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August 18, 2008

Redondo Beach Chamber Stops Mandatory Sick Leave Job-Killer

The Redondo Beach Chamber of Commerce & Visitors Bureau stopped a proposed law that would have unreasonably expanded employer’s costs and liability by mandating a specific paid sick leave policy. The Chamber testified in opposition to the proposed law and mandate in a California State Senate Committee in Sacramento last month. The Chamber also hand-delivered over 50 letters of opposition to the mandate from Redondo Beach businesses.

“This proposed mandate would have put Redondo Beach businesses out of business by requiring them to offer a benefit that most cannot afford, especially in a time of dismal economic forecasts,” stated Marna Smeltzer, President and CEO of the Chamber.

The proposed sick leave law would have covered all employees, so that part-time, seasonal and temporary workers would earn paid sick days. The proposed law mandated, without exception, that all employers provide paid sick leave to an employee after seven days of work in a calendar year to care for their own illness, or to provide to a sick child, spouse, domestic partner or other relative. Furthermore, it would have created a record-keeping system in order to keep track of the mandated sick leave time even after an employee left his or her job in case that employee returned to work some time later.

California businesses continue to be burden with costly mandates on employers. These mandates can cumulatively result in lower wages, reducing available health insurance, limiting training programs and – in the worst case scenario – job loss or reduced work hours. Job loss translates to lower tax revenues from employers and employees, as well as increased utilization of Unemployment Insurance. In an already troubled economy California should be seeking ways to stimulate job growth and avoid forcing costly mandates on employers.

“We will continue to oppose any mandates on business that are considered unreasonable, especially since the business community continues to be the target costly mandates by the state legislature,” stated Charles Gale, Jr. Chair of the Chamber’s Government Relations Council. “This is just another example of unfriendly business legislation that would have forced some Redondo Beach-based businesses to move out of state,” continued Gale.