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OLR Bill Analysis
sHB 6475
AN ACT CONCERNING PUBLIC ENFORCEMENT ACTIONS.
SUMMARY
This bill creates a method for a whistleblower or a representative
organization to initiate an action in Superior Court on behalf of, and in
the name of, the state to enforce certain employee protections (i.e., a
public enforcement action). The action may allege multiple violations
affecting different individuals aggrieved by the same defendant and
may seek any injunctive and declaratory relief that the state would be
entitled to seek. A “representative organization” is a nonprofit
corporation or a labor organization that a whistleblower selected to
initiate a public enforcement action on the whistleblower’s behalf.
For purposes of public enforcement actions brought under the bill,
whenever the state is authorized to assess a civil penalty, the court
may assess the same penalty. To the extent that the state is authorized
to determine if an employer violated a provision of the bill, the court
may determine that an employer has committed such a violation.
The bill details how any civil penalty awarded by the court would
be divided between state agencies and the relator (i.e., whistleblower
or a representative organization) (see BACKGROUND). It also
establishes the process a relator must follow, including a notice to the
Attorney General’s Office (AG), and anti-retaliation provisions.
The bill states that its provisions must be construed in light of its
remedial purpose to expand the enforcement of state law protecting
employees and that the right to bring a public enforcement action
under the bill cannot be impaired by any private agreement.
Finally, the bill creates a community outreach and workplace
account as a separate, nonlapsing General Fund account and directs 2021HB-06475-R000387-BA.DOCX
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25% of any civil penalties distributed under the bill to this account. The
labor commissioner can grant the funds to labor or nonprofit
organizations to fund outreach, education, and technical assistance
related to employee workplace rights.
EFFECTIVE DATE: October 1, 2021
REQUIRED PROCESS FOR A RELATOR TO SEE K A PUBLIC
ENFORCEMENT ACTION
The bill creates a method for a whistleblower (i.e., a current or
former employee, contractor, subcontractor, or contractor or
subcontractor employee) or a representative organization to initiate a
public enforcement action in Superior Court on behalf of, and in the
name of, the state. The bill defines “public enforcement action” as a
civil action brought to enforce employee protections regarding
employment regulation (including prevailing wage and paid family
and medical leave), wages (including minimum wage and overtime),
and discriminatory employment practices.
Under the bill, a whistleblower may select a representative
organization, which is either a nonprofit corporation or a labor
organization, in writing on a form prescribed by the attorney general,
to initiate a public enforcement action on the whistleblower’s behalf.
(The bill does not specifically direct the attorney general to create the
form.)
Notice of Action
Before filing a public enforcement action under the bill, a relator
(i.e., a whistleblower or a representative organization) must submit
written notice of the action to each responsible state official and the
attorney general. The responsible state official is the state official
authorized to (1) enforce the covered laws or (2) impose or seek
penalties or other remedies for violations of these laws. It includes
people delegated to act on the responsible state official’s behalf for
these purposes or for receiving and disposing of notices under the bill.
The responsible officials and covered laws include the labor
commissioner for overtime law and the Commission on Human Rights 2021HB-06475-R000387-BA.DOCX
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and Opportunities for unfair labor practices such as racial or gender
discrimination at the workplace.
The notice must be construed in the light most favorable to the
relator. It must include a statement about the underlying claim and the
name, address, and contact information of the:
1. alleged violator;
2. relator;
3. representative organization (if applicable), and a statement of its
qualifications as a representative organization; and
4. relator’s legal counsel, if there is legal counsel.
If the state intends to investigate the alleged violation contained in
the public enforcement action, it must notify the relator of its decision
no later than 60 days after receiving the required notice. (The bill does
not indicate whether the AG or the responsible state official must
notify the relator.)
Window to File a Public Enforcement Action
Regardless of any other state statute, a public enforcement action to
recover penalties imposed under the bill must be commenced within
the same period of time that the state may file a public enforcement
action based on the same set of alleged violations. This means the
window to file a public enforcement action depends upon the law for
the violation being alleged. The statute of limitations for bringing a
public enforcement action under the bill is tolled from the date a
relator files a notice required by the bill or the date the state
commences an investigation, whichever is earlier.
PROHIBITED PUBLIC ENFORCEMENTS
The bill bars a relator from bringing a public enforcement action
under the following circumstances:
1. if the state, on the same facts and theories, cites a person within
the period of time that the state may file a public enforcement 2021HB-06475-R000387-BA.DOCX
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action for a violation of the same authority under which the
relator is attempting to recover a civil penalty or other remedy,
or
2. for any violation of a posting, notice, agency reporting, or filing
requirement, unless the filing or reporting requirement involves
mandatory payroll or injury reporting.
STATE INTERVENTION
After the filing of a public enforcement action, the state may
intervene as of right and proceed with any and all claims in the action.
The state may assess penalties if it has intervened in a public
enforcement action under the bill.
If the state intervenes, the bill specifies that it does not limit the
state’s right to seek restitution and damages, where available, for
relators as part of a public enforcement action.
PENALTIES
Amount
For any provision of the bill where no civil penalty is specifically
provided by law, the bill imposes a civil penalty of $500. This penalty
must be imposed for each party aggrieved by each violation during
each two-week period that the violation occurs.
The court may impose a lesser amount of civil penalties than those
specified if, based on the facts and circumstances of the particular case,
to do otherwise would result in a penalty that is arbitrary and
oppressive or confiscatory.
A relator that prevails in an action under the bill, whether or not the
state has intervened in the action, is entitled to an award by the court
of reasonable attorney’s fees and costs.
Award Distribution
Civil penalties recovered in a public enforcement action pursuant to
the bill must be distributed as follows: 2021HB-06475-R000387-BA.DOCX
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1. where the state has not intervened, (a) 30% to the relator, (b)
20% to the AG, and (c) 50% to the office of the state official
responsible for enforcing the action; and
2. where the state has intervened, (a) 20% to the relator, (b) 30% to
the AG, and (C) 50% to the office of the state official responsible
for the enforcement.
Furthermore, 25% of the amount that goes to the state office
responsible for enforcing the action must be deposited in the
community outreach and workplace account (see below).
The relator must equitably distribute all penalties due to the relator
among the parties aggrieved by the practices cited in the public
enforcement action. The relator must submit a written distribution
summary to the state (presumably to the attorney general’s office) and
the state may order a different distribution within 60 days after
receiving it. The bill requires that the relator receive compensation that
reflects the burdens and risks assumed by the relator in prosecuting
the action, including any costs incurred by a representative
organization that services as a relator.
ANTI-RETALIATION
The bill bans any person from retaliating in any manner against a
relator, potential relator, or person, or threatening to retaliate against a
relator, potential relator, or person, because:
1. the relator or potential relator brought, or is perceived to have
brought, a public enforcement action;
2. the relator or potential relator cooperated in a public
enforcement action; or
3. the person believes that the relator or potential relator may
bring a public enforcement action or cooperate with one.
Any person aggrieved by a violation of any of the above may bring
an action in the Superior Court for compensatory, liquidated, and 2021HB-06475-R000387-BA.DOCX
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punitive damages or equitable relief, including restraint of prohibited
acts, restitution of wages or benefits, reinstatement of employment,
costs, reasonable attorney’s fees and other appropriate relief.
The bill also creates a rebuttable presumption that any adverse
action taken against a relator within 90 days after the relator filed a
public enforcement action is retaliatory.
COMMUNITY OUTREACH A ND WORKPLACE ACCOUNT AND
GRANT PROGRAM
The bill establishes an account to be known as the “community
outreach and workplace account” as a separate, nonlapsing account
within the General Fund.
The bill requires that 25% of the civil penalties distributed to the
state official responsible for enforcing the complaint that was the
subject of the public enforcement action be deposited into the new
account. The labor department must use the account’s funds to award
grants to labor or nonprofit organizations to fund outreach, education,
and technical assistance pertaining to employee rights in the
workplace. Grants provided under the bill must be used for activities
to assist workers in enforcing employment rights, including outreach,
community-based education events, training materials, technical
assistance, counseling, research, and referral services.
The bill requires the commissioner to give priority to projects that
provide services to vulnerable workers, including low-wage,
immigrant, refugee and contingent workers; women; lesbian, gay,
bisexual, or transgendered workers; workers with disabilities; and
injured workers.
The bill authorizes the labor department to adopt implementing
regulations related to the community outreach and workplace account
and the related grants.
BACKGROUND
Relator
A relator is a private party that brings a court action on the 2021HB-06475-R000387-BA.DOCX
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government’s behalf. The government, not the relator, is considered
the real plaintiff. If the action succeeds in court, the relator receives a
share of the award.
COMMITTEE ACTION
Labor and Public Employees Committee
Joint Favorable Substitute
Yea 9 Nay 4 (03/23/2021)