By McCall, Junell, Brimer, Keffer,                     H.B. No. 341
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the use of certain information regarding a current or
 1-3     former employee.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Title 3, Labor Code, is amended by adding Chapter
 1-6     103 to read as follows:
 1-7        CHAPTER 103.  DISCLOSURE BY EMPLOYER OF INFORMATION REGARDING
 1-8                    CERTAIN EMPLOYEES OR FORMER EMPLOYEES
 1-9           Sec. 103.001.  PURPOSE; LEGISLATIVE FINDING.  The legislature
1-10     finds that the disclosure by an employer of truthful information
1-11     regarding a current or former employee protects employment
1-12     relationships and benefits the public welfare.  It is the intent of
1-13     the legislature that an employer who makes a disclosure based on
1-14     information obtained by the employer that any employer would
1-15     reasonably believe to be true should be immune from civil liability
1-16     for that disclosure.
1-17           Sec. 103.002.  DEFINITIONS.  In this chapter:
1-18                 (1)  "Employee" means a person who performs services
1-19     for an employer, whether or not for compensation.
1-20                 (2)  "Employer" means a person who has one or more
1-21     employees or other individuals who perform services under a
1-22     contract of hire or service, whether expressed or implied, or oral
1-23     or written.
1-24                 (3)  "Job performance" means the manner in which an
1-25     employee performs a position of employment and includes an analysis
 2-1     of the employee's  attendance at work, attitudes, effort,
 2-2     knowledge, behaviors, and skills.
 2-3                 (4)  "Prospective employee" means any person who has
 2-4     made an application, either oral or written, or has sent a resume
 2-5     or other correspondence indicating an interest in employment.
 2-6                 (5)  "Prospective employer" means an employer to whom a
 2-7     prospective employee has made an application, either oral or
 2-8     written, or sent a resume or other correspondence expressing an
 2-9     interest in employment.
2-10           Sec. 103.003.  AUTHORIZED DISCLOSURE; APPLICATION TO CERTAIN
2-11     EMPLOYEES.  (a)  An employer may disclose information about a
2-12     current or former employee's job performance to a prospective
2-13     employer of the current or former employee on  the request of the
2-14     prospective employer or the  employee.
2-15           (b)  An employer may not disclose information about a
2-16     licensed nurse or licensed vocational nurse that relates to conduct
2-17     that is protected under Article 4525d, Revised Statutes.  The
2-18     employer must provide an affected nurse an opportunity to submit a
2-19     statement of reasonable length to the employer to establish the
2-20     application of Article 4525d, Revised Statutes.
2-21           Sec. 103.004.  IMMUNITY FROM CIVIL LIABILITY; EMPLOYER
2-22     REPRESENTATIVES.  (a)  An employer who discloses information about
2-23     a current or former employee under Section 103.003 is immune from
2-24     civil liability for that disclosure or any damages proximately
2-25     caused by that disclosure unless it is proven by the preponderance
2-26     of the evidence that the  information disclosed was known by that
2-27     employer to be false at the time the disclosure was made.  For
 3-1     purposes of this subsection, "known" means actual knowledge based
 3-2     on information relating to the employee, including any information
 3-3     maintained in a file by the employer on that employee.
 3-4           (b)  This chapter applies to a managerial employee or other
 3-5     representative of the employer who is authorized to provide and who
 3-6     provides information in accordance with this chapter in the same
 3-7     manner that it applies to an employer.
 3-8           Sec. 103.005.  EMPLOYMENT REFERENCE.  This chapter does not
 3-9     require an employer to provide an employment reference to or about
3-10     a current or former employee.
3-11           SECTION 2.  Chapter 103, Labor Code, as added by this Act,
3-12     applies only to a cause of action that accrues on or after the
3-13     effective date of this Act.  A cause of action that accrues before
3-14     that date is governed by the law as it existed immediately before
3-15     the effective date of this Act, and that law is continued in effect
3-16     for that purpose.
3-17           SECTION 3.  This Act takes effect September 1, 1999.
3-18           SECTION 4.  The importance of this legislation and the
3-19     crowded condition of the calendars in both houses create an
3-20     emergency and an imperative public necessity that the
3-21     constitutional rule requiring bills to be read on three several
3-22     days in each house be suspended, and this rule is hereby suspended.