SRC-DPW H.B. 946 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 946
76R556 PB-DBy: Farrar
Economic Development
5/14/1999
Engrossed


DIGEST 

In recent months, some employers have placed a general disclaimer on the
back of their employees' paychecks that states, "By endorsing this check
you agree that you have not been injured." This disclaimer may deter an
injured employee from seeking workers' compensation benefits to which the
employee is entitled under Texas law.  H.B. 946 prohibits an employer from
placing on, or attaching to, a negotiable instrument used to pay wages to
an employee, a disclaimer stipulating that acceptance of wages constitutes
a waiver of the right to claim benefits such as workers' and unemployment
compensation benefits. Under this bill, an employer who violates this
prohibition is considered not to have paid the wages for which the
violation occurred, and commits an offense punishable as a Class A
misdemeanor.  

PURPOSE

As proposed, H.B. 946 prohibits the waiver of certain employment benefits
by the acceptance of the payment of wages, and provides a penalty for
violations of this Act. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subchapter B, Chapter 61, Labor Code, by adding Section
61.0165, as follows:  

Sec. 61.0165. WAIVER OF CLAIMS BY ACCEPTANCE OF WAGES PROHIBITED; CRIMINAL
PENALTY.  Prohibits an employer from placing on, or attaching to, a
negotiable instrument used to pay wages to an employee, a disclaimer
stipulating that acceptance of wages constitutes a waiver of the right to
claim benefits such as workers' and unemployment compensation benefits.
Provides that, for purposes of Chapter 61, an employer who violates this
prohibition is considered not to have paid the wages for which the
violation occurred. Creates an offense punishable as a Class A misdemeanor
for an employer who violates this prohibition.  

SECTION 2. Amends Subchapter A, Chapter 91, Labor Code, by adding
Sec.91.005, as follows:  

Sec. 91.005. LICENSE HOLDER AS EMPLOYER. Provides that a license holder is
an employer for purposes of Section 61.0165.  

SECTION 3. Amends Section 92.021, Labor Code, by adding Subsection
(c),which provides that a license holder is an employer for purposes of
Section 61.0165.  

SECTION 4. Amends Sections 93.002 and 93.003, Labor Code, as follows:

Sec. 93.002. New heading: RESTRICTIONS BASED ON EDUCATIONAL CREDENTIALS
PROHIBITED. Creates Subsection (a) from existing text. Establishes that
Section 93.002 does not create a private cause of action for any person or
class of persons.  

 Sec. 93.003. New heading: TEMPORARY EMPLOYMENT SERVICE AS EMPLOYER.
Provides that a temporary employment service is an employer for purposes of
Section 61.0165.  

SECTION 5.Emergency clause. 
  Effective date: upon passage.