California Labor &
Employment Law Blog
Sep. 27 2010

Governor Vetoes Several Employment Bills

Topics: New Laws & Legislation

California employers will be relieved to know that Governor Schwarzenegger has vetoed a number of unfavorable employment bills that were passed by the California Legislature this session. Here is a list of bills he has vetoed:

AB 482: This legislation would have prohibited employers from using credit checks for employment purposes, except in limited circumstances. The Governor vetoed the bill, stating that existing law already provides protections for employees from improper use of credit reports and that this bill would "significantly increase the exposure for potential litigation over the use of credit checks."

AB 1881: This legislation would have increased the liquidated damages recoverable in an action for unpaid minimum wage. In the Governor's veto message, he said that existing law already provides for liquidated damages, interest, other penalties and attorneys' fees, and there is no evidence that that current enforcement and protections are insufficient.

AB 2187: This bill would have criminalized a person or employer's failure to pay all wages owed to an employee within 90 days of separation of employment. The Governor vetoed the bill, stating that the legislation is unecessary because there are already mechanisms in place (e.g. waiting time penalties) for enforcement of an employer's obligation to timely pay final wages.

We will continue to post developments on other employment-related bills currently before the Governor.

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