find US law

back to top

1.  This act shall be known as the Labor Code.



2.  The provisions of this code, in so far as they are substantially
the same as existing provisions relating to the same subject matter,
shall be construed as restatements and continuations thereof and not
as new enactments.


3.  All persons who, at the time this code goes into effect, hold
office under any of the acts repealed by this code, which offices are
continued by this code, continue to hold the same according to the
former tenure thereof.


4.  No action or proceeding commenced before this code takes effect,
and no right accrued, is affected by the provisions of this code,
but all procedure thereafter taken therein shall conform to the
provisions of this code so far as possible.




5.  Unless the context otherwise requires, the general provisions
hereinafter set forth shall govern the construction of this code.



6.  Division, part, chapter, article, and section headings contained
herein shall not be deemed to govern, limit, modify or in any manner
affect the scope, meaning, or intent of the provisions of any
division, part, chapter, article, or section hereof.




7.  Whenever, by the provisions of this code, an administrative
power is granted to a public officer or a duty imposed upon such an
officer, the power may be exercised or the duty performed by a deputy
of the officer or by a person authorized pursuant to law.




8.  Writing includes any form of recorded message capable of
comprehension by ordinary visual means.  Whenever any notice, report,
statement or record is required by this code, it shall be made in
writing.
   Wherever any notice or other communication is required by this
code to be mailed by registered mail by or to any person or
corporation, the mailing of such notice or other communication by
certified mail shall be deemed to be a sufficient compliance with the
requirements of law.



9.  Whenever any reference is made to any portion of this code or of
any other law of this State, such reference shall apply to all
amendments and additions thereto now or hereafter made.



10.  "Section" means a section of this code unless some other
statute is specifically mentioned.



11.  The present tense includes the past and future tenses; and the
future, the present.



12.  The masculine gender includes the feminine and neuter.



12.1.  The Legislature hereby declares its intent that the terms
"man" or "men" where appropriate shall be deemed "person" or "persons"
and any references to the terms "man" or "men" in sections of this
code be changed to "person" or "persons" when such code sections are
being amended for any purpose.  This section is declaratory and not
amendatory of existing law.



13.  The singular number includes the plural, and the plural the
singular.


14.  "County" includes "city and county."



15.  "Shall" is mandatory and "may" is permissive.



16.  "Oath" includes affirmation.



17.  "Signature" or "subscription" includes mark when the signer or
subscriber can not write, such signer's or subscriber's name being
written near the mark by a witness who writes his own name near the
signer's or subscriber's name; but a signature or subscription by
mark can be acknowledged or can serve as a signature or subscription
to a sworn statement only when two witnesses so sign their own names
thereto.



18.  "Person" means any person, association, organization,
partnership, business trust, limited liability company, or
corporation.


18.5.  "Agency" means the Labor and Workforce Development Agency.



19.  "Department" means Department of Industrial Relations.



19.5.  "Secretary" means the Secretary of Labor and Workforce
Development.


20.  "Director" means Director of Industrial Relations.



21.  "Labor Commissioner" means Chief of the Division of Labor
Standards Enforcement.



22.  "Violation" includes a failure to comply with any requirement
of the code.



23.  Except in cases where a different punishment is prescribed,
every offense declared by this code to be a misdemeanor is punishable
by imprisonment in a county jail, not exceeding six months, or by a
fine not exceeding one thousand dollars ($1,000), or both.



24.  If any provision of this code, or the application thereof to
any person or circumstances, is held invalid the remainder of the
code, and the application of its provisions to other persons or
circumstances, shall not be affected thereby.




25.  "Sheriff" includes "marshal."



26.  Notwithstanding any other provision of this code, no person who
has not previously obtained a license regulated by this code shall
be denied a license solely on the basis that he has been convicted of
a crime if he has obtained a certificate of rehabilitation under
Section 4852.01 and following of the Penal Code, and if his probation
has been terminated and the information or accusation has been
dismissed pursuant to Section 1203.4 of the Penal Code.



27.  Whenever the term "workers' compensation judge" or "workers'
compensation referee" is used in this code in connection with the
workers' compensation law, the term shall mean "workers' compensation
administrative law judge."


28.  For injuries occurring on and after January 1, 1991, whenever
the term "independent medical examiner" is used in this code, the
term shall mean "qualified medical evaluator."



29.  "Medical director" means the physician appointed by the
administrative director pursuant to Section 122.



29.5.  The Governor shall annually issue a proclamation declaring
April 28 as Workers' Memorial Day in remembrance of the courage and
integrity of American workers, and recommending that the day be
observed in an appropriate manner.

back to top

50.  There is in the Labor and Workforce Development Agency the
Department of Industrial Relations.



50.5.  One of the functions of the Department of Industrial
Relations is to foster, promote, and develop the welfare of the wage
earners of California, to improve their working conditions, and to
advance their opportunities for profitable employment.




50.6.  The Department of Industrial Relations may assist and
cooperate with the Wage and Hour Division, and the Children's Bureau,
United States Department of Labor, in the enforcement within this
State of the Fair Labor Standards Act of 1938, and, subject to the
regulations of the Administrator of the Wage and Hour Division, or
the Chief of the Children's Bureau, and subject to the laws of the
State applicable to the receipt and expenditures of money, may be
reimbursed by the division or the bureau for the reasonable cost of
such assistance and cooperation.



50.7.  (a) The Department of Industrial Relations is the state
agency designated to be responsible for administering the state plan
for the development and enforcement of occupational safety and health
standards relating to issues covered by corresponding standards
promulgated under the federal Occupational Safety and Health Act of
1970 (Public Law 91-596).  The state plan shall be consistent with
the provisions of state law governing occupational safety and health,
including, but not limited to, Chapter 6 (commencing with Section
140) and Chapter 6.5 (commencing with Section 148) of Division 1, and
Division 5 (commencing with Section 6300), of this code.
   (b) The budget and budget bill submitted pursuant to Article IV,
Section 12 of the California Constitution shall include in the item
for the support of the Department of Industrial Relations amounts
sufficient to fully carry out the purposes and provisions of the
state plan and this code in a manner which assures that the risk of
industrial injury, exposure to toxic substances, illness and death to
employees will be minimized.
   (c) Because Federal grants are available, maximum Federal funding
shall be sought and, to the extent possible, the cost of
administering the state plan shall be paid by funds obtained from
federal grants.
   (d) The Governor and the Department of Industrial Relations shall
take all steps necessary to prevent withdrawal of approval for the
state plan by the Federal government.  If Federal approval of the
state plan has been withdrawn before passage of this initiative, or
if it is withdrawn at any time after passage of this initiative, the
Governor shall submit a new state plan immediately so that California
shall be approved and shall continue to have access to Federal
funds.



50.8.  The department shall develop a long range program for
upgrading and expanding the resources of the State of California in
the area of occupational health and medicine.  The program shall
include a contractual agreement with the University of California for
the creation of occupational health centers affiliated with regional
schools of medicine and public health.  One such occupational health
center shall be situated in the northern part of the state and one
in the southern part.  The primary function of these occupational
health centers shall be the training of occupational physicians and
nurses, toxicologists, epidemiologists, and industrial hygienists.
In addition, the centers shall serve as referral centers for
occupational illnesses and shall engage in research on the causes,
diagnosis, and prevention of occupational illnesses.
   The centers shall also inform the Division of Occupational Safety
and Health Administration of the Department of Industrial Relations,
State Department of Health Services, and the Department of Food and
Agriculture of their clinical and research findings.



50.9.  In furtherance of the provisions of Section 50.5, the
director, or the Director of Employment Development, may comment on
the impact of actions or projects proposed by public agencies on
opportunities for profitable employment, and such agencies shall
consider such comments in their decisions.



51.  The department shall be conducted under the control of an
executive officer known as Director of Industrial Relations.  The
Director of Industrial Relations shall be appointed by the Governor
with the advice and consent of the Senate and hold office at the
pleasure of the Governor and shall receive an annual salary provided
for by Chapter 6 (commencing with Section 11550) of Part 1 of
Division 3 of Title 2 of the Government Code.



52.  Except as otherwise prescribed in this code, the provisions of
the Government Code relating to departments of the State shall govern
and apply to the conduct of the department.



53.  Whenever in Section 1001 or in Part 1 (commencing with Section
11000) of Division 3 of Title 2 of the Government Code "head of the
department" or similar designation occurs, the same shall, for the
purposes of this code, mean the director, except that in respect to
matters which by the express provisions of this code are committed to
or retained under the jurisdiction of the Division of Workers'
Compensation, the State Compensation Insurance Fund, the Occupational
Safety and Health Standards Board, the Occupational Safety and
Health Appeals Board, or the Industrial Welfare Commission the
designation shall mean the Division of Workers' Compensation, the
Administrative Director of the Division of Workers' Compensation, the
Workers' Compensation Appeals Board, the State Compensation
Insurance Fund, the Occupational Safety and Health Standards Board,
the Occupational Safety and Health Appeals Board, or the Industrial
Welfare Commission, as the case may be.



54.  The director shall perform all duties, exercise all powers and
jurisdiction, assume and discharge all responsibilities, and carry
out and effect all purposes vested by law in the department, except
as otherwise expressly provided by this code.



54.5.  The director may appoint an attorney and assistants licensed
to practice law in this state.  In the absence of an appointment, the
attorney for the Division of Workers' Compensation shall also
perform legal services for the department as the Director of
Industrial Relations may direct.



55.  For the purpose of administration the director shall organize
the department subject to the approval of the Governor, in the manner
he deems necessary properly to segregate and conduct the work of the
department.  Notwithstanding any provision in this code to the
contrary, the director may require any division in the department to
assist in the enforcement of any or all laws within the jurisdiction
of the department.  Except as provided in Section 18930 of the Health
and Safety Code, the director may, in accordance with the provisions
of Chapter 4.5 (commencing with Section 11371), Part 1, Division 3,
Title 2 of the Government Code, make rules and regulations that are
reasonably necessary to carry out the provisions of this chapter and
to effectuate its purposes.  The provisions of this section, however,
shall not apply to the Division of Workers' Compensation or the
State Compensation Insurance Fund, except as to any power or
jurisdiction within those divisions as may have been specifically
conferred upon the director by law.



56.  The work of the department shall be divided into at least six
divisions known as the Division of  Workers' Compensation, the
Division of Occupational Safety and Health, the Division of Labor
Standards Enforcement, the Division of Labor Statistics and Research,
the Division of Apprenticeship Standards, and the State Compensation
Insurance Fund.



57.  Each division shall be in charge of a chief who shall be
appointed by the Governor and shall receive a salary fixed in
accordance with law, and shall serve at the pleasure of the director.



57.1.  (a) The Chief of the Division of Occupational Safety and
Health shall receive an annual salary as provided by Chapter 6
(commencing with Section 11550) of Part 1 of Division 3 of Title 2 of
the Government Code.
   (b) All officers or employees of the Division of Occupational
Safety and Health employed after the operative date of this section
shall be appointed by the director in accordance with the provisions
of the State Civil Service Act. Notwithstanding the foregoing, two
deputy chiefs of the Division of Occupational Safety and Health shall
be appointed by the Governor, with the advice of the Director of
Industrial Relations, to serve at the pleasure of the Director of
Industrial Relations.  The two deputy chiefs shall be exempt from
civil service.  The annual salaries of the two exempted deputy chiefs
shall be fixed by the Director of Industrial Relations, subject to
the approval of the Director of Finance.



57.5.  All duties, powers, and jurisdiction relating to the
administration of the State Compensation Insurance Fund shall be
vested in the Board of Directors of the State Compensation Insurance
Fund.


58.  The department shall have possession and control of all
records, books, papers, offices, equipment, supplies, moneys, funds,
appropriations, land, and other property, real or personal, held for
the benefit or use of all commissions, divisions, and offices of the
department and the title to all such property held for the use and
benefit of the State is hereby transferred to the State.



59.  The department through its appropriate officers shall
administer and enforce all laws imposing any duty, power, or function
upon the offices or officers of the department.



60.  Except as otherwise provided, the provisions of Divisions 4 and
4.5 of this code shall be administered and enforced by the Division
of Workers' Compensation.



60.5.  (a) The provisions of Part 1 of Division 5 of this code shall
be administered and enforced by the department through the Division
of Occupational Safety and Health, subject to the direction of the
director pursuant to Section 50.7.
   (b) The Division of Occupational Safety and Health succeeds to,
and is vested with, all of the powers, duties, purposes,
responsibilities, and jurisdiction of the Division of Industrial
Safety, which is hereby abolished, and any other jurisdiction
conferred by law.
   (c) All powers, duties, and responsibilities of the Chief of the
Division of Industrial Safety are hereby transferred to the Chief of
the Division of Occupational Safety and Health.
   (d) Any regulation or other action made, prescribed, issued,
granted, or performed by the abolished Division of Industrial Safety
in the administration of a function transferred pursuant to
subdivision (b) shall remain in effect and shall be deemed to be a
regulation or action of the Division of Occupational Safety and
Health unless and until repealed, modified, or rescinded by such
division.
   (e) Whenever any reference is made in any law to the abolished
Division of Industrial Safety, it shall be deemed to be a reference
to, and to mean, the Division of Occupational Safety and Health.




60.6.  All persons serving in the state civil service in the
Division of Industrial Safety or in the Occupational Health Branch of
the State Department of Health Services, and engaged in the
performance of a function transferred to the Division of Occupational
Safety and Health shall, in accordance with Section 19370 of the
Government Code, remain in the state civil service and are hereby
transferred to the Department of Industrial Relations.  The status,
positions, and rights of such persons shall not be affected by their
transfer and shall continue to be retained by them pursuant to the
State Civil Service Act, except as to positions the duties of which
are vested in a position that is exempt from civil service.




60.7.  The Division of Occupational Safety and Health shall have
possession and control of all records, books, papers, offices,
equipment, supplies, moneys, funds, appropriations, land, licenses,
permits, agreements, contracts, claims, judgments, and other
property, real or personal, held for the benefit or use of the
Division of Industrial Safety and the Occupational Health Branch of
the State Department of Health Services with respect to the functions
of those organizations that are transferred to the Division of
Occupational Safety and Health.


60.8.  The Division of Occupational Safety and Health may expend
money appropriated for the administration of the laws the enforcement
of which is committed to the division.  Such expenditures by the
division shall be made in accordance with law in carrying out the
purposes for which the appropriations were made.



60.9.  There is within the Division of Occupational Safety and
Health an occupational health unit and an occupational safety unit,
which shall assist in the performance of occupational health
functions and occupational safety functions, respectively, assigned
to the division by law.  There is also within the occupational health
unit an occupational carcinogen control unit responsible for
implementing the division's obligations pursuant to the Occupational
Carcinogens Control Act of 1976 (Part 10 (commencing with Sec.
9000)).  The division, in performing its responsibilities under this
code, shall provide for laboratory services and service personnel
with respect to occupational health matters by interagency agreement
with the State Department of Health Services or another public
entity, by contract with a private sector laboratory, or by
establishment of a laboratory within the division, or by a
combination thereof.  In the event that the division contracts with
the private sector for laboratory services, the division shall enter
into an interagency agreement with the State Department of Health
Services for quality control and performance evaluation of the
contract laboratory as well as analysis of nonroutine laboratory
samples.


61.  The provisions of Chapter 1 (commencing with Section 1171) of
Part 4 of Division 2 shall be administered and enforced by the
department through the Division of Labor Standards Enforcement.



62.  The department may expend money appropriated for the
administration of the provisions of the laws, the enforcement of
which is committed to the department.  The department may expend such
money for the use, support, or maintenance of any commission or
office of the department.  Such expenditures by the department shall
be made in accordance with law in carrying on the work for which such
appropriations were made.



62.5.  (a) The Workers' Compensation Administration Revolving Fund
is hereby created as a special account in the State Treasury. Money
in the fund may be expended by the department, upon appropriation by
the Legislature, for all of the following purposes, and may not be
used or borrowed for any other purpose:
   (1) For the administration of the workers' compensation program
set forth in this division and Division 4 (commencing with Section
3200), other than the activities financed pursuant to Section 3702.5.

   (2) For the Return-to-Work Program set forth in Section 139.48.
   (3) For the enforcement of the insurance coverage program
established and maintained by the Labor Commissioner pursuant to
Section 90.3.
   (b) The fund shall consist of surcharges made pursuant to
subdivision (e).
   (c) (1) The Uninsured Employers Benefits Trust Fund is hereby
created as a special trust fund account in the State Treasury, of
which the director is trustee, and its sources of funds are as
provided in subdivision (e). Notwithstanding Section 13340 of the
Government Code, the fund is continuously appropriated for the
payment of nonadministrative expenses of the workers' compensation
program for workers injured while employed by uninsured employers in
accordance with Article 2 (commencing with Section 3710) of Chapter 4
of Part 1 of Division 4, and shall not be used for any other
purpose. All moneys collected shall be retained in the trust fund
until paid as benefits to workers injured while employed by uninsured
employers. Nonadministrative expenses include audits and reports of
services prepared pursuant to subdivision (b) of Section 3716.1. The
surcharge amount for this fund shall be stated separately.
   (2) Notwithstanding any other provision of law, all references to
the Uninsured Employers Fund shall mean the Uninsured Employers
Benefits Trust Fund.
   (3) Notwithstanding paragraph (1), in the event that budgetary
restrictions or impasse prevent the timely payment of administrative
expenses from the Workers' Compensation Administration Revolving
Fund, those expenses shall be advanced from the Uninsured Employers
Benefits Trust Fund. Expense advances made pursuant to this paragraph
shall be reimbursed in full to the Uninsured Employers Benefits
Trust Fund upon enactment of the annual Budget Act.
   (4) Any moneys from penalties collected pursuant to Section 3722
as a result of the insurance coverage program established under
Section 90.3 shall be deposited in the State Treasury to the credit
of the Workers' Compensation Administration Revolving Fund created
under Section 62.5, to cover expenses incurred by the director under
the insurance coverage program. The amount of any penalties in excess
of payment of administrative expenses incurred by the director for
the insurance coverage program established under Section 90.3 shall
be deposited in the State Treasury to the credit of the Uninsured
Employers Benefits Trust Fund for nonadministrative expenses, as
prescribed in paragraph (1), and notwithstanding paragraph (1), shall
only be available upon appropriation by the Legislature.
   (d) (1) The Subsequent Injuries Benefits Trust Fund is hereby
created as a special trust fund account in the State Treasury, of
which the director is trustee, and its sources of funds are as
provided in subdivision (e). Notwithstanding Section 13340 of the
Government Code, the fund is continuously appropriated for the
nonadministrative expenses of the workers' compensation program for
workers who have suffered serious injury and who are suffering from
previous and serious permanent disabilities or physical impairments,
in accordance with Article 5 (commencing with Section 4751) of
Chapter 2 of Part 2 of Division 4, and Section 4 of Article XIV of
the California Constitution, and shall not be used for any other
purpose. All moneys collected shall be retained in the trust fund
until paid as benefits to workers who have suffered serious injury
and who are suffering from previous and serious permanent
disabilities or physical impairments. Nonadministrative expenses
include audits and reports of services pursuant to subdivision (c) of
Section 4755. The surcharge amount for this fund shall be stated
separately.
   (2) Notwithstanding any other provision of law, all references to
the Subsequent Injuries Fund shall mean the Subsequent Injuries
Benefits Trust Fund.
   (3) Notwithstanding paragraph (1), in the event that budgetary
restrictions or impasse prevent the timely payment of administrative
expenses from the Workers' Compensation Administration Revolving
Fund, those expenses shall be advanced from the Subsequent Injuries
Benefits Trust Fund. Expense advances made pursuant to this paragraph
shall be reimbursed in full to the Subsequent Injuries Benefits
Trust Fund upon enactment of the annual Budget Act.
   (e) (1) Separate surcharges shall be levied by the director upon
all employers, as defined in Section 3300, for purposes of deposit in
the Workers' Compensation Administration Revolving Fund, the
Uninsured Employers Benefits Trust Fund, and the Subsequent Injuries
Benefits Trust Fund. The total amount of the surcharges shall be
allocated between self-insured employers and insured employers in
proportion to payroll respectively paid in the most recent year for
which payroll information is available. The director shall adopt
reasonable regulations governing the manner of collection of the
surcharges. The regulations shall require the surcharges to be paid
by self-insurers to be expressed as a percentage of indemnity paid
during the most recent year for which information is available, and
the surcharges to be paid by insured employers to be expressed as a
percentage of premium. In no event shall the surcharges paid by
insured employers be considered a premium for computation of a gross
premium tax or agents' commission. In no event shall the total amount
of the surcharges paid by insured and self-insured employers exceed
the amounts reasonably necessary to carry out the purposes of this
section.
   (2) The regulations adopted pursuant to paragraph (1) shall be
exempt from the rulemaking provisions of the Administrative Procedure
Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code).



62.6.  (a) The director shall levy and collect assessments from
employers in accordance with subdivision (b), as necessary, to
collect the aggregate amount determined by the Fraud Assessment
Commission pursuant to Section 1872.83 of the Insurance Code.
Revenues derived from the assessments shall be deposited in the
Workers' Compensation Fraud Account in the Insurance Fund and shall
only be expended, upon appropriation by the Legislature, for the
investigation and prosecution of workers' compensation fraud and the
willful failure to secure payment of workers' compensation, as
prescribed by Section 1872.83 of the Insurance Code.
   (b) Assessments shall be levied by the director upon all employers
as defined in Section 3300.  The total amount of the assessment
shall be allocated between self-insured employers and insured
employers in proportion to payroll respectively paid in the most
recent year for which payroll information is available.  The director
shall promulgate reasonable rules and regulations governing the
manner of collection of the assessment.  The rules and regulations
shall require the assessment to be paid by self-insurers to be
expressed as a percentage of indemnity paid during the most recent
year for which information is available, and the assessment to be
paid by insured employers to be expressed as a percentage of premium.
  In no event shall the assessment paid by insured employers be
considered a premium for computation of a gross premium tax or agents'
commission.


62.7.  (a) The Cal-OSHA Targeted Inspection and Consultation Fund is
hereby created as a special account in the State Treasury.  Proceeds
of the fund may be expended by the department, upon appropriation by
the Legislature, for the costs of the Cal-OSHA targeted inspection
program provided by Section 6314.1 and the costs of the Cal-OSHA
targeted consultation program provided by subdivision (a) of Section
6354, and for costs related to assessments levied and collected
pursuant to Section 62.9.
   (b) The fund shall consist of the assessments made pursuant to
Section 62.9 and other moneys transferred to the fund.



62.9.  (a) (1) The director shall levy and collect assessments from
employers in accordance with this section.  The total amount of the
assessment collected shall be the amount determined by the director
to be necessary to produce the revenue sufficient to fund the
programs specified by Section 62.7, except that the amount assessed
in any year for those purposes shall not exceed 50 percent of the
amounts appropriated from the General Fund for the support of the
occupational safety and health program for the 1993-94 fiscal year,
adjusted for inflation.  The director also shall include in the total
assessment amount the department's costs for administering the
assessment, including the collections process and the cost of
reimbursing the Franchise Tax Board for its cost of collection
activities pursuant to subdivision (c).
   (2) The insured employers and private sector self-insured
employers that, pursuant to subdivision (b), are subject to
assessment shall be assessed, respectively, on the basis of their
annual payroll subject to premium charges or their annual payroll
that would be subject to premium charges if the employer were
insured, as follows:
   (A) An employer with a payroll of less than two hundred fifty
thousand dollars ($250,000) shall be assessed one hundred dollars
($100).
   (B) An employer with a payroll of two hundred fifty thousand
dollars ($250,000) or more, but not more than five hundred thousand
dollars ($500,000), shall be assessed two hundred dollars ($200).
   (C) An employer with a payroll of more than five hundred thousand
dollars ($500,000), but not more than seven hundred fifty thousand
dollars ($750,000), shall be assessed four hundred dollars ($400).
   (D) An employer with a payroll of more than seven hundred fifty
thousand dollars ($750,000), but not more than one million dollars
($1,000,000), shall be assessed six hundred dollars ($600).
   (E) An employer with a payroll of more than one million dollars
($1,000,000), but not more than one million five hundred thousand
dollars ($1,500,000), shall be assessed eight hundred dollars ($800).

   (F) An employer with a payroll of more than one million five
hundred thousand dollars ($1,500,000), but not more than two million
dollars ($2,000,000), shall be assessed one thousand dollars
($1,000).
   (G) An employer with a payroll of more than two million dollars
($2,000,000), but not more than two million five hundred thousand
dollars ($2,500,000), shall be assessed one thousand five hundred
dollars ($1,500).
   (H) An employer with a payroll of more than two million five
hundred thousand dollars ($2,500,000), but not more than three
million five hundred thousand dollars ($3,500,000), shall be assessed
two thousand dollars ($2,000).
   (I) An employer with a payroll of more than three million five
hundred thousand dollars ($3,500,000) shall be assessed two thousand
five hundred dollars ($2,500).
   (b) (1) In the manner as specified by this section, the director
shall identify those insured employers having a workers' compensation
experience modification rating of 1.25 or more, and private sector
self-insured employers having an equivalent experience modification
rating of 1.25 or more as determined pursuant to subdivision (e).
   (2) The assessment required by this section shall be levied
annually, on a calendar year basis, on those insured employers and
private sector self-insured employers, as identified pursuant to
paragraph (1), having the highest workers' compensation experience
modification ratings or equivalent experience modification ratings,
that the director determines to be required numerically to produce
the total amount of the assessment to be collected pursuant to
subdivision (a).
   (c) The director shall collect the assessment from insured
employers as follows:
   (1) Upon the request of the director, the Department of Insurance
shall direct the licensed rating organization designated as the
department's statistical agent to provide to the director, for
purposes of subdivision (b), a list of all insured employers having a
workers' compensation experience rating modification of 1.25 or
more, according to the organization's records at the time the list is
requested, for policies commencing the year preceding the year in
which the assessment is to be collected.
   (2) The director shall determine the annual payroll of each
insured employer subject to assessment from the payroll that was
reported to the licensed rating organization identified in paragraph
(1) for the most recent period for which one full year of payroll
information is available for all insured employers.
   (3) On or before September 1 of each year, the director shall
determine each of the current insured employers subject to
assessment, and the amount of the total assessment for which each
insured employer is liable.  The director immediately shall notify
each insured employer, in a format chosen by the insurer, of the
insured's obligation to submit payment of the assessment to the
director within 30 days after the date the billing was mailed, and
warn the insured of the penalties for failure to make timely and full
payment as provided by this subdivision.
   (4) The director shall identify any insured employers that, within
30 days after the mailing of the billing notice, fail to pay, or
object to, their assessments.  The director shall mail to each of
these employers a notice of delinquency and a notice of the intention
to assess penalties, advising that, if the assessment is not paid in
full within 15 days after the mailing of the notices, the director
will levy against the employer a penalty equal to 25 percent of the
employer's assessment, and will refer the assessment and penalty to
the Franchise Tax Board for collection.  The notices required by this
paragraph shall be sent by United States first-class mail.
   (5) If an assessment is not paid by an insured employer within 15
days after the mailing of the notices required by paragraph (4), the
director shall refer the delinquent assessment and the penalty to the
Franchise Tax Board for collection pursuant to Section 19290.1 of
the Revenue and Taxation Code.
   (d) The director shall collect the assessment directly from
private sector self-insured employers.  The failure of any private
sector self-insured employer to pay the assessment as billed
constitutes grounds for the suspension or termination of the employer'
s certificate to self-insure.
   (e) The director shall adopt regulations implementing this section
that include provision for a method of determining experience
modification ratings for private sector self-insured employers that
is generally equivalent to the modification ratings that apply to
insured employers and is weighted by both severity and frequency.
   (f) The director shall determine whether the amount collected
pursuant to any assessment exceeds expenditures, as described in
subdivision (a), for the current year and shall credit the amount of
any excess to any deficiency in the prior year's assessment or, if
there is no deficiency, against the assessment for the subsequent
year.


63.  The Director may authorize the refund of moneys received or
collected by the department in payment of license fees or for other
services in cases where the license can not lawfully be issued or the
service rendered to the applicant.


64.  The Labor Commissioner may enter into reciprocal agreements
with the labor department or corresponding agency of any other state
or with the person, board, officer, or commission authorized to act
for and on behalf of that department or agency, for the collection in
that other state of claims or judgments for wages and other demands
based upon claims previously assigned to the Division of Labor
Standards Enforcement.

back to top

65.  The department may investigate and mediate labor disputes
providing any bona fide party to this type of dispute requests
intervention by the department and the department may proffer its
services to both parties when work stoppage is threatened and neither
party requests intervention.  In the interest of preventing labor
disputes the department shall endeavor to promote sound
union-employer relationships.  The department may arbitrate or
arrange for the selection of boards of arbitration on such terms as
all of the bona fide parties to the dispute may agree upon.  Any
decision or award arising out of an arbitration conducted pursuant to
this section is a public record.  Section 703.5 and Chapter 2
(commencing with Section 1115) of Division 9 of the Evidence Code
apply to a mediation conducted by the California State Mediation and
Conciliation Service, and any person conducting the mediation.  All
other records of the department relating to labor disputes are
confidential.



66.  The services of the department pursuant to Section 65 shall be
conducted by a unit within the department to be known as the
California State Mediation and Conciliation Service.

back to top

70.  There is in the Department of Industrial Relations the
Industrial Welfare Commission which consists of five members.  The
members of the commission shall be appointed by the Governor, with
the consent of the Senate.


70.1.  The Industrial Welfare Commission shall be composed of two
representatives of organized labor who are members of recognized
labor organizations, two representatives of employers, and one
representative of the general public.  The membership shall include
members of both sexes.



71.  The term of office of the members of the Industrial Welfare
Commission shall be four years and they shall hold office until the
appointment and qualification of their successors.  The terms of the
members of the commission in office at the time this code takes
effect shall expire on January 15th of that year which for the
particular member has heretofore been determined.  Vacancies shall be
filled by appointment for the unexpired terms.



72.  The members of the commission shall receive one hundred dollars
($100) for each day's actual attendance at meetings and other
official business of the commission and shall receive their actual
and necessary expenses incurred in the performance of their duties.




73.  The Industrial Welfare Commission may employ necessary
assistants, officers, experts, and such other employees as it deems
necessary.  All such personnel of the commission shall be under the
supervision of the chairman or an executive officer to whom the
chairman delegates such responsibility.  All such personnel shall be
appointed pursuant to the State Civil Service Act (Part 1 (commencing
with Section 18000) of Division 5 of Title 2 of the Government
Code), except for the one exempt deputy or employee allowed by
subdivision (e) of Section 4 of Article VII of the California
Constitution.



74.  The Chief of the Division of Labor Standards Enforcement, for
the purpose of enforcing Industrial Welfare Commission orders and
provisions of this code, may issue subpoenas to compel the attendance
of witnesses and production of books, papers, and records.
Obedience to subpoenas issued by the chief of the division shall be
enforced by the courts.
   The Chief and enforcement deputies of the Division of Labor
Standards Enforcement may administer oaths and examine witnesses
under oath for the purpose of enforcing Industrial Welfare Commission
orders and provisions of this code.

back to top

75.  (a) There is in the department the Commission on Health and
Safety and Workers' Compensation.  The commission shall be composed
of eight voting members.  Four voting members shall represent
organized labor, and four voting members shall represent employers.
Not more than one employer member shall represent public agencies.
Two of the employer and two of the labor members shall be appointed
by the Governor.  The Senate Committee on Rules and the Speaker of
the Assembly shall each appoint one employer and one labor
representative.  The public employer representative shall be
appointed by the Governor.  No action of the commission shall be
valid unless agreed to by a majority of the membership and by not
less than two members representing organized labor and two members
representing employers.
   (b) The commission shall select one of the members representing
organized labor to chair the commission during the 1994 calendar
year, and thereafter the commission shall alternatively select an
employer and organized labor representative to chair the commission
for one-year terms.
   (c) The initial terms of the members of the commission shall be
four years, and they shall hold office until the appointment of a
successor.  However, the initial terms of one employer and one labor
member appointed by the Governor shall expire on December 31, 1995;
the initial terms of the members appointed by the Senate Committee on
Rules shall expire December 31, 1996; the initial terms of the
members appointed by the Speaker of the Assembly shall expire on
December 31, 1997; and the initial term of one employer and one labor
member appointed by the Governor shall expire on December 31, 1998.
Any vacancy shall be filled by appointment to the unexpired term.
   (d) The commission shall meet every other month and upon the call
of the chair.  Meetings shall be open to the public.  Members of the
commission shall receive one hundred dollars ($100) for each day of
their actual attendance at meetings of the commission and other
official business of the commission and shall also receive their
actual and necessary traveling expenses incurred in the performance
of their duty as a member.  Payment of per diem and traveling
expenses shall be made from the Workers' Compensation Administration
Revolving Fund, when appropriated by the Legislature.



76.  The commission may employ officers, assistants, experts, and
other employees it deems necessary.  All personnel of the commission
shall be under the supervision of the chair or an executive officer
to whom he or she delegates this responsibility.  All personnel shall
be appointed pursuant to the State Civil Service Act (Part 2
(commencing with Section 18500) of Division 5 of Title 2 of the
Government Code), except for the one exemption allowed by subdivision
(e) of Section 4 of Article VII of the California Constitution.



77.  (a) The commission shall conduct a continuing examination of
the workers' compensation system, as defined in Section 4 of Article
XIV of the California Constitution, and of the state's activities to
prevent industrial injuries and occupational diseases.  The
commission may conduct or contract for studies it deems necessary to
carry out its responsibilities.  In carrying out its duties, the
commission shall examine other states' workers' compensation programs
and activities to prevent industrial injuries and occupational
diseases.  All state departments and agencies, and any rating
organization licensed by the Insurance Commissioner pursuant to
Article 3 (commencing with Section 11750) of Chapter 3 of Part 3 of
Division 2 of the Insurance Code, shall cooperate with the commission
and upon reasonable request provide information and data in their
possession that the commission deems necessary for the purpose of
carrying out its responsibilities.  The commission shall issue an
annual report on the state of the workers' compensation system,
including recommendations for administrative or legislative
modifications which would improve the operation of the system. The
report shall be made available to the Governor, the Legislature, and
the public on request.
   (b) On or before July 1, 2003, and periodically thereafter as it
deems necessary, the commission shall issue a report and
recommendations on the improvement and simplification of the notices
required to be provided by insurers and self-insured employers.
   (c) The commission succeeds to, and is vested with, all of the
powers, duties, purposes, responsibilities, and jurisdiction of the
Health and Safety Commission which is hereby abolished, including the
administration of grants to assist in establishing effective
occupational injury and illness prevention programs.



77.5.  (a) On or before July 1, 2004, the commission shall conduct a
survey and evaluation of evidence-based, peer-reviewed, nationally
recognized standards of care, including existing medical treatment
utilization standards, including independent medical review, as used
in other states, at the national level, and in other medical benefit
systems.  The survey shall be updated periodically.
   (b) On or before October 1, 2004, the commission shall issue a
report of its findings and recommendations to the administrative
director for purposes of the adoption of a medical treatment
utilization schedule.



77.7.  (a) A study shall be undertaken to examine the causes of the
number of insolvencies among workers' compensation insurers within
the past 10 years. The study shall be conducted by an independent
research organization under the direction of the commission. Not
later than July 1, 2009, the commission and the department shall
publish the report of the study on it's Internet Web site and shall
inform the Legislature and the Governor of the availability of the
report.
   (b) The study shall include an analysis of the following: the
access to capital for workers' compensation insurance from all
sources between 1993 and 2003; the availability, source, and risk
assumed of reinsurers during this period; the use of deductible
policies and their effect on solvency regulation; market activities
by insurers and producers that affected market concentration;
activities, including financial oversight of insurers, by insurance
regulators and the National Association of Insurance Commissioners
during this period; the quality of data reporting to the commissioner'
s designated statistical agent and the accuracy of recommendations
provided by the commissioner's designated statistical agent during
this period of time; and underwriting, claims adjusting, and
reserving practices of insolvent insurers. The study shall also
include a survey of reports of other state agencies analyzing the
insurance market response to rising system costs within the
applicable time period.
   (c) Data reasonably required for the study shall be made available
by the California Insurance Guarantee Association, Workers'
Compensation Insurance Rating Bureau, third-party administrators for
the insolvent insurers, whether prior to or after the insolvency, the
State Compensation Insurance Fund, and the Department of Insurance.
The commission shall also include a survey of reports by the
commission and other state agencies analyzing the insurance market
response to rising system costs within the applicable period of time.

   (d) The cost of the study is not to exceed one million dollars
($1,000,000). Confidential information identifiable to any natural
person or insurance company held by any agency or organization or
association or other person or entity shall be released to
researchers upon satisfactory agreement to maintain confidentiality.
Information or material that is not subject to subpoena from the
agency or organization or association or other person or entity shall
not be subject to subpoena from the commission or the contracted
research organization.
   (e) The costs of the study shall be borne one-half by the
commission from funds derived from the Workers' Compensation
Administration Revolving Fund and one-half by insurers from
assessments allocated to each insurer based on the insurer's
proportionate share of the market as shown by the Market Share Report
for Calendar Year 2006 published by the Department of Insurance.
   (f) In order to protect individual company trade secrets, this
study shall not lead to the disclosure of, either directly or
indirectly, the business practices of any company that provides data
pursuant to this section. This prohibition shall not apply to
insurance companies that have been ordered by a court of competent
jurisdiction to be placed in liquidation under the supervision of a
liquidator or other authority.



78.  (a) The commission shall review and approve applications from
employers and employee organizations, as well as applications
submitted jointly by an employer organization and an employee
organization, for grants to assist in establishing effective
occupational injury and illness prevention programs.  The commission
shall establish policies for the evaluation of these applications and
shall give priority to applications proposing to target high-risk
industries and occupations, including those with high injury or
illness rates, and those in which employees are exposed to one or
more hazardous substances or conditions or where there is a
demonstrated need for research to determine effective strategies for
the prevention of occupational illnesses or injuries.
   (b) Civil and administrative penalties assessed and collected
pursuant to Sections 129.5 and 4628 shall be deposited in the Workers'
Compensation Administration Revolving Fund.  Moneys in the fund,
when appropriated by the Legislature to fund the grants under
subdivision (a) and other activities and expenses of the commission
set forth in this code, shall be expended by the department, upon
approval by the commission.

back to top

79.  There is in the Department of Industrial Relations the Division
of Labor Standards Enforcement.  The Division of Labor Standards
Enforcement shall be under the direction of an executive officer
known as the Chief, Division of Labor Standards Enforcement, who
shall be appointed by the Governor, subject to confirmation of the
Senate, and shall hold office at the pleasure of the Director of
Industrial Relations.  The annual salary of the chief shall be
determined by the Department of Finance.



80.  The headquarters of the Division of Labor Standards
Enforcement, hereafter in this chapter referred to as the division,
shall be located in San Francisco.



81.  The employees of the division shall devote their full time to
the work of the division and shall receive their actual necessary
traveling expenses.  The division shall maintain offices in San
Francisco, Los Angeles, Sacramento, San Diego, Oakland, Fresno, San
Jose, and in such other places as the Labor Commissioner may deem
necessary.



82.  (a) The Division of Labor Standards Enforcement succeeds to,
and is vested with, all of the powers, duties, purposes,
responsibilities, and jurisdiction of the Division of Labor Law
Enforcement, which is hereby abolished.
   (b) All powers, duties, purposes, and responsibilities of the
Labor Commissioner, who is Chief of the Division of Labor Law
Enforcement, are hereby transferred to the Labor Commissioner who is
the Chief of the Division of Labor Standards Enforcement.
   (c) Any regulation or other action made, prescribed, issued,
granted, or performed by the abolished Division of Labor Law
Enforcement in the administration, performance, or implementation of
a function transferred pursuant to subdivision (a) of this section
shall remain in effect and shall be deemed to be a regulation or
action of the Division of Labor Standards Enforcement unless and
until repealed, modified, or rescinded by such division.
   (d) Whenever any reference is made in any law to the abolished
Division of Labor Law Enforcement, it shall be deemed to be a
reference to, and to mean, the Division of Labor Standards
Enforcement.



83.  (a) The Division of Labor Standards Enforcement succeeds to,
and is vested with, all of the powers, duties, purposes,
responsibilities, and jurisdiction of the Division of Industrial
Welfare, which is hereby abolished.
   (b) All powers, duties, purposes, and responsibilities of the
Chief, Division of Industrial Welfare are hereby transferred to the
Chief of the Division of Labor Standards Enforcement.
   (c) Any regulation or other action made, prescribed, issued,
granted, or performed by the abolished Division of Industrial Welfare
in the administration, performance, or implementation of a function
transferred pursuant to subdivision (a) of this section shall remain
in effect and shall be deemed to be a regulation or action of the
Division of Labor Standards Enforcement unless and until repealed,
modified, or rescinded by such division.
   (d) Whenever any reference is made in any law to the abolished
Division of Industrial Welfare it shall be deemed to be a reference
to, and to mean, the Division of Labor Standards Enforcement.




87.  All persons, other than temporary employees, serving in the
state civil service and engaged in the performance of a function
transferred pursuant to this chapter, or engaged in the
administration of a law, the administration of which is transferred
pursuant to this chapter, shall, in accordance with Section 19370 of
the Government Code, remain in the state civil service and are hereby
transferred to the Division of Labor Standards Enforcement.  The
status, positions, and rights of such persons shall not be affected
by their transfer and shall continue to be retained by them pursuant
to the State Civil Service Act, except as to positions the duties of
which are vested in a position that is exempt from civil service.




88.  The personnel records of all employees transferred pursuant to
Section 87 shall remain in the Department of Industrial Relations.



89.  The Division of Labor Standards Enforcement shall have
possession and control of all records, books, papers, offices,
equipment, supplies, moneys, funds, appropriations, land, and other
property, real or personal, held for the benefit or use of the
Division of Labor Law Enforcement and the Division of Industrial
Welfare with respect to the functions transferred pursuant to this
chapter.


89.5.  The Division of Labor Standards Enforcement may expend the
money in any appropriation or in any special fund in the State
Treasury made available by law for the administration of the statutes
the administration of which is committed to it pursuant to this
chapter, or for the use, support, or maintenance of any board,
bureau, commission, department, office, or officer whose duties,
powers, and functions have been transferred to, and conferred upon,
the Division of Labor Standards Enforcement pursuant to this chapter.
  Such expenditures by the Division of Labor Standards Enforcement
shall be made in accordance with law in carrying out the purposes for
which the appropriations were made or the special funds created.




90.  The Labor Commissioner, his deputies and agents, shall have
free access to all places of labor.  Any person, or agent or officer
thereof, who refuses admission to the Labor Commissioner or his
deputy or agent or who, upon request, willfully neglects or refuses
to furnish them any statistics or information, pertaining to their
lawful duties, which are in his possession or under his control, is
guilty of a misdemeanor, punishable by a fine of not more than one
thousand dollars ($1,000).



90.3.  (a) It is the policy of this state to vigorously enforce the
laws requiring employers to secure the payment of compensation as
required by Section 3700 and to protect employers who comply with the
law from those who attempt to gain a competitive advantage at the
expense of their workers by failing to secure the payment of
compensation.
   (b) In order to ensure that the laws requiring employers to secure
the payment of compensation are adequately enforced, the Labor
Commissioner shall establish and maintain a program that
systematically identifies unlawfully uninsured employers. The Labor
Commissioner, in consultation with the Administrative Director of the
Division of Workers' Compensation and the director, may prioritize
targets for the program in consideration of available resources. The
employers shall be identified from data from the Uninsured Employers'
Fund, the Employment Development Department, the rating
organizations licensed by the Insurance Commissioner pursuant to
Article 3 (commencing with Section 11750) of Chapter 3 of Part 3 of
Division 2 of the Insurance Code, and any other sources deemed likely
to lead to the identification of unlawfully uninsured employers. All
state departments and agencies and any rating organization licensed
by the Insurance Commissioner pursuant to Article 3 (commencing with
Section 11750) of Chapter 3 of Part 3 of Division 2 of the Insurance
Code shall cooperate with the Labor Commissioner and on reasonable
request provide information and data in their possession reasonably
necessary to carry out the program.
   (c) As part of the program, the Labor Commissioner shall establish
procedures for ensuring that employers with payroll but with no
record of workers' compensation coverage are contacted and, if no
valid reason for the lack of record of coverage is shown, inspected
on a priority basis.
   (d) The Labor Commissioner shall annually, not later than March 1,
prepare a report concerning the effectiveness of the program,
publish it on the Labor Commissioner's Web site, as well as notify
the Legislature, the Governor, the Insurance Commissioner, and the
Administrative Director of the Division of Workers' Compensation of
the report's availability. The report shall include, but not be
limited to, all of the following:
   (1) The number of employers identified from records of the
Employment Development Department who were screened for matching
records of insurance coverage or self-insurance.
   (2) The number of employers identified from records of the
Employment Development Department that were matched to records of
insurance coverage or self-insurance.
   (3) The number of employers identified from records of the
Employment Development Department that were notified that there was
no record of their insurance coverage.
   (4) The number of employers responding to the notices, and the
nature of the responses, including the number of employers who failed
to provide satisfactory proof of workers' compensation coverage and
including information about the reasons that employers who provided
satisfactory proof of coverage were not appropriately recognized in
the comparison performed under subdivision (b). The report may
include recommendations to improve the accuracy and efficiency of the
program in screening for unlawfully uninsured employers.
   (5) The number of employers identified as unlawfully uninsured
from records of the Uninsured Employers' Benefits Trust Fund or from
records of the Division of Workers' Compensation, and the number of
those employers that are also identifiable from the records of the
Employment Development Department. These statistics shall be reported
in a manner to permit analysis and estimation of the percentage of
unlawfully uninsured employers that do not report wages to the
Employment Development Department.
   (6) The number of employers inspected.
   (7) The number and amount of penalties assessed pursuant to
Section 3722 as a result of the program.
   (8) The number and amount of penalties collected pursuant to
Section 3722 as a result of the program.
   (e) The allocation of funds from the Workers' Compensation
Administration Revolving Fund pursuant to subdivision (a) of Section
62.5 shall not increase the total amount of surcharges pursuant to
subdivision (e) of Section 62.5. Startup costs for this program shall
be allocated from the fiscal year 2007-08 surcharges collected. The
total amount allocated for this program under subdivision (a) of
Section 62.5 in subsequent years shall not exceed the amount of
penalties collected pursuant to Section 3722 as a result of the
program.



90.5.  (a) It is the policy of this state to vigorously enforce
minimum labor standards in order to ensure employees are not required
or permitted to work under substandard unlawful conditions or for
employers that have not secured the payment of compensation, and to
protect employers who comply with the law from those who attempt to
gain a competitive advantage at the expense of their workers by
failing to comply with minimum labor standards.
   (b) In order to ensure that minimum labor standards are adequately
enforced, the Labor Commissioner shall establish and maintain a
field enforcement unit, which shall be administratively and
physically separate from offices of the division that accept and
determine individual employee complaints.  The unit shall have
offices in Los Angeles, San Francisco, San Jose, San Diego,
Sacramento, and any other locations that the Labor Commissioner deems
appropriate.  The unit shall have primary responsibility for
administering and enforcing those statutes and regulations most
effectively enforced through field investigations, including Sections
226, 1021, 1021.5, 1193.5, 1193.6, 1194.5, 1197, 1198, 1771, 1776,
1777.5, 2651, 2673, 2675, and 3700, in accordance with the plan
adopted by the Labor Commissioner pursuant to subdivision (c).
Nothing in this section shall be construed to limit the authority of
this unit in enforcing any statute or regulation in the course of its
investigations.
   (c) The Labor Commissioner shall adopt an enforcement plan for the
field enforcement unit.  The plan shall identify priorities for
investigations to be undertaken by the unit that ensure the available
resources will be concentrated in industries, occupations, and areas
in which employees are relatively low paid and unskilled, and those
in which there has been a history of violations of the statutes cited
in subdivision (b), and those with high rates of noncompliance with
Section 3700.
   (d) The Labor Commissioner shall annually report to the
Legislature, not later than March 1, concerning the effectiveness of
the field enforcement unit.  The report shall include, but not be
limited to, all of the following:
   (1) The enforcement plan adopted by the Labor Commissioner
pursuant to subdivision (c), and the rationale for the priorities
identified in the plan.
   (2) The number of establishments investigated by the unit, and the
number of types of violations found.
   (3) The amount of wages found to be unlawfully withheld from
workers, and the amount of unpaid wages recovered for workers.
   (4) The amount of penalties and unpaid wages transferred to the
General Fund as a result of the efforts of the unit.



90.7.  When the division determines that an employer has violated
Section 226.2, 1021, 1021.5, 1197, or 1771, or otherwise determines
that an employer may have failed to report all the payroll of the
employer's employees as required by law, the division shall advise
the Insurance Commissioner and request that an audit be ordered
pursuant to Section 11736.5 of the Insurance Code.



91.  Any person who willfully impedes or prevents the Labor
Commissioner or his deputies or agents in the performance of duty, is
guilty of a misdemeanor, punishable by a fine of not less than one
hundred dollars ($100) nor more than one thousand dollars ($1,000),
or imprisonment for not less than seven nor more than 30 days in the
county jail, or both.



92.  The Labor Commissioner, his deputies and agents, may issue
subpenas to compel the attendance of witnesses and parties and the
production of books, papers and records; administer oaths; examine
witnesses under oath; take the verification, acknowledgment, or proof
of written instruments; and take depositions and affidavits for the
purpose of carrying out the provisions of this code and all laws
which the division is to enforce.



93.  Obedience to subpoenas issued by the Labor Commissioner, or his
deputies or agents shall be enforced by the courts.  It is a
misdemeanor to ignore willfully such a subpoena if it calls for an
appearance at a distance from the place of service of 100 miles, or
less.



94.  The office of the division shall be open for business from 9 o'
clock a.m. until 5 o'clock p.m. every day except nonjudicial days,
and the officers thereof shall give to all persons requesting it all
needed information which they may possess.



95.  (a) The division may enforce the provisions of this code and
all labor laws of the state the enforcement of which is not
specifically vested in any other officer, board or commission.
Except as provided in subdivision (d), in the enforcement of such
provisions and laws, the director, deputy director, and such officers
and employees as the director may designate, shall only have the
authority, as public officers, to arrest without a warrant, any
person who, in his presence, has violated or as to whom there is
probable cause to believe has violated any of such provisions and
laws.
   In any case in which an arrest authorized by this subdivision is
made for an offense declared to be a misdemeanor, and the person
arrested does not demand to be taken before a magistrate, the
arresting officer may, instead of taking such person before a
magistrate, follow the procedure prescribed by Chapter 5C (commencing
with Section 853.6) of Title 3 of Part 2 of the Penal Code.  The
provisions of such chapter shall thereafter apply with reference to
any proceeding based upon the issuance of a citation pursuant to this
authority.
   (b) There shall be no civil liability on the part of and no cause
of action shall arise against any person, acting pursuant to this
section and within the scope of his authority, for false arrest or
false imprisonment arising out of any arrest which is lawful or which
the arresting officer, at the time of such arrest, had reasonable
cause to believe was lawful.  No such officer shall be deemed an
aggressor or lose his right to self-defense by the use of reasonable
force to effect the arrest or to prevent escape or to overcome
resistance.
   (c) The director, deputy director, and such officers and employees
as the director may designate, may serve all processes and notices
throughout the state.
   (d) With respect to the enforcement of the provisions of this code
and other labor laws as provided in subdivision (a), all officers
and employees designated by the Labor Commissioner as investigators,
shall have the authority of peace officers to make arrests, and may
serve processes and notices as provided in subdivision (c).




96.  The Labor Commissioner and his or her deputies and
representatives authorized by him or her in writing shall, upon the
filing of a claim therefor by an employee, or an employee
representative authorized in writing by an employee, with the Labor
Commissioner, take assignments of:
   (a) Wage claims and incidental expense accounts and advances.
   (b) Mechanics' and other liens of employees.
   (c) Claims based on "stop orders" for wages and on bonds for
labor.
   (d) Claims for damages for misrepresentations of conditions of
employment.
   (e) Claims for unreturned bond money of employees.
   (f) Claims for penalties for nonpayment of wages.
   (g) Claims for the return of workers' tools in the illegal
possession of another person.
   (h) Claims for vacation pay, severance pay, or other compensation
supplemental to a wage agreement.
   (i) Awards for workers' compensation benefits in which the Workers'
Compensation Appeals Board has found that the employer has failed to
secure payment of compensation and where the award remains unpaid
more than 10 days after having become final.
   (j) Claims for loss of wages as the result of discharge from
employment for the garnishment of wages.
   (k) Claims for loss of wages as the result of demotion,
suspension, or discharge from employment for lawful conduct occurring
during nonworking hours away from the employer's premises.



96.3.  In cases where employees are covered by a collective
bargaining agreement, the collective bargaining representative by
virtue of such agreement may be the assignee of all such covered
employees for purposes of filing claims for wages with the Labor
Commissioner, subject to the option of the employee to reject such
representation and to represent himself or herself.



96.5.  The Labor Commissioner shall conduct such hearings as may be
necessary for the purpose of Section 7071.11 of the Business and
Professions Code.  In any action to recover upon a cash deposit after
a determination made under Section 7071.11, the Labor Commissioner
shall certify in writing to the appropriate court that he has heard
and determined the validity of claims and demands and that the sum
specified therein is the amount found due and payable.  The
certificate of the commissioner shall be considered by the court but
shall not, by itself, be sufficient evidence to support a judgment.



96.6.  The Industrial Relations Unpaid Wage Fund is hereby created
as a special fund in the State Treasury, which is continuously
appropriated for the purposes of subdivision (c) of Section 96.7.



96.7.  The Labor Commissioner, after investigation and upon
determination that wages or monetary benefits are due and unpaid to
any worker in the State of California, may collect such wages or
benefits on behalf of the worker without assignment of such wages or
benefits to the commissioner.
   (a) The Labor Commissioner shall act as trustee of all such
collected unpaid wages or benefits, and shall deposit such collected
moneys in the Industrial Relations Unpaid Wage Fund.
   (b) The Labor Commissioner shall make a diligent search to locate
any worker for whom the Labor Commissioner has collected unpaid wages
or benefits.
   (c) All wages or benefits collected under this section shall be
remitted to the worker, his lawful representative, or to any trust or
custodial fund established under a plan to provide health and
welfare, pension, vacation, retirement, or similar benefits from the
Industrial Relations Unpaid Wage Fund.
   (d) Any unpaid wages or benefits collected by the Labor
Commissioner pursuant to this section shall be retained in the
Industrial Relations Unpaid Wage Fund until remitted pursuant to
subdivision (c), or until deposited in the General Fund.
   (e) The Controller shall, at the end of each fiscal year, transfer
to the General Fund the unencumbered balance, less six months of
expenditures as determined by the Director of Finance, in the
Industrial Relations Unpaid Wage Fund.
   (f) All wages or benefits collected under this section which
cannot be remitted from the Industrial Relations Unpaid Wage Fund
pursuant to subdivision (c) because money has been transmitted to the
General Fund shall be paid out of the General Fund from funds
appropriated for that purpose.



97.  The Labor Commissioner, his deputies and representatives shall
not be bound by any rule requiring the consent of the spouse of a
married claimant, the filing of a lien for record before it is
assigned, or prohibiting the assignment of a claim for penalty before
the claim has been incurred or any other technical rule with
reference to the validity of assignments.



98.  (a) The Labor Commissioner shall have the authority to
investigate employee complaints. The Labor Commissioner may provide
for a hearing in any action to recover wages, penalties, and other
demands for compensation properly before the division or the Labor
Commissioner, including orders of the Industrial Welfare Commission,
and shall determine all matters arising under his or her
jurisdiction. It shall be within the jurisdiction of the Labor
Commissioner to accept and determine claims from holders of payroll
checks or payroll drafts returned unpaid because of insufficient
funds, if, after a diligent search, the holder is unable to return
the dishonored check or draft to the payee and recover the sums paid
out. Within 30 days of the filing of the complaint, the Labor
Commissioner shall notify the parties as to whether a hearing will be
held, whether action will be taken in accordance with Section 98.3,
or whether no further action will be taken on the complaint. If the
determination is made by the Labor Commissioner to hold a hearing,
the hearing shall be held within 90 days of the date of that
determination. However, the Labor Commissioner may postpone or grant
additional time before setting a hearing if the Labor Commissioner
finds that it would lead to an equitable and just resolution of the
dispute.
   It is the intent of the Legislature that hearings held pursuant to
this section be conducted in an informal setting preserving the
right of the parties.
   (b) When a hearing is set, a copy of the complaint, which shall
include the amount of compensation requested, together with a notice
of time and place of the hearing, shall be served on all parties,
personally or by certified mail, or in the manner specified in
Section 415.20 of the Code of Civil Procedure.
   (c) Within 10 days after service of the notice and the complaint,
a defendant may file an answer with the Labor Commissioner in any
form as the Labor Commissioner may prescribe, setting forth the
particulars in which the complaint is inaccurate or incomplete and
the facts upon which the defendant intends to rely.
   (d) No pleading other than the complaint and answer of the
defendant or defendants shall be required. Both shall be in writing
and shall conform to the form and the rules of practice and procedure
adopted by the Labor Commissioner.
   (e) Evidence on matters not pleaded in the answer shall be allowed
only on terms and conditions the Labor Commissioner shall impose. In
all these cases, the claimant shall be entitled to a continuance for
purposes of review of the new evidence.
   (f) If the defendant fails to appear or answer within the time
allowed under this chapter, no default shall be taken against him or
her, but the Labor Commissioner shall hear the evidence offered and
shall issue an order, decision, or award in accordance with the
evidence. A defendant failing to appear or answer, or subsequently
contending to be aggrieved in any manner by want of notice of the
pendency of the proceedings, may apply to the Labor Commissioner for
relief in accordance with Section 473 of the Code of Civil Procedure.
The Labor Commissioner may afford this relief. No right to relief,
including the claim that the findings or award of the Labor
Commissioner or judgment entered thereon are void upon their face,
shall accrue to the defendant in any court unless prior application
is made to the Labor Commissioner in accordance with this chapter.
   (g) All hearings conducted pursuant to this chapter are governed
by the division and by the rules of practice and procedure adopted by
the Labor Commissioner.
   (h) (1) Whenever a claim is filed under this chapter against a
person operating or doing business under a fictitious business name,
as defined in Section 17900 of the Business and Professions Code,
which relates to the person's business, the division shall inquire at
the time of the hearing whether the name of the person is the legal
name under which the business or person has been licensed,
registered, incorporated, or otherwise authorized to do business.
   (2) The division may amend an order, decision, or award to conform
to the legal name of the business or the person who is the defendant
to a wage claim, if it can be shown that proper service was made on
the defendant or his or her agent, unless a judgment had been entered
on the order, decision, or award pursuant to subdivision (d) of
Section 98.2. The Labor Commissioner may apply to the clerk of the
superior court to amend a judgment that has been issued pursuant to a
final order, decision, or award to conform to the legal name of the
defendant, if it can be shown that proper service was made on the
defendant or his or her agent.



98.1.  (a) Within 15 days after the hearing is concluded, the Labor
Commissioner shall file in the office of the division a copy of the
order, decision, or award. The order, decision, or award shall
include a summary of the hearing and the reasons for the decision.
Upon filing of the order, decision, or award, the Labor Commissioner
shall serve a copy of the decision personally, by first-class mail,
or in the manner specified in Section 415.20 of the Code of Civil
Procedure on the parties. The notice shall also advise the parties of
their right to appeal the decision or award and further advise the
parties that failure to do so within the period prescribed by this
chapter shall result in the decision or award becoming final and
enforceable as a judgment by the superior court.
   (b) For the purpose of this section, an award shall include any
sums found owing, damages proved, and any penalties awarded pursuant
to this code.
   (c) All awards granted pursuant to a hearing under this chapter
shall accrue interest on all due and unpaid wages at the same rate as
prescribed by subdivision (b) of Section 3289 of the Civil Code. The
interest shall accrue until the wages are paid from the date that
the wages were due and payable as provided in Part 1 (commencing with
Section 200) of Division 2.



98.2.  (a) Within 10 days after service of notice of an order,
decision, or award the parties may seek review by filing an appeal to
the superior court, where the appeal shall be heard de novo. The
court shall charge the first paper filing fee under Section 70611 of
the Government Code to the party seeking review. The fee shall be
distributed as provided in Section 68085.3 of the Government Code. A
copy of the appeal request shall be served upon the Labor
Commissioner by the appellant. For purposes of computing the 10-day
period after service, Section 1013 of the Code of Civil Procedure is
applicable.
   (b) Whenever an employer files an appeal pursuant to this section,
the employer shall post an undertaking with the reviewing court in
the amount of the order, decision, or award. The undertaking shall
consist of an appeal bond issued by a licensed surety or a cash
deposit with the court in the amount of the order, decision, or
award. The employer shall provide written notification to the other
parties and the Labor Commissioner of the posting of the undertaking.
The undertaking shall be on the condition that, if any judgment is
entered in favor of the employee, the employer shall pay the amount
owed pursuant to the judgment, and if the appeal is withdrawn or
dismissed without entry of judgment, the employer shall pay the
amount owed pursuant to the order, decision, or award of the Labor
Commissioner unless the parties have executed a settlement agreement
for payment of some other amount, in which case the employer shall
pay the amount that the employer is obligated to pay under the terms
of the settlement agreement. If the employer fails to pay the amount
owed within 10 days of entry of the judgment, dismissal, or
withdrawal of the appeal, or the execution of a settlement agreement,
a portion of the undertaking equal to the amount owed, or the entire
undertaking if the amount owed exceeds the undertaking, is forfeited
to the employee.
   (c) If the party seeking review by filing an appeal to the
superior court is unsuccessful in the appeal, the court shall
determine the costs and reasonable attorney's fees incurred by the
other parties to the appeal, and assess that amount as a cost upon
the party filing the appeal.  An employee is successful if the court
awards an amount greater than zero.
   (d) If no notice of appeal of the order, decision, or award is
filed within the period set forth in subdivision (a), the order,
decision, or award shall, in the absence of fraud, be deemed the
final order.
   (e) The Labor Commissioner shall file, within 10 days of the order
becoming final pursuant to subdivision (d), a certified copy of the
final order with the clerk of the superior court of the appropriate
county unless a settlement has been reached by the parties and
approved by the Labor Commissioner. Judgment shall be entered
immediately by the court clerk in conformity therewith. The judgment
so entered has the same force and effect as, and is subject to all of
the provisions of law relating to, a judgment in a civil action, and
may be enforced in the same manner as any other judgment of the
court in which it is entered. Enforcement of the judgment shall
receive court priority.
   (f) (1) In order to ensure that judgments are satisfied, the Labor
Commissioner may serve upon the judgment debtor, personally or by
first-class mail at the last known address of the judgment debtor
listed with the division, a form similar to, and requiring the
reporting of the same information as, the form approved or adopted by
the Judicial Council for purposes of subdivision (a) of Section
116.830 of the Code of Civil Procedure to assist in identifying the
nature and location of any assets of the judgment debtor.
   (2) The judgment debtor shall complete the form and cause it to be
delivered to the division at the address listed on the form within
35 days after the form has been served on the judgment debtor, unless
the judgment has been satisfied. In case of willful failure by the
judgment debtor to comply with this subdivision, the division or the
judgment creditor may request the court to apply the sanctions
provided in Section 708.170 of the Code of Civil Procedure.
   (g) Notwithstanding subdivision (e), the Labor Commissioner may
stay execution of any judgment entered upon an order, decision, or
award that has become final upon good cause appearing therefor and
may impose the terms and conditions of the stay of execution. A
certified copy of the stay of execution shall be filed with the clerk
entering the judgment.
   (h) When a judgment is satisfied in fact, other than by execution,
the Labor Commissioner may, upon the motion of either party or on
its own motion, order entry of satisfaction of judgment. The clerk of
the court shall enter a satisfaction of judgment upon the filing of
a certified copy of the order.
   (i) The Labor Commissioner shall make every reasonable effort to
ensure that judgments are satisfied, incl