California 2023 2023-2024 Regular Session

California Assembly Bill AB2068 Amended / Bill

Filed 03/18/2024

                    Amended IN  Assembly  March 18, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2068Introduced by Assembly Member OrtegaFebruary 05, 2024An act to amend Section 53 of the Labor Code, relating to employment. add Section 1412.1 to the Labor Code, relating to employment.LEGISLATIVE COUNSEL'S DIGESTAB 2068, as amended, Ortega. Department of Industrial Relations. Employment protections: call centers.Existing law generally regulates the wages, hours, and working conditions of people employed in any occupation. Existing law creates the Division of Labor Standards Enforcement, the head of which is the Labor Commissioner. Existing law authorizes the Labor Commissioner to enforce certain notice requirements concerning a mass layoff, relocation, or termination of employees, including call center employees. Existing law prohibits a call center employer from ordering a relocation of its call center, or one or more of its facilities or operating units within a call center, unless notice of the relocation is provided to the affected employees and the Employment Development Department, local workforce investment board, and the chief elected official of each city and county government within which the termination, relocation, or mass layoff occurs, as specified. This bill would require each state agency, on and after January 1, 2025, that enters into a contract with a private entity specifically for call center work to provide public or customer service for that agency or another state agency to provide a report to the Labor Commissioner containing certain information about the total number of jobs that will be located within California and outside the state. The bill would additionally require a reporting state agency, for a contract for which less than 90% of the total covered jobs are located within the state, or less than 90% of the overall volume of calls are handled within the state, to provide the Labor Commissioner with a report containing a proposal to reduce the percentage of out-of-state jobs by no less than 50% of the initial projections, as specified. Existing law establishes in the Labor and Workforce Development Agency the Department of Industrial Relations for specified purposes and provides for its administration by the Director of Industrial Relations. Existing law defines the designation head of the department to mean the Director of Industrial Relations, unless the Labor Code expressly provides that another entity has jurisdiction over a specific matter.This bill would make nonsubstantive changes to that definition.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 1412.1 is added to the Labor Code, to read:1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.SECTION 1.Section 53 of the Labor Code is amended to read:53.Whenever in Section 1001, or in Part 1 (commencing with Section 11000) of Division 3 of Title 2, of the Government Code head of the department or similar designation occurs, the designation, for the purposes of this code, shall mean the director, except, in respect to matters which by the express provisions of this code are committed to or retained under the jurisdiction of the Division of Workers Compensation, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, the designation shall mean the Division of Workers Compensation, the Administrative Director of the Division of Workers Compensation, the Workers Compensation Appeals Board, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, as the case may be.

 Amended IN  Assembly  March 18, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2068Introduced by Assembly Member OrtegaFebruary 05, 2024An act to amend Section 53 of the Labor Code, relating to employment. add Section 1412.1 to the Labor Code, relating to employment.LEGISLATIVE COUNSEL'S DIGESTAB 2068, as amended, Ortega. Department of Industrial Relations. Employment protections: call centers.Existing law generally regulates the wages, hours, and working conditions of people employed in any occupation. Existing law creates the Division of Labor Standards Enforcement, the head of which is the Labor Commissioner. Existing law authorizes the Labor Commissioner to enforce certain notice requirements concerning a mass layoff, relocation, or termination of employees, including call center employees. Existing law prohibits a call center employer from ordering a relocation of its call center, or one or more of its facilities or operating units within a call center, unless notice of the relocation is provided to the affected employees and the Employment Development Department, local workforce investment board, and the chief elected official of each city and county government within which the termination, relocation, or mass layoff occurs, as specified. This bill would require each state agency, on and after January 1, 2025, that enters into a contract with a private entity specifically for call center work to provide public or customer service for that agency or another state agency to provide a report to the Labor Commissioner containing certain information about the total number of jobs that will be located within California and outside the state. The bill would additionally require a reporting state agency, for a contract for which less than 90% of the total covered jobs are located within the state, or less than 90% of the overall volume of calls are handled within the state, to provide the Labor Commissioner with a report containing a proposal to reduce the percentage of out-of-state jobs by no less than 50% of the initial projections, as specified. Existing law establishes in the Labor and Workforce Development Agency the Department of Industrial Relations for specified purposes and provides for its administration by the Director of Industrial Relations. Existing law defines the designation head of the department to mean the Director of Industrial Relations, unless the Labor Code expressly provides that another entity has jurisdiction over a specific matter.This bill would make nonsubstantive changes to that definition.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO 

 Amended IN  Assembly  March 18, 2024

Amended IN  Assembly  March 18, 2024

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Assembly Bill 

No. 2068

Introduced by Assembly Member OrtegaFebruary 05, 2024

Introduced by Assembly Member Ortega
February 05, 2024

An act to amend Section 53 of the Labor Code, relating to employment. add Section 1412.1 to the Labor Code, relating to employment.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 2068, as amended, Ortega. Department of Industrial Relations. Employment protections: call centers.

Existing law generally regulates the wages, hours, and working conditions of people employed in any occupation. Existing law creates the Division of Labor Standards Enforcement, the head of which is the Labor Commissioner. Existing law authorizes the Labor Commissioner to enforce certain notice requirements concerning a mass layoff, relocation, or termination of employees, including call center employees. Existing law prohibits a call center employer from ordering a relocation of its call center, or one or more of its facilities or operating units within a call center, unless notice of the relocation is provided to the affected employees and the Employment Development Department, local workforce investment board, and the chief elected official of each city and county government within which the termination, relocation, or mass layoff occurs, as specified. This bill would require each state agency, on and after January 1, 2025, that enters into a contract with a private entity specifically for call center work to provide public or customer service for that agency or another state agency to provide a report to the Labor Commissioner containing certain information about the total number of jobs that will be located within California and outside the state. The bill would additionally require a reporting state agency, for a contract for which less than 90% of the total covered jobs are located within the state, or less than 90% of the overall volume of calls are handled within the state, to provide the Labor Commissioner with a report containing a proposal to reduce the percentage of out-of-state jobs by no less than 50% of the initial projections, as specified. Existing law establishes in the Labor and Workforce Development Agency the Department of Industrial Relations for specified purposes and provides for its administration by the Director of Industrial Relations. Existing law defines the designation head of the department to mean the Director of Industrial Relations, unless the Labor Code expressly provides that another entity has jurisdiction over a specific matter.This bill would make nonsubstantive changes to that definition.

Existing law generally regulates the wages, hours, and working conditions of people employed in any occupation. Existing law creates the Division of Labor Standards Enforcement, the head of which is the Labor Commissioner. Existing law authorizes the Labor Commissioner to enforce certain notice requirements concerning a mass layoff, relocation, or termination of employees, including call center employees. 

Existing law prohibits a call center employer from ordering a relocation of its call center, or one or more of its facilities or operating units within a call center, unless notice of the relocation is provided to the affected employees and the Employment Development Department, local workforce investment board, and the chief elected official of each city and county government within which the termination, relocation, or mass layoff occurs, as specified. 

This bill would require each state agency, on and after January 1, 2025, that enters into a contract with a private entity specifically for call center work to provide public or customer service for that agency or another state agency to provide a report to the Labor Commissioner containing certain information about the total number of jobs that will be located within California and outside the state. The bill would additionally require a reporting state agency, for a contract for which less than 90% of the total covered jobs are located within the state, or less than 90% of the overall volume of calls are handled within the state, to provide the Labor Commissioner with a report containing a proposal to reduce the percentage of out-of-state jobs by no less than 50% of the initial projections, as specified. 

Existing law establishes in the Labor and Workforce Development Agency the Department of Industrial Relations for specified purposes and provides for its administration by the Director of Industrial Relations. Existing law defines the designation head of the department to mean the Director of Industrial Relations, unless the Labor Code expressly provides that another entity has jurisdiction over a specific matter.



This bill would make nonsubstantive changes to that definition.



## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 1412.1 is added to the Labor Code, to read:1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.SECTION 1.Section 53 of the Labor Code is amended to read:53.Whenever in Section 1001, or in Part 1 (commencing with Section 11000) of Division 3 of Title 2, of the Government Code head of the department or similar designation occurs, the designation, for the purposes of this code, shall mean the director, except, in respect to matters which by the express provisions of this code are committed to or retained under the jurisdiction of the Division of Workers Compensation, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, the designation shall mean the Division of Workers Compensation, the Administrative Director of the Division of Workers Compensation, the Workers Compensation Appeals Board, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, as the case may be.

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

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

SECTION 1. Section 1412.1 is added to the Labor Code, to read:1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.

SECTION 1. Section 1412.1 is added to the Labor Code, to read:

### SECTION 1.

1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.

1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.

1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.



1412.1. (a) On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:

(1) The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.

(2) The projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.

(3) The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.

(b) The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.

(c) For any contract for which less than 90 percent of the total covered jobs are located within the state, or less than 90 percent of the overall volume of calls handled within the state, the reporting state agency shall provide the Labor Commissioner with a report, no later than six months after the start date of any applicable contract as described in subdivision (a), containing a proposal to reduce the percentage of out-of-state jobs pursuant to an applicable contract, by no less than 50 percent of the initial projections. This proposal shall cover any term beyond the existing term of the described contract.

(d) For any proposal submitted pursuant to subdivision (c), the proposal shall be reviewed prior to any contract renewal, amendment, or extension is entered into by a state agency, and any renewal, amendment, or extension entered into thereafter shall describe whether the number and percentage of out-of-state jobs shall increase, decrease, or remain the same, and any efforts or strategies that shall be used to increase the number of in-state jobs.

(e) The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b) at the request of any member of the public.





Whenever in Section 1001, or in Part 1 (commencing with Section 11000) of Division 3 of Title 2, of the Government Code head of the department or similar designation occurs, the designation, for the purposes of this code, shall mean the director, except, in respect to matters which by the express provisions of this code are committed to or retained under the jurisdiction of the Division of Workers Compensation, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, the designation shall mean the Division of Workers Compensation, the Administrative Director of the Division of Workers Compensation, the Workers Compensation Appeals Board, the State Compensation Insurance Fund, the Occupational Safety and Health Standards Board, the Occupational Safety and Health Appeals Board, or the Industrial Welfare Commission, as the case may be.