BILL ANALYSIS                                                                                                                                                                                                    






                           SENATE JUDICIARY COMMITTEE
                            Martha M. Escutia, Chair
                           2003-2004 Regular Session


          AB 196                                                 A
          Assembly Member Leno                                   B
          As Amended March 26, 2003
          Hearing Date: June 17, 2003                            1
          Government Code                                        9
          GMO:rm                                                 6
                                                                 

                                     SUBJECT
                                         
                             Gender Discrimination

                                   DESCRIPTION 

          This bill would import the definition of "gender" from hate  
          crimes statutes that prohibit violence against any person  
          on the grounds of gender or perceived gender into the Fair  
          Employment and Housing Act (FEHA), thereby extending the  
          FEHA prohibition against discrimination to that based on  
          perceptions of an individual's gender, regardless of  
          whether the perceived gender characteristics are different  
          from those traditionally associated with the individual's  
          sex at birth.

          The bill would permit employers to require employees to  
          adhere to reasonable workplace appearance and standards  
          consistent with state or federal law, provided that  
          employees are allowed to appear or dress consistently with  
          their gender identity.

                                    BACKGROUND  

          AB 196 resurrects AB 1649 (Goldberg, 2001, died on the  
          Senate Inactive File), which contained almost identical  
          language.  Sponsored by the same group, the California  
          Alliance for Pride and Equality, AB 196 seeks to prohibit  
          discrimination in housing and employment based on gender  
          stereotypes and to extend the protections of existing  
          anti-discrimination laws to transsexual and transgender  
          individuals.
                                                                 
          (more)



          AB 196 (Leno)
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                             CHANGES TO EXISTING LAW
           
           Existing law  , the Fair Employment and Housing Act (FEHA),  
          prohibits employment and housing discrimination based on  
          sex and sexual orientation, as well as race, religion,  
          color, national origin, ancestry, physical disability,  
          mental disability, medical condition, marital status, or  
          age, as those terms are defined.  [Government Code Sections  
          12920 et seq.]

           Existing law  defines prohibited acts of discrimination to  
          include the firing of or refusal to hire an individual  
          based on the individual's sex, harassing an individual  
          based on their sex, refusing to sell or rent housing to an  
          individual based on their sex, and setting terms of lending  
          for an individual based on their sex.

           Existing law  defines "sex" as including, but not limited  
          to, pregnancy, childbirth, or medical conditions related to  
          pregnancy or childbirth, and "sexual orientation" as  
          heterosexuality, homosexuality, and bisexuality.

           Existing law  defines "gender," for purposes of the hate  
          crimes statutes prohibiting violence against another or to  
          interfere with another's exercise of civil rights, as the  
          victim's actual sex or the defendant's perception of the  
          victim's sex, and includes the defendant's perception of  
          the victim's identity, appearance, or behavior, whether or  
          not that identity, appearance or behavior is different from  
          that traditionally associated with the victim's sex at  
          birth. [Penal Code Section 422.76.]

           This bill  would provide that for the purposes of FEHA, the  
          term "sex" shall include a person's gender, as that term is  
          defined in Penal Code Section 422.76.

           This bill  would permit an employer to require an employee  
          to adhere to reasonable workplace appearance, grooming and  
          dress standards not precluded by state or federal law,  
          provided the employee is allowed to appear or dress  
          consistently with the employee's gender identity.

                                    COMMENT
           
                                                                       




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          1.    Stated need for the bill  

            According to the sponsor, "[d]iscrimination is wrong and  
            hurts all Californians, especially when it is based on  
            characteristics like gender identity or expression that  
            have nothing to do [with] one's qualifications as an  
            employee or a tenant.  This bill will provide protection  
            to those who are fired, evicted, or harassed every day  
            because they exhibit traits not stereotypically  
            associated with their sex at birth.  Such traits may  
            include a person's personality, clothing, hairstyle,  
            speech, mannerisms, or demeanor; they may also include a  
            person's characteristics such as vocal pitch, facial  
            hair, or the size and shape of a person's body.  This  
            will protect men who are seen as "too feminine" and women  
            perceived as "too masculine."



          2.    Gender-based hate crime punishable under California  
            law; bill would extend protection to discriminatory  
            practices in housing and employment
             
            In California, no person may injure or threaten another  
            on the basis of that person's gender or perceived gender,  
            whether the person's appearance, identity or behavior  
            conforms to what is traditionally associated with that  
            person's sex at birth. [Penal Code Section 422.6.]  Other  
            "hate crimes" statutes prohibit offenses against  
            individuals on the same basis.  

            Both federal and state anti-discrimination laws prohibit  
            discrimination on the basis of sex.  Although the  
            statutes have used only the words "sex" and "sexual  
            orientation," case law has interchangeably used the words  
            "sex" and "gender."   Thus, the U.S. Supreme Court in  
             Price Waterhouse v. Hopkins , 490 U.S. 228 (1989) ruled  
            that the employer unlawfully discriminated against an  
            employee on the basis of sex by consciously giving  
            credence and effect to Price Waterhouse partners'  
            comments about her that resulted from sex stereotyping.   
            "Congress' intent to forbid employers to take gender into  
            account in making decisions appears on the face of the  
            statute?We take these words to mean that gender must be  
            irrelevant to employment decisions." [ Price Waterhouse  ,  
                                                                       




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            supra, at 240.]

            This bill would import the definition of "gender" under  
            the Penal Code statutes into the definition of "sex" in  
            the Fair Employment and Housing Act, thereby prohibiting  
            discriminatory practices in housing and employment on the  
            basis of one's gender or perceived gender.  Thus, the  
            bill would cover discrimination based on gender  
            stereotyping as well as discrimination against  
            transsexual and transgender individuals.

            Supporters of this bill argue that although the courts,  
            as well as the Department of Fair Employment and Housing,  
            have interpreted sex discrimination laws to include  
            gender as a protected characteristic, "it is critically  
            important to codify these protections in the law.   
            Without AB 196, the individuals who most need these  
            protections may not understand they are protected, and  
            employers and others may be unaware that this type of  
            discrimination is prohibited." [Letter from National  
            Center for Lesbian Rights, March 12, 2003.]

            Another supporter, the Human Rights Campaign, contends  
            that AB 196 will help businesses and property owners, as  
            well as employees and tenants, by explicitly clarifying  
            the legal expectations of employers and landlords.




          3.    Employers may still require reasonable dress and  
            appearance, but must allow employees to dress consistent  
            with gender identity
           
            This bill would specifically permit employers to require  
            that an employee adhere to reasonable workplace  
            appearance, grooming and dress standards that are not  
            otherwise precluded by other state or federal law,  
            provided the employer allows the employee to appear or  
            dress consistently with the employee's gender identity.

             a.    Bill would allow transsexuals or transgenders to  
               dress according to their gender identity  

               One criticism of AB 1649 (Goldberg), which merely  
                                                                       




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               imported the hate-crimes definition of gender into the  
               FEHA, was that it was too broad in scope, and that it  
               would have given employees unrestricted freedom to  
               dress as they pleased.

               This provision of the bill, which clearly allows  
               employers to require reasonable dress and appearance,  
               should take care of concerns raised by opponents that  
               the importation of the definition of "gender" from the  
               Penal Code to the FEHA could result in a person  
               dressing as one sex one day and of the opposite sex  
               another day, or a man dressing as a woman and a woman  
               dressing as a man, as long as he or she is  
               well-groomed.  Supporters argue that individuals who  
               claim a different gender from day to day, or who do so  
               simply in jest or to be disruptive, do not meet the  
               criteria for transsexuality.  Webster's New World  
               Dictionary defines "transsexual" as "a person who is  
               predisposed to identify with the opposite sex,  
               sometimes so strongly as to undergo surgery and  
               hormone injections to effect a change of sex."  It  
               would be up to the trier of fact to determine if an  
               individual meets this standard or other standard that  
               is consistent with the author's intent.  Supporters  
               argue that it would be most unlikely that day-to-day  
               changes or changes in jest in gender identity would be  
               covered by this bill.

               According to a recent survey by the Transgender Law  
               Center, nearly one in every two respondents had  
               experienced discrimination in employment and housing.   
               A 1999 study by the San Francisco Department of Public  
               health states that most transgender people have  
               experienced various types of employment discrimination  
               and are disproportionately driven into poverty.  The  
               study further reveals that the unemployment rate for  
               transgender people in San Francisco is 70%.  

               This bill is intended to offer protection to  
               transgender individuals.  However, it would also  
               benefit any person who does not possess traits or  
               conduct themselves in ways stereotypically associated  
               with his or her sex.  Thus, this bill would protect a  
               female employee from being implored to "walk more  
               femininely, talk more femininely, dress more  
                                                                       




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               femininely, wear make-up, have her hair styled, and  
               wear jewelry" in order to be promoted to partner in an  
               accounting firm. [  Price Waterhouse  , supra, quoting the  
               appellate court at 618 F. Supp., at 1117.] 

            b.    Opponents claim that bill would burden businesses

                Concerns of the bill's opponents are not assuaged by  
               this provision allowing an employer to require  
               reasonable dress and appearance at the workplace.

               The Chamber of Commerce, for example, contends that  
               importing the definition of gender from the Penal Code  
               into the workplace "would make almost any comment,  
               look, or action between workers a potential prohibited  
               act protected under FEHA?This bill would be especially  
               onerous for employers because regulating the workplace  
               is significantly different than the hate crime  
               situations under which this definition was developed."  
                They cite the fact that the workplace is already  
               highly regulated and employee protection from physical  
               violence is already covered under the Labor Code.   
               Further, they state, the elements of evidence  
               necessary to successfully prosecute under the Penal  
               Code is significantly more stringent than FEHA.

               Lastly, the Traditional Values Coalition contends that  
               "transgendered school teachers and employees could  
               have a detrimental effect on a student's natural  
               gender identity.  This bill seeks to challenge the  
               norms of society through the force of law."


          Support:Lieutenant Governor Cruz Bustamante; AIDS Project  
                 East Bay; AIDS
                 Project Los Angeles; AIDS Legal Referral Panel  
                 (ALRP); Alice B. Toklas Lesbian Gay Bisexual  
                 Transgender Democratic Club; American Civil  
                 Liberties Union; American Federation of State,  
                 County and Municipal Employees, AFL-CIO;  
                 Anti-Defamation League; Bay Area Lawyers for  
                 Individual Freedom; Billy DeFrank Lesbian Gay  
                 Bisexual Transgender Community Center of Silicon  
                 Valley; Board of Supervisors, City and County of San  
                 Francisco; Bunny Inc.; California Apartment  
                                                                       




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                 Association; California Chapter of the National  
                 Association of Social Workers; California Church  
                 Impact, Public Policy Coordinator; California  
                 Commission on the Status of Women; California  
                 Independent Public Employees Legislative Council;  
                 California Labor Federation; California Independent  
                 Public Employees Legislative Council; California  
                 Professional Firefighters; California National  
                 Organization for Women; California School Employees  
                 Association; California State Employees Association;  
                 California Teachers Association; California Women's  
                 Law Center; Catholic War Veterans of the United  
                 States, Coachella Valley Chapter; Charles Zukow  
                 Associates; Chinese for Affirmative Action; City of  
                 San Francisco; City of Santa Cruz; Donordigital;  
                 East Bay Community Law Center; Eleanor Roosevelt  
                 Democratic Club; Elections Committee of the County  
                 of Orange; Equal Rights Advocates; Eviction Defense  
                 Collaborative; Friends Committee on Legislation; FTM  
                 International; Gay-Straight Alliance Network; Golden  
                 Gate Business Association; Greater San Diego  
                 Business Association; Harvey Milk Lesbian Gay  
                 Bisexual Transgender Democratic Club; Housing  
                 California; Housing Rights Committee of San  
                 Francisco; Human Rights Campaign; Human Rights/Fair  
                 Housing Commission of the City and County of  
                 Sacramento; Human Rights Commission of the City and  
                 County of San Francisco; Lambda Legal; Lambda  
                 Letters Project; L.A. Gay and Lesbian Center;  
                 Mexican American Legal Defense and Education Fund;  
                 Mossinger Consulting; National Center for Lesbian  
                 Rights; National Gay and Lesbian Task Force;  
                 National Transgender Advocacy Coalition; New Leaf  
                 Services For Our Community; Northern California  
                 Nevada Conference of the United Church of Christ;  
                 Olivia Cruises and Resorts; Orange County  
                 Transgender Taskforce; SAF-T Corporation; San Diego  
                 TransFamily; Santa Barbara Women's Political  
                 Committee; San Francisco Tenants Union; Senior  
                 Housing Action Collaborative; Service Employees  
                 International Union (SEIU); Southern California HIV  
                 Advocacy Coalition; Southern California Nevada  
                 Conference United Church of Christ; Spectrum  
                 Magazine; Stonewall Democratic Club of Greater  
                 Sacramento; The Center San Diego County; The Legal  
                                                                       




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                 Aid Society; The "Ministry In Action Commission" of  
                 St. Mark's United Methodist Church; Toltec Center of  
                 Creative Intent; Transgender Law Center; Women's  
                 Employment Rights Clinic of Golden Gate University;  
                 Woodenship; several individuals

          Opposition:California Chamber of Commerce; California  
          Employment Law
                    Council; California Manufacturers & Technology  
               Association;
                    Committee on Moral Concerns; Eagle Forum of  
               California; Irvine
                    Chamber of Commerce; Traditional Values  
               Coalition; Women 
                    Volunteer in Politics; several individuals


                                     HISTORY
           
          Source: California Alliance for Pride and Equality (CAPE)  
          (sponsor)

          Related Pending Legislation: None Known

          Prior Legislation: AB 1649 (Goldberg, 2001).  Passed by  
                       Senate Judiciary Committee, but died on the  
                       Senate Inactive File.

          Prior Vote: Asm. L.&E. (Ayes 6, Noes 1); Asm. Appr. (Ayes  
                  17, Noes 8); Asm. Flr. (Ayes 42, Noes 34)

          
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