Amended  IN  Senate  August 23, 2024
Amended  IN  Senate  June 05, 2024
Amended  IN  Assembly  May 20, 2024
Amended  IN  Assembly  March 18, 2024

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill
No. 2068

Introduced by Assembly Member Ortega

February 05, 2024

An act to add Section 1412.1 to the Labor Code, 10299.5 to the Public Contract Code, relating to employment.


LEGISLATIVE COUNSEL'S DIGEST


AB 2068, as amended, Ortega. Employment protections: call centers. State agencies: call center work: reporting information.

Existing law generally regulates the wages, hours, and working conditions of people employed in any occupation. Existing law creates the Division of Labor Standards Enforcement, the head of which is the Labor Commissioner. Existing law authorizes the Labor Commissioner to enforce certain notice requirements concerning a mass layoff, relocation, or termination of employees, including call center employees.

Existing law prohibits a call center employer from ordering a relocation of its call center, or one or more of its facilities or operating units within a call center, unless notice of the relocation is provided to the affected employees and the Employment Development Department, local workforce investment board, and the chief elected official of each city and county government within which the termination, relocation, or mass layoff occurs, as specified.

Existing law establishes the Department of General Services within the Government Operations Agency and charges it with various duties regarding contracting for the acquisition of goods and services by state agencies. Existing law further requires state agencies to comply with specified procedures in awarding agency contracts. Existing law prohibits a state agency authorized to enter into contracts relating to public benefit programs from contracting for services provided by a call center that directly serves applicants for, recipients of, or enrollees in, those public benefit programs with a contractor or subcontractor unless that contractor or subcontractor certifies in its bid for the contract that the contract, and any subcontract performed under that contract, will be performed solely with workers employed in California.
This bill would require each state agency, on and after January 1, 2025, that enters into a contract with a private entity specifically solely for call center work to provide public or customer service for that agency or another state agency to provide a report to the Labor Commissioner Department of General Services containing certain information about the total number of total jobs that will be located within California and outside the state. state, subject to specified exceptions. The bill would further require the Labor Commissioner department to maintain a master list of contracts that are subject to these provisions and an aggregate number of call center jobs, and to make that list available, upon request, to any member of the public.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 10299.5 is added to the Public Contract Code, to read:

10299.5.
 (a) (1) On and after January 1, 2025, subject to limited exceptions as set forth in subdivision (d), each state agency that enters into a contract with a private entity solely for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the department that contains all of the information set forth in paragraph (2).
(2) The number of total jobs and the overall percentage that shall be located within the state, as well as the number and percentage of jobs that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.
(b) If the contract is solely for overflow, emergency, or other contingency, the information described in paragraph (2) of subdivision (a) shall be provided in addition to the terms of continency.
(c) The department shall maintain a master list of contracts pursuant to this section and an aggregate number of jobs, including how many are located in another state. This list shall be made available, upon request, to any member of the public.
(d) This section shall not apply to a contract or any subcontract reached between a private entity and the State of California or other authority of the State of California where call center services are secondary and the services to be provided are related to state employee benefits.
(e) For purposes of this section, “state agency” means any agency, department, division, commission, board, bureau, officer, or other authority of the State of California.

SECTION 1.Section 1412.1 is added to the Labor Code, to read:
1412.1.

(a)On and after January 1, 2025, each state agency that enters into a contract with a private entity specifically for call center work to provide public or customer service for that state agency or another state agency shall provide a report to the Labor Commissioner that contains all of the following:

(1)The number of total jobs, including call center jobs, and the overall percentage that shall be located within the state, as well as the number and percentage of jobs, including call center jobs, that shall be located in any other state or states as well as identifying the state and type of jobs located in those states.

(2)For call center jobs, the projected percentage of initial calls that shall be routed to workers within the state, and the percentage of initial calls that shall be routed and handled by workers located in any other state or states.

(3)The information reported pursuant to paragraphs (1) and (2) includes calls and jobs that are contingent upon an overflow or other condition that is outside of typical requirements.

(b)The reporting requirements of subdivision (a) shall include the initial projections as well as the projections for the end of the contract term.

(c)The Labor Commissioner shall maintain a master list of contracts pursuant to this section and an aggregate number of call center jobs, including how many are located in another state and the financial cost of these out-of-state jobs. This list shall be made available, upon request, to any member of the public.

(d)The Labor Commissioner may disclose aggregated data describing the information contained in subdivisions (a) and (b), upon request, to any member of the public.

(e)For purposes of this section, “state agency” means any agency, department, division, commission, board, bureau, officer, or other authority of the State of California.