in HR 39.

1. Please see the policy committee analysis for a full discussion of this bill.

According to the Author

"This bill will allow both the California Association of Professional Scientists (CAPS) and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a "chipping away" at the salary lag that currently exists."

Arguments in Support

The California Association of Professional Scientists offer statements similar to those of the author.

Arguments in Opposition

None.

FISCAL COMMENTS

The Senate Appropriations Committee notes that:

1. The UCB Labor Center indicates that it would incur a one-time General Fund cost of up to $150,000 to conduct the study.
2. The CalHR anticipates that the bill could have a fiscal impact with respect to providing staff time and data to assist the UCB Labor Center. The magnitude has yet to be determined (General Fund).

VOTES:

ASM PUBLIC EMPLOYMENT AND RETIREMENT: 5-1-1

YES: McKinnor, Addis, Haney, Stephanie Nguyen, Schiavo

NO: Vince Fong

ABS, ABST OR NV: Lackey

ASM APPROPRIATIONS: 11-4-1

YES: Holden, Bryan, Calderon, Wendy Carrillo, Mike Fong, Hart, Lowenthal, Papan, Pellerin, Weber, Ortega

NO: Megan Dahle, Dixon, Mathis, Sanchez

ABS, ABST OR NV: Robert Rivas

ASSEMBLY FLOOR: 65-12-3

YES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Juan Carrillo, Wendy Carrillo, Cervantes, Connolly, Davies, Flora, Mike Fong, Friedman, Gabriel, Garcia, Gipson, Grayson, Haney, Hart, Holden, Irwin, Jackson, Jones-Sawyer, Kalra, Lee, Low, Lowenthal, Maienschein, McCarty, McKinnor, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Santiago, Schiavo, Soria, Ting, Valencia, Villapudua, Ward, Weber, Wicks, Wilson, Wood, Zbur, Rendon

NO: Chen, Megan Dahle, Dixon, Essayli, Vince Fong, Gallagher, Mathis, Jim Patterson, Joe Patterson, Sanchez, Waldron, Wallis

ABS, ABST OR NV: Hoover, Lackey, Ta

SENATE FLOOR: 32-8-0

YES: Allen, Alvarado-Gil, Archuleta, Ashby, Atkins, Becker, Blakespear, Bradford, Caballero, Cortese, Dodd, Durazo, Eggman, Glazer, Gonzalez, Hurtado, Laird, Limón, McGuire, Menjivar, Min, Newman, Padilla, Portantino, Roth, Rubio, Skinner, Smallwood-Cuevas, Stern, Umberg, Wahab, Wiener

NO: Dahle, Grove, Jones, Nguyen, Niello, Ochoa Bogh, Seyarto, Wilk

UPDATED

VERSION: June 22, 2023

CONSULTANT: Michael Bolden / P. E. & R. / (916) 319-3957 FN: 0001960

 THIRD READING  

Bill No: AB 1677

Author: McKinnor (D), et al.

Amended: 6/22/23 in Senate

Vote: 21

SENATE LABOR, PUB. EMP. & RET. COMMITTEE: 4-1, 6/28/23

AYES: Cortese, Durazo, Laird, Smallwood-Cuevas

NOES: Wilk

SENATE APPROPRIATIONS COMMITTEE: 5-2, 9/1/23

AYES: Portantino, Ashby, Bradford, Wahab, Wiener

NOES: Jones, Seyarto

ASSEMBLY FLOOR: 65-12, 5/31/23 - See last page for vote

SUBJECT: Public employment: salary classification: state scientist

SOURCE: California Association of Professional Scientists

DIGEST: This bill directs the University of California, Berkeley (UCB), Labor Center to conduct a study of the salary structure for state scientists and submit findings to the Legislature and Department of Finance.

ANALYSIS:

Existing law:

1. Requires the California Department of Human Resources (CalHR) to establish and adjust salary ranges for each class of position in state civil service.
2. Requires CalHR, at least six months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding, to submit to the parties meeting and conferring, and to the Legislature, a report containing findings related to employee salaries in comparable occupations in private industry and other governmental agencies.
3. Requires the state to recruit and retain the highest qualified employees in specified classifications and to consider the total estimated average compensation paid to employees in comparable occupations.

This bill:

1. Requires, by April 30, 2024, the UCB Labor Center to report to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the relevant Legislative policy and budget committees a salary study for state scientists.
2. Specifies that the report shall include:
   1. Information regarding the advantages of any alternative salary model included in the study findings;
   2. Transition costs and ongoing costs associated with any recommended alternative salary model;
   3. Recommendations for appropriate salary ranges, using comparable salaries of similar professions in California’s state civil service, larger local agencies, higher education, or relevant industries; and
   4. Ways that alternative models address issues of horizontal and vertical salary relationships as compared to historical relationships.
3. Requires UCB Labor Center to consult with CalHR and scientists’ exclusive bargaining representative to identify the study’s parameters and objectives.
4. Specifies that preparation of the report required under the bill shall not delay or prejudice the collective bargaining process required under existing law.
5. Requires any increase in salary resulting from the study to be implemented through the negotiation of a memorandum of understanding as required by existing law.

Background

Bargaining Unit (BU) 10 represents more than 3,000 rank-and-file scientists who are employed by approximately 30 state agencies in 81 scientific classifications. These scientists, among other duties, protect humans, animals, flora, and natural resources from disease, toxic waste, and pollution. The California Association of Professional Scientists (CAPS) are the exclusive representative for BU 10 state employees. According to the author, “This will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

Comments

Purpose of the bill. The author states “This will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Committee on Appropriations:

• The UCB Labor Center indicates that it would incur a one-time General Fund cost of up to $150,000 to conduct the study.
• CalHR anticipates that the bill could have a fiscal impact with respect to providing staff time and data to assist the UCB Labor Center. The magnitude has yet to be determined (General Fund).

SUPPORT: (Verified 9/1/23)

California Association of Professional Scientists (source)

350 Humboldt: Grass Roots Climate Action
Breast Cancer Prevention Partners
California Institute for Biodiversity
California Labor Federation, AFL-CIO
Democratic Party of Sacramento County
Endangered Habitats League
Environmental Working Group
Mountain Lion Foundation
Natural Resources Defense Council

Individual Support Letters: 1

OPPOSITION: (Verified 9/1/23)

None received

ARGUMENTS IN SUPPORT: According to the California Association of Professional Scientists (CAPS), “AB 1677 requires the University of California Berkeley Labor Center to undertake an evaluation of the existing rank-and-file state scientist salary structure, analyze the historical horizontal and vertical salary relationships with other state employees performing similar work, and provide recommendations, as applicable, for alternative salary models for the rank-and-file state scientists covered by collective bargaining. It also requires that CAPS, the exclusive representative for Unit 10 rank-and-file state scientists, and the California Department of Human Resources, shall be consulted in identifying study parameters and objectives. The report will be provided to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the appropriate legislative policy and budget committees on the findings of the study, including any identified alternative salary structures, by April 30, 2024.

CAPS represents over 4,000 state-employed scientists working in over 30 state departments and 81 scientific classifications who protect the public from life-threatening diseases, safeguard our wildlife and abundant natural resources, ensure the sustainability of our food supply and agriculture, and protect our air and water from toxic waste and pollution. CAPS is dedicated to ensuring that California’s state scientists receive fair pay and benefits for their important work. State scientists’ salaries lag their local government and federal counterparts, and other state employees that do substantially similar work, between 15 and 40 percent. If California is going to be able to hire and retain these scientists in the competitive world we live in, it will only come by improving promotional salary relationships that will enable California to compete for, and retain, the scientific expertise they require while minimizing the costs associated with high employee turnover and low morale.

AB 1677 will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

ASSEMBLY FLOOR: 65-12, 5/31/23

AYES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Juan Carrillo, Wendy Carrillo, Cervantes, Connolly, Davies, Flora, Mike Fong, Friedman, Gabriel, Garcia, Gipson, Grayson, Haney, Hart, Holden, Irwin, Jackson, Jones-Sawyer, Kalra, Lee, Low, Lowenthal, Maienschein, McCarty, McKinnor, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Santiago, Schiavo, Soria, Ting, Valencia, Villapudua, Ward, Weber, Wicks, Wilson, Wood, Zbur, Rendon

NOES: Chen, Megan Dahle, Dixon, Essayli, Vince Fong, Gallagher, Mathis, Jim Patterson, Joe Patterson, Sanchez, Waldron, Wallis

NO VOTE RECORDED: Hoover, Lackey, Ta

Prepared by: Dawn Clover / L., P.E. & R. / (916) 651-1556

9/2/23 9:51:58

**** END ****

SENATE COMMITTEE ON

Senator Anthony Portantino, Chair

2023 - 2024 Regular Session

AB 1677 (McKinnor) - Public employment: salary classification: state scientist

Bill Summary:

AB 1677 would direct the University of California, Berkeley (UCB) Labor Center to conduct a study of the salary structure for state scientists and submit findings to the Legislature and the Department of Finance.

Fiscal Impact:

• The UCB Labor Center indicates that it would incur a one-time General Fund cost of up to $150,000 to conduct the study.
• The California Department of Human Resources (CalHR) anticipates that the bill could have a fiscal impact with respect to providing staff time and data to assist the UCB Labor Center. The magnitude has yet to be determined (General Fund).

Background:

Current law requires CalHR to establish and adjust salary ranges for each position class in the state civil service. Additionally, CalHR is required, at least six months before the end of the term of an existing memorandum of understanding (MOU) or immediately upon the reopening of negotiations under an MOU, to submit to the parties meeting and conferring, and to the Legislature, a report containing its findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies.

Bargaining Unit (BU) 10 represents more than 3,000 state-employed scientists working in over 30 state agencies.

Proposed Law:

This bill would, among other things, do the following:

• Require, by April 30, 2024, the UCB Labor Center to report to the Department of Finance, the Joint Legislative Budget Committee, and the Chairpersons of the relevant Legislative policy and budget committees a salary study for state scientists.
• Require the report to include (1) information regarding the advantages of any alternative salary model included in the study findings, (2) transition costs and ongoing costs associated with any recommended alternative salary model, (3) recommendations for appropriate salary ranges, using comparable salaries of similar professions in California’s state civil service, larger local agencies, higher education, or relevant industries, and (4) ways that alternative models address issues of horizontal and vertical salary relationships as compared to historical relationships.
• Require UCB Labor Center to consult with CalHR and scientists’ exclusive bargaining representative to identify the study’s parameters and objectives.
• Require any increase in salary resulting from the study to be implemented through the negotiation of an MOU as required by existing law.

Related Legislation:

AB 1254 (Flora) would require comparative pay for rank-and-file Bargaining Unit 8 firefighters employed by the California Department of Forestry and Fire Protection similar to those of other California fire departments. The bill is currently pending in this Committee.

Staff Comments: As noted earlier, this bill would task the UCB Labor Center with performing a salary study very similar to what is required of CalHR under current law.

-- END --

SENATE COMMITTEE ON LABOR, PUBLIC EMPLOYMENT AND RETIREMENT

Senator Dave Cortese, Chair

2023 - 2024 Regular

Bill No: AB 1677 Hearing Date: June 28, 2023

SUBJECT: Public employment: salary classification: state scientist.

KEY ISSUE

Should the Legislature direct the University of California, Berkeley (UCB), Labor Center to conduct a study of the salary structure for state scientists and submit findings to the Legislature and Department of Finance?

ANALYSIS

Existing law:

1. Requires the California Department of Human Resources (Department) to establish and adjust salary ranges for each class of position in the state civil service. (Government Code §19826(a))
   
2. Requires the Department, at least six months before the end of the term of an existing memorandum of understanding or immediately upon the reopening of negotiations under an existing memorandum of understanding, to submit to the parties meeting and conferring, and to the Legislature, a report containing the Department’s findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies. (Government Code §19826(c))
   
3. Requires the state, to recruit and retain the highest qualified employees in specified classifications, to consider the total estimated average compensation paid to employees in comparable occupations. (Government Code §19826(c))

This bill:

1. Requires, by April 30, 2024, the UCB Labor Center to report to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the relevant Legislative policy and budget committees a salary study for state scientists.
   
2. Specifies that the report shall include:
   
   1. Information regarding the advantages of any alternative salary model included in the study findings;
      
   2. Transition costs and ongoing costs associated with any recommended alternative salary model;
      
   3. Recommendations for appropriate salary ranges, using comparable salaries of similar professions in California’s state civil service, larger local agencies, higher education, or relevant industries; and
      
   4. Ways that alternative models address issues of horizontal and vertical salary relationships as compared to historical relationships.
      
3. Requires UCB Labor Center to consult with the California Department of Human Resources and scientists’ exclusive bargaining representative to identify the study’s parameters and objectives.
   
4. Specifies that preparation of the report required under the bill shall not delay or prejudice the collective bargaining process required under existing law.
   
5. Requires any increase in salary resulting from the study to be implemented through the negotiation of a memorandum of understanding as required by existing law.

COMMENTS

1. Need for this bill?

According to the author, “This will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

2. Committee Amendments

This bill and AB 1254 (Flora) contain statutory references that are in conflict should both bills become enrolled. This bill creates a new section 19827.4 in the Government Code that AB 1254 (Flora) also uses for a different purpose.  The committee recommends that either this bill or AB 1254 (Flora) be amended to instead use a new section 198727.6. to avoid conflict. Because the existing preceding section 19827.3 in AB 1254 (Flora) references firefighters, it seems logical to retain 199827.4 in that bill and change the reference in this bill to section 198727.6.

3. Proponent Arguments

According to the California Association of Professional Scientists, “AB 1677 requires the University of California Berkeley Labor Center to undertake an evaluation of the existing rank-and-file state scientist salary structure, analyze the historical horizontal and vertical salary relationships with other state employees performing similar work, and provide recommendations, as applicable, for alternative salary models for the rank-and-file state scientists covered by collective bargaining. It also requires that CAPS, the exclusive representative for Unit 10 rank-and-file state scientists, and the California Department of Human Resources, shall be consulted in identifying study parameters and objectives. The report will be provided to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the appropriate legislative policy and budget committees on the findings of the study, including any identified alternative salary structures, by April 30, 2024.

CAPS represents over 4,000 state-employed scientists working in over 30 state departments and 81 scientific classifications who protect the public from life-threatening diseases, safeguard our wildlife and abundant natural resources, ensure the sustainability of our food supply and agriculture, and protect our air and water from toxic waste and pollution. CAPS is dedicated to ensuring that California’s state scientists receive fair pay and benefits for their important work. State scientists’ salaries lag their local government and federal counterparts, and other state employees that do substantially similar work, between 15 and 40 percent. If California is going to be able to hire and retain these scientists in the competitive world we live in, it will only come by improving promotional salary relationships that will enable California to compete for, and retain, the scientific expertise they require while minimizing the costs associated with high employee turnover and low morale.

AB 1677 will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

4. Opponent Arguments:

None received.

5. Prior Legislation:

AB 1254 (Flora, 2023) would require comparative pay for rank-and-file Bargaining Unit 8 firefighters employed by the California Department of Forestry and Fire Protection similar to those of other California fire departments. This bill was referred to the Senate Committee on Labor, Public Employment and Retirement.

SUPPORT

California Association of Professional Scientists (Sponsor)

Breast Cancer Prevention Partners

Environmental Working Group

OPPOSITION

None received

-- END --

ASSEMBLY THIRD READING

ATR Bill Id:AB 1677

Author:(McKinnor)

As Amended Ver:April 18, 2023

Majority vote

SUMMARY

Requires the University of California (UC) at Berkeley Labor Center (UCB Labor Center) to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

Major Provisions

1. Require the UCB Labor Center to undertake a study of existing salary structure; issues currently impacting horizontal and vertical salary relationships as compared to the historical relationships; and, provide recommendations, if applicable, for alternative salary models for rank-and-file scientists in state BU 10 covered by a collective bargaining agreement.
2. Require that the exclusive representative for state BU 10 (i.e., California Association of Professional Scientists) rank-and-file members, and the California Department of Human Resources (CalHR) be consulted in identifying the study's parameters and objectives.
3. Require the UCB Labor Center to report to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the appropriate legislative policy and budget committees the findings of the study, including any alternative salary structures, by April 30, 2024.
4. Establish that preparation of the report must not delay or prejudice the Ralph C. Dills Act (Dills Act) collective bargaining process.
5. Provide that the report must include, at minimum, each of the following:
6. The advantages of any alternative salary model or models included in the findings of the study;
7. The transition and ongoing costs associated with any alternative salary model included in the findings of the study;
8. Recommendations for appropriate salary ranges, using comparable salaries of similar professions in the state's civil service, larger local agencies, higher education, or relevant industries; and,
9. Ways that alternative models address issues of horizontal and vertical salary relationships as compared to the historical relationships.
10. Stipulate that any increase in compensation resulting from the study to be implemented through the Dills Act collective bargaining framework and its processes, as provided.

COMMENTS

1. Background

The first of California's public sector bargaining laws was enacted in 1961. Known as the "George Brown Act" or "Brown Act," this act originally covered all public employers and recognized employees' right to participate and be represented by employee organizations. It also granted those organizations the right to meet and confer with the employer on matters affecting employment relations prior to action being taken on such matters.

The breadth of the Brown Act was reduced over time in favor of separate public employer-employee relations statutes recognizing the inherent differences and unique needs of the various public employers and their employees throughout the California public sector. Among these separate statutes, proponents of collective bargaining for state employees were successful when former Senator Ralph C. Dills introduced a measure (i.e., the "Dills Act") that only covered specific employees of the state was passed in 1977 and signed into law by former Governor Edmund "Jerry" G. Brown, Jr. in July1978.

Under existing law, the CalHR is required to establish and adjust salary ranges for each class of position within the state civil service subject to any merit limits, and that the salary range be based on the principle that like salaries must be paid for comparable duties and responsibilities. In establishing or changing these ranges, consideration must be given to prevailing rates for comparable service in other public employment and private business, and the CalHR must not make adjustments that require expenditures in excess of existing appropriations that may be used for salary increases, but may make a change in a salary range retroactive to the date of application of the change. In addition, at least six months before the expiration of a memorandum of understanding (MOU) or immediately upon reopening negotiations under the existing MOU, the CalHR must submit a report containing its findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies, to the meeting and conferring parties, and to the Legislature.

As stated under "Summary," this bill requires the UCB Labor Center to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions.

1. Equity Solutions and Maximizing Benefits for Underserved and Marginalized Communities

Pursuant to House Resolution (HR) 39 (Gipson, 2021), to continue the Assembly's commitment to investing in equity solutions and maximizing benefits for underserved and marginalized communities, legislative analyses of the Assembly must discuss the equity impact that a bill will, or may, have on such communities, if any.

This bill does not present a particular focus towards addressing equity in relation to maximizing benefits for underserved or marginalized communities as articulated in HR 39.

1. Please see the policy committee analysis for a full discussion of this bill.

According to the Author

"This bill will allow both the California Association of Professional Scientists (CAPS) and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a "chipping away" at the salary lag that currently exists."

Arguments in Support

The CAPS offers statements similar to those of the author.

Arguments in Opposition

None.

FISCAL COMMENTS

According to the Assembly Appropriations Committee, this bill would result in one-time General Fund costs of less than $150,000, according to the UCB Labor Center.

VOTES

ASM PUBLIC EMPLOYMENT AND RETIREMENT: 5-1-1

YES: McKinnor, Addis, Haney, Stephanie Nguyen, Schiavo

NO: Vince Fong

ABS, ABST OR NV: Lackey

ASM APPROPRIATIONS: 11-4-1

YES: Holden, Bryan, Calderon, Wendy Carrillo, Mike Fong, Hart, Lowenthal, Papan, Pellerin, Weber, Ortega

NO: Megan Dahle, Dixon, Mathis, Sanchez

ABS, ABST OR NV: Robert Rivas

UPDATED

VERSION: April 18, 2023

CONSULTANT: Michael Bolden / P. E. & R. / (916) 319-3957 FN: 0000521

Date of Hearing: May 10, 2023

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Chris Holden, Chair

ABPCA Bill Id:AB 1677

Author:(McKinnor) – As Amended Ver:April 18, 2023

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

SUMMARY:

This bill requires the University of California, Berkeley, Labor Center, to perform a study of salary structure for State Bargaining Unit 10’s (BU 10) rank-and-file employees covered by a collective bargaining agreement. The California Association of Professional Scientists, the exclusive representative for BU 10’s rank-and-file employees, and the Department of Human Resources are to be consulted in identifying the study’s parameters and objectives. The UC, Berkeley, Labor Center is to report to the Department of Finance and the Legislature on the study’s findings by April 30, 2024. The bill specifies that if any increase in compensation results from this study, it is to be negotiated as part of existing collective bargaining processes.

FISCAL EFFECT:

One-time General Fund costs of less than $150,000, according to the UC, Berkeley, Labor Center.

Because this bill requires a study, it is a candidate for this committee’s suspense file.

COMMENTS:

Background. BU 10 represents more than 3,000 state-employed scientist working in over 30 state agencies. According to the author, state scientists salaries lag local government and federal counterparts by between 15% and 40%.

The UC, Berkeley, Labor Center has conducted similar studies in the past on state employee pay.

Analysis Prepared by: Natasha Collins / APPR. / (916) 319-2081

Date of Hearing: April 26, 2023

ASSEMBLY COMMITTEE ON PUBLIC EMPLOYMENT AND RETIREMENT

Tina S. McKinnor, Chair

ABPCA Bill Id:AB 1677 (

Author:McKinnor) – As Amended Ver:April 18, 2023

SUBJECT: Public employment: salary classification

SUMMARY: Requires the University of California (UC) at Berkeley Labor Center (UCB Labor Center) to undertake a study of the existing salary structure and provide recommendations for alternative models, if applicable, as applied to rank-and-file scientists in State Bargaining Unit 10 (BU 10), among other provisions. Specifically, this bill:

1. Requires the UCB Labor Center to undertake a study of existing salary structure; issues currently impacting horizontal and vertical salary relationships as compared to the historical relationships; and, provide recommendations, if applicable, for alternative salary models for rank-and-file scientists in state BU 10 covered by a collective bargaining agreement.
2. Requires that the exclusive representative for state BU 10 (i.e., California Association of Professional Scientists) rank-and-file members, and the California Department of Human Resources (CalHR) be consulted in identifying the study’s parameters and objectives.
3. Requires the UCB Labor Center to report to the Director of Finance, the chairperson of the Joint Legislative Budget Committee, and the chairpersons of the appropriate legislative policy and budget committees the findings of the study, including any alternative salary structures, by April 30, 2024.
4. Establishes that preparation of the report must not delay or prejudice the Ralph C. Dills Act (Dills Act) collective bargaining process, as specified.
5. Provides that the report must include, at minimum, each of the following:
6. The advantages of any alternative salary model or models included in the findings of the study;
7. The transition and ongoing costs associated with any alternative salary model included in the findings of the study;
8. Recommendations for appropriate salary ranges, using comparable salaries of similar professions in the state’s civil service, larger local agencies, higher education, or relevant industries; and,
9. Ways that alternative models address issues of horizontal and vertical salary relationships as compared to the historical relationships.
10. Subjects any increase in compensation resulting from the study to be implemented through the Dills Act collective bargaining framework and its processes, as provided.
11. Includes a codified legislative finding relating to recruitment, retention, high turnover, and low morale for these purposes.
12. Requires the report to be submitted in compliance with existing law, as specified.

EXISTING LAW:

1. Establishes, pursuant to Section 9, Article IX of the California Constitution as a public trust administered by the Regents of the UC with full powers and organization of government, subject to legislative control necessary to insure the security of its funds and compliance with the terms of the UC’s endowments and competitive bidding procedures as applicable to the UC by statute for the letting of construction contracts, sales of real property, and purchasing of materials, goods, and services, among other provisions.
2. Requires the CalHR to establish and adjust salary ranges for each class of position within the state civil service subject to any merit limits, as provided, and that the salary range be based on the principle that like salaries must be paid for comparable duties and responsibilities. In establishing or changing these ranges, consideration must be given to prevailing rates for comparable service in other public employment and private business, and the CalHR must not make adjustments that require expenditures in excess of existing appropriations that may be used for salary increases, but may make a change in a salary range retroactive to the date of application of the change.^[1]
3. Requires the CalHR to not establish, adjust, or recommend a salary range for any employees in an appropriate bargaining unit represented by an exclusive representative under the Dills Act, as specified.^[2]
4. Requires, at least six months before the expiration of a memorandum of understanding (MOU) or immediately upon reopening negotiations under the existing MOU, the CalHR must submit a report containing its findings relating to the salaries of employees in comparable occupations in private industry and other governmental agencies, to the meeting and conferring parties, as specified, and to the Legislature.^[3]
5. Establishes that the provisions within an MOU must be controlling if the aforementioned statutory provisions are in conflict, as provided.^[4]
6. Governs collective bargaining in the private sector under the federal National Labor Relations Act (NLRA) but leaves to the states the regulation of collective bargaining in their respective public sectors.

While the NLRA and the decisions of its National Labor Relations Board (NLRB) often provide persuasive precedent in interpreting state collective bargaining law, public employees generally have no collective bargaining rights absent specific statutory authority establishing those rights.^[5]

1. Provides several statutory frameworks under California law to provide public employees collective bargaining rights, govern public employer-employee relations, and limit labor strife and economic disruption in the public sector through a reasonable method of resolving disputes regarding wages, hours and other terms and conditions of employment between public employers and recognized public employee organizations or their exclusive representatives. These include the Dills Act, which provides collective bargaining for state employees of the executive branch and establishes a process for determining wages, hours, and terms and conditions of employment for represented employees, and excludes managers and confidential employees from bargaining rights.^[6]
2. Establishes the Public Employee Relations Board (PERB), a quasi-judicial administrative agency, to administer the several statewide public sector collective bargaining statutes that govern public employer-employee relations, including under the Dills Act.^[7]

FISCAL EFFECT: None. This bill is keyed fiscal by Legislative Counsel.

COMMENTS: Information provided by the author states that, “[t]he California Association of Professional Scientists (CAPS) represents more than 3,000 highly educated, specially trained state-employed scientists working in over 30 state departments and 81 scientific classifications whose members protect the public from life-threatening diseases, safeguard wildlife and abundant natural resources, and protect our air and water from toxic waste and pollution.

“State scientists salaries lag their local government and federal counterparts between 15 and 40 percent. If California is going to be able to hire and retain these scientists in the competitive world we live in, it will only come by improving promotional salary relationships that will enable California to compete for, and retain, the scientific expertise… [required] while minimizing the costs associated with high employee turnover and low morale.”

Further, “[The] UCB Labor Center has conducted several studies on state employee pay. Most recently for SEIU Local 1000,^[8] and in 2021, the Legislature passed and the Governor signed Chapter 240, Senate Bill 170 (Skinner), and Chapter 69 (Senate Bill 129, Skinner), which appropriated $2 million to the California State University to evaluate the salary structure of nonfaculty staff employees.”

For these purposes, information provided by the author states that, “[t]his bill will allow both CAPS and the state to enter into negotiations with a more informed understanding of what is an appropriate starting point for salary negations and hopefully will lead to a “chipping away” at the salary lag that currently exists.”

1. Brief Background Regarding the Dills Act

The first of California’s public sector bargaining laws was enacted in 1961. Known as the “George Brown Act” or “Brown Act,” this act originally covered all public employers and recognized employees’ right to participate and be represented by employee organizations. It also granted those organizations the right to meet and confer with the employer on matters affecting employment relations prior to action being taken on such matters.

The breadth of the Brown Act was reduced over time as subsequent statutes nearly removed all employees from coverage in favor of separate public employer-employee relations statutes recognizing the inherent differences and unique needs of the various public employers and their employees throughout the California public sector.

Among these separate statutes, proponents of collective bargaining for state employees were successful when former Senator Ralph C. Dills introduced a measure (i.e., the “Dills Act”) that only covered specific employees of the state was passed in 1977 and signed into law by former Governor Edmund “Jerry” G. Brown, Jr. in July1978.

1. This Bill

As stated under “Existing Law,” the UC is bestowed with constitutional authority and certain autonomy, subject to specified legislative control.

1. Suggestion to the Author for Consideration

Given the UC’s express authority under, and certain limitations imposed upon the Legislature by, the California Constitution regarding the UC, because this bill requires the UCB Labor Center – an entity or subdivision within the UC to perform the provisions of this bill, the requirements may be construed as legislative intrusion affecting the UC’s constitutional authority or autonomy. To the extent that its provisions in these regards may be deemed as such, the author may wish to further explore this item and appropriately amend this bill in the future to address this matter, if necessary.

1. Equity Solutions and Maximizing Benefits for Underserved and Marginalized Communities

Pursuant to House Resolution (HR) 39 (Gipson, 2021), to continue the Assembly’s commitment to investing in equity solutions and maximizing benefits for underserved and marginalized communities, legislative analyses of the Assembly must discuss the equity impact that a bill will, or may, have on such communities, if any.

This bill does not present a particular focus towards addressing equity in relation to maximizing benefits for underserved or marginalized communities as articulated in HR 39.

1. Conflict Notice to the Author

Legislative Counsel has informed the committee that a conflict exists with this bill and Assembly Bill 1254 (Flora). A conflict exists when two or more bills and/or constitutional amendments amend, add, repeal, or amend and renumber the same sections, article, chapter, division, or heading. The enactment of these measures in their present form could give rise to a serious legal problem that may be avoided by appropriate amendments.

1. Prior or Related Legislation

Assembly Bill 1254 (Flora, 2023) would require comparative pay for rank-and-file state Bargaining Unit (BU) 8 firefighters employed by the California Department of Forestry and Fire Protection (CAL FIRE) similar to those of other California fire departments, as specified, and among other provisions. On April 12, 2023, this bill was unanimously passed by the Assembly Committee on Public Employment and Retirement (7-0) and is currently pending in the Assembly Committee on Appropriations.

1. Comments by Supporter

The CAPS offers statements similar to those of the author.

1. Comments by Opponents

None one file.

REGISTERED SUPPORT / OPPOSITION:

Support

California Association of Professional Scientists (Sponsor)

Opposition

None on file.

Analysis Prepared by: Michael Bolden / P. E. & R. / (916) 319-3957

1. Section 19826 (a) of the Government (Gov.) Code. ↑

2. Subdivision (b), ibid. ↑

3. Subdivision (c), ibid. ↑

4. Subdivision (d), ibid. ↑

5. Sections 151 et seq., Title 29, United States Code. ↑

6. Sections 3512 et seq. of the Gov. Code. ↑

7. Sections 3541 et seq. of the Gov. Code. ↑

8. “State Workers Struggle to Make Ends Meet Throughout California; Women, Black, and Latino Workers are Disproportionately Affected.” UCB Labor Center. March 15, 2023. ↑