Employment without reinstatement: failure to enroll or report: fee.
The bill has implications for state laws governing public employee retirement, reinforcing regulations that demand accountability from employers. Failure to comply with these regulations could lead to additional costs for employers, thereby prompting them to streamline their administrative processes to avoid such fees. Moreover, the prohibition against passing these fees to employees suggests a protective measure for retired workers, ensuring they are not financially penalized for administrative oversights.
Assembly Bill 1309 aims to amend Section 21220 of the Government Code, relating to employment without reinstatement of retired public employees. The legislation is designed to ensure compliance among employers who hire retired members of the Public Employees Retirement System (PERS). Specifically, the bill allows the PERS board to assess a fee of $200 per month against employers who fail to enroll retired members for administrative recordkeeping purposes within 30 days of hire or do not report their working hours and pay rates as required.
Overall, the sentiment surrounding AB 1309 appears to be supportive among legislators who see it as a necessary regulation to uphold the integrity of the Public Employees Retirement System. It seeks to prevent any potential abuse of employment status among retired individuals and enforce standards that could lead to improved compliance. The supporters argue that the fees will incentivize employers to maintain better administrative practices.
However, there could be contention regarding the impact of these fees on small employers who might struggle to manage the administrative requirements imposed by the bill. Critics may argue that adding financial burdens could deter their willingness to hire retired public employees. The law's emphasis on compliance and reimbursement responsibilities also places scrutiny on employer practices, potentially resulting in resistance from certain sectors concerned about operational flexibility.