Governor signs bill pressuring some businesses to rehire workers

April 20, 2021

Gov. Gavin Newsom

By JOSH FRIEDMAN

A bill signed into law Friday by California Gov. Gavin Newsom will require some businesses, particularly in the hospitality sector, to attempt to rehire workers who lost their jobs during the coronavirus pandemic.

SB 93 requires certain employers to provide laid-off employees specified information about positions that become available for which the workers are qualified. The employers must then offer the jobs to laid-off workers based on a preference system. The job offers must come within five business days of positions opening up.

Rehiring rules outlined in SB 93 apply to hotels, airport hospitality operations and airport service providers, event centers, private clubs and firms that provide “building services to office, retail or other commercial buildings.”

A laid-off worker counts as qualified for a job if the individual previously held the same or similar position with the company at the time of the employee’s layoff. The laid-off workers must have been employed by the company for six months or more in 2019 and have lost work because of reasons related to the pandemic in order for the job offer mandate to apply.

Businesses that violate the rules can face civil penalties of $100 for each impacted employee, as well as compensatory damages of $500 per employee per day. The damages would be collected by California’s labor commissioner and paid to the laid-off workers.

Last September, Newsom vetoed a similar bill, AB 3216, that would have required the same types of businesses to offer jobs to laid-off employees as positions open up. SB 93 progressed through the state Legislature in an expedited manner because of its status as a budget trailer bill.

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shishkabob141

Just how many ways can he push citizens to vote for the recall?


Rambunctious

It always amazes me that an entity like state government that moves at a snails pace wants businesses to move at rocket speed to obey and implement the edicts from the king…its easy to shut us down Mr. Newsom but it takes time for small businesses to get back on track….


kayaknut

Here’s a suggestion Governor, stop paying people more not work than if they accepted a job.


slo_full_of_slow_learners

This law is to prevent such instances, where it is cheaper for an employer to hire less experienced employees than to bring back on old staff at their prior wage.


Something like this: Someone works at hotel for 15 years as general manager, they make $27 an hour. They get laid off during covid and start collecting unemployment. They attempt to get their job back when restrictions are lifted, only to find their position was filled by someone who is now paid $16 an hour. They then try to apply at another hotel only to find that they too pay general managers $16 an hour (the new “normal”).


I find it funny how businesses that “are unable to find new hires” automatically translates to “unemployed people are lazy”. Instead of maybe asking why nobody wants to work for $10-15 an hour… Hint* it’s because that’s a joke wage in this state…


Francesca Bolognini

Anytime people can make more money on the poverty wages of unemployment than if they took a job, that job was offering crap wages. Why work for “wages” that do not even support life?


isoslo

This is a horrible law. Let businesses run their business the way they see fit. Any competent laid off person will find employment. This will be an unnecessary burden on business


shishkabob141

As long as people can make more on unemployment than they would going to work they will stay at home and wait for the mailman.


Francesca Bolognini

Better to “wait for the mailman” than work all day for less than subsistence pay. Unemployment is poverty wages. Why work for what won’t even support life? That would just be stupid.