Ashley Hoffman Job Killers, Labor and Employment
As the September 30 deadline to act on bills drew to a close, Governor Newsom vetoed the remaining CalChamber Job Killer. AB 3216 (Kalra) would have established a “right to recall” requirement for certain hotels, event centers, airport hospitality operations, and building services that applied to all employees laid off during any state of emergency, not just COVID-19. Those entities would have been required to hire employees back by seniority to any job for which the employee could be qualified, eliminating crucial flexibility these vulnerable industries need to reopen in the midst of the COVID-19 pandemic. The bill also applied to any business that “contracted, leased, or sublet premises connected to or operated in conjunction with” a hotel or event center’s purpose. For example, a small gift shop that rents space in a nearby hotel or event center would have fallen within the scope of the bill.
The bill was strongly opposed by the affected industries, most notably hotels, which are concerned about their ability to reopen. Those businesses would be required to hire back employees based on seniority without being allowed to take those employees’ work performance or skillset into account.