BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 623| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: SB 623 Author: Lara (D) Amended: 4/14/15 Vote: 21 SENATE LABOR & IND. REL. COMMITTEE: 5-0, 4/8/15 AYES: Mendoza, Stone, Jackson, Leno, Mitchell SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8 SUBJECT: Workers compensation: benefits SOURCE: California Applicants' Attorneys Association California Teamsters Public Affairs Council DIGEST: This bill restates and reinforces existing law on the right of undocumented workers to be eligible for benefits from the Uninsured Employers Benefits Trust Fund and the Subsequent Injuries Benefits Trust Fund. ANALYSIS: Existing law: 1)Establishes a workers' compensation system that provides benefits to an employee who suffers from an injury or illness that arises out of and in the course of employment, irrespective of fault. This system requires all employers to SB 623 Page 2 secure payment of benefits by either securing the consent of the Department of Industrial Relations (DIR) to self-insure or by securing insurance against liability from an insurance company duly authorized by the state. 2)Provides that all protections, rights, and remedies available under state law, except any reinstatement remedy prohibited by federal law, are available to all individuals regardless of immigration status who have applied for employment, or who are or who have been employed, in California. (Labor Code §1171.5) 3)Creates the Uninsured Employers Benefits Trust Fund (UEBTF), which provides benefits for injured workers who are employed by illegally uninsured employers. Benefits awarded from the UEBTF constitute a liquated damage against the illegally uninsured employer, which the Director of DIR may pursue against the employer and/or significant shareholders. (Labor Code §§ 3716-3717) 4)Creates the Subsequent Injuries Benefits Trust Fund (SIBTF), which provides additional compensation for injured workers who are receiving permanent disability benefits and suffer a second injury that the degree of injury caused by the second injury is greater than what would have resulted from the first permanent injury alone. (Labor Code § 4751) 5)Provides that a State may provide that an individual who is not lawfully present in the United States is eligible for any State or local public benefit for which such alien would otherwise be ineligible through the enactment of a State law which affirmatively provides for such eligibility. (8 U.S. Code § 1621(d)) This bill: 1)Restates and reiterates existing law, which currently allows undocumented injured workers to be eligible for benefits from SB 623 Page 3 the UEBTF and the SIBTF. 2)Declares the intent of the Legislature to override regulations which prevent undocumented workers from accessing benefits from the UEBTF and the SIBTF. NOTE: See the Senate Labor and Industrial Relations Committee analysis for a full discussion of this bill. FISCAL EFFECT: Appropriation: Yes Fiscal Com.:YesLocal: No SUPPORT: (Verified4/8/15) California Applicants' Attorneys Association (co-source) California Teamsters Public Affairs Council (co-source) Association of California Insurance Companies California Association of Joint Powers Authorities California Chamber of Commerce California Coalition on Workers' Compensation California Conference of Machinists California Conference of the Amalgamated Transit Union California Labor Federation, AFL-CIO California Manufacturers and Technology Association California Nurses Association California Restaurant Association California Rural Legal Assistance Foundation Engineers & Scientists of California, AFTPE Local 20, AFL-CIO International Longshore and Warehouse Union Professional & Technical Engineers, IFTPE Local 21, AFL-CIO Utility Workers Union of America OPPOSITION: (Verified4/8/15) None received SB 623 Page 4 ARGUMENTS IN SUPPORT: The California Applicants' Attorneys Association (CAAA) and the California Chamber of Commerce strongly support SB 623, arguing that SB 623 clarifies current law so that no injured worker is refused benefits from the UEBTF and the SIBTFbased on their immigration status. CAAA argues that it is time for the out-of-date Division of Workers' Compensation regulations which allowed undocumented workers from being excluded from these benefits. Prepared by:Gideon Baum / L. & I.R. / (916) 651-1556 4/28/15 15:31:19 **** END ****