Texas 2019 - 86th Regular

Texas Senate Bill SB589 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R7268 JSC-D
2	2	By: Watson S.B. No. 589
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the prohibition of certain required nondisclosure and
8	8	arbitration agreements.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subchapter B, Chapter 21, Labor Code, is amended
11	11	by adding Section 21.0605 to read as follows:
12	12	Sec. 21.0605. REQUIRING NONDISCLOSURE OR ARBITRATION
13	13	AGREEMENT. An employer commits an unlawful employment practice if
14	14	the employer fails or refuses to hire, discharges, harasses, or in
15	15	any other manner discriminates against an individual in connection
16	16	with compensation, terms, conditions, or privileges of employment
17	17	because the individual refuses to sign an agreement prohibited
18	18	under Chapter 25.
19	19	SECTION 2. Subtitle A, Title 2, Labor Code, is amended by
20	20	adding Chapter 25 to read as follows:
21	21	CHAPTER 25. CERTAIN NONDISCLOSURE AND ARBITRATION AGREEMENTS
22	22	PROHIBITED
23	23	Sec. 25.001. DEFINITIONS. For the purposes of this
24	24	chapter:
25	25	(1) "Sexual assault" means conduct described by
26	26	Section 22.011 or 22.021, Penal Code.
27	27	(2) "Sexual harassment" means an unwelcome sexual
28	28	advance, a request for a sexual favor, or any other verbal or
29	29	physical conduct of a sexual nature if:
30	30	(A) submission to the advance, request, or
31	31	conduct is made a term or condition of an individual's employment,
32	32	either explicitly or implicitly;
33	33	(B) submission to or rejection of the advance,
34	34	request, or conduct by an individual is used as the basis for an
35	35	employment decision;
36	36	(C) the advance, request, or conduct has the
37	37	purpose or effect of unreasonably interfering with an individual's
38	38	work performance; or
39	39	(D) the advance, request, or conduct has the
40	40	purpose or effect of creating an intimidating, hostile, or
41	41	offensive working environment.
42	42	Sec. 25.002. CERTAIN AGREEMENTS PROHIBITING REPORTING OR
43	43	DISCLOSURE OF SEXUAL ASSAULT OR SEXUAL HARASSMENT VOID AND
44	44	UNENFORCEABLE. A nondisclosure or confidentiality agreement or
45	45	other agreement between an employer and an employee is void and
46	46	unenforceable as against the public policy of this state to the
47	47	extent the agreement:
48	48	(1) prohibits the employee from notifying, or limits
49	49	the employee's ability to notify, a local or state law enforcement
50	50	agency or any state or federal regulatory agency of sexual assault
51	51	or sexual harassment committed by an employee of the employer or at
52	52	the employee's place of employment; or
53	53	(2) prohibits an employee from disclosing to any
54	54	person, including during any related investigation, prosecution,
55	55	legal proceeding, or dispute resolution, facts surrounding any
56	56	sexual assault or sexual harassment committed by an employee of the
57	57	employer or at the employee's place of employment, including the
58	58	identity of the alleged offender.
59	59	Sec. 25.003. MANDATORY ARBITRATION AGREEMENT COVERING
60	60	DISPUTE INVOLVING ALLEGATION OF SEXUAL ASSAULT OR SEXUAL HARASSMENT
61	61	VOID AND UNENFORCEABLE. A mandatory arbitration agreement between
62	62	an employer and an employee is void and unenforceable as against the
63	63	public policy of this state to the extent the agreement imposes
64	64	mandatory arbitration of a dispute involving an allegation of
65	65	sexual assault or sexual harassment.
66	66	Sec. 25.004. CIVIL SETTLEMENT AGREEMENTS. (a) This
67	67	section applies to a settlement agreement related to a claim filed
68	68	in a civil action or a complaint filed in an administrative action
69	69	involving sexual assault or sexual harassment committed by an
70	70	employee of the employer or at the employee's place of employment.
71	71	(b) This chapter does not prohibit a settlement agreement to
72	72	which this section applies that contains a provision that prevents
73	73	the disclosure of factual information related to the claim or
74	74	complaint.
75	75	SECTION 3. (a) Section 21.0605, Labor Code, as added by
76	76	this Act, applies only to an unlawful employment practice that
77	77	occurs on or after the effective date of this Act.
78	78	(b) Sections 25.002 and 25.003, Labor Code, as added by this
79	79	Act, apply to an agreement entered into before, on, or after the
80	80	effective date of this Act.
81	81	SECTION 4. This Act takes effect September 1, 2019.