By Burnam H.B. No. 2379
76R7237 CMR-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to protection of an employee in the private sector who
1-3 reports certain activities; providing a civil penalty.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subtitle A, Title 2, Labor Code, is amended by
1-6 adding Chapter 25 to read as follows:
1-7 CHAPTER 25. EMPLOYMENT DISCRIMINATION FOR REPORTING
1-8 CERTAIN ACTIVITIES PROHIBITED
1-9 Sec. 25.001. DEFINITIONS. In this chapter:
1-10 (1) "Employee" means a person other than an
1-11 independent contractor who, for compensation, performs services for
1-12 an employer under a written or oral contract of hire, whether
1-13 express or implied.
1-14 (2) "Employer" means a person who employs five or more
1-15 employees.
1-16 (3) "Law" means:
1-17 (A) a state or federal statute;
1-18 (B) an ordinance of a local government; or
1-19 (C) a rule adopted under a statute or ordinance.
1-20 (4) "Report" means a written or oral employee report
1-21 made under Section 25.003.
1-22 Sec. 25.002. EXEMPTION. This chapter does not apply to an
1-23 employee of a state agency or local government subject to Chapter
1-24 554, Government Code.
2-1 Sec. 25.003. EMPLOYER RETALIATION PROHIBITED. An employer,
2-2 because an employee has reported activities within the workplace
2-3 that constitute a violation of law, may not suspend, demote, or
2-4 terminate the employment of, or otherwise discriminate against,
2-5 that employee if the employee makes the report:
2-6 (1) in good faith; and
2-7 (2) to:
2-8 (A) an appropriate law enforcement authority; or
2-9 (B) a supervisor, officer, or other appropriate
2-10 person who exercises managerial authority for the employer.
2-11 Sec. 25.004. BURDEN OF PROOF; PRESUMPTION. An employee who
2-12 sues under this chapter has the burden of proof, except that if the
2-13 suspension, demotion, or termination of the employee occurs not
2-14 later than the 90th day after the date on which the employee
2-15 reports a violation of law, the suspension, demotion, or
2-16 termination is presumed, subject to rebuttal, to be because the
2-17 employee made the report.
2-18 Sec. 25.005. RELIEF AVAILABLE TO EMPLOYEE. (a) An employee
2-19 whose employment is suspended, demoted, or terminated or who is
2-20 discriminated against in violation of Section 25.003 is entitled to
2-21 sue for:
2-22 (1) injunctive relief;
2-23 (2) actual damages;
2-24 (3) court costs; and
2-25 (4) reasonable attorney's fees.
2-26 (b) In addition to relief under Subsection (a), an employee
2-27 whose employment is suspended, demoted, or terminated in violation
3-1 of this chapter is entitled to:
3-2 (1) reinstatement to the employee's former position or
3-3 a position that is comparable in terms of compensation, benefits,
3-4 and other conditions of employment;
3-5 (2) compensation for wages lost during the period of
3-6 suspension, demotion, or termination; and
3-7 (3) reinstatement of any fringe benefits and seniority
3-8 rights lost because of the suspension, demotion, or termination.
3-9 Sec. 25.006. LIMITATION PERIOD. Except as provided by
3-10 Section 25.007, an employee who seeks relief under this chapter
3-11 must sue not later than the 90th day after the date on which the
3-12 alleged violation of this chapter:
3-13 (1) occurred; or
3-14 (2) was discovered by the employee through reasonable
3-15 diligence.
3-16 Sec. 25.007. EXHAUSTION OF GRIEVANCE OR APPEAL PROCEDURES.
3-17 (a) An employee must exhaust the employer's grievance or appeal
3-18 procedures relating to suspension, demotion, or termination of
3-19 employment or unlawful discrimination, if any, before suing under
3-20 this chapter.
3-21 (b) The employee must invoke the grievance or appeal
3-22 procedures not later than the 90th day after the date on which the
3-23 alleged violation of this chapter:
3-24 (1) occurred; or
3-25 (2) was discovered by the employee through reasonable
3-26 diligence.
3-27 (c) Time used by the employee in exhausting the grievance or
4-1 appeal procedures is excluded from the period established by
4-2 Section 25.006.
4-3 (d) Notwithstanding Subsection (a) an employee may bring
4-4 suit under this chapter on or after the 31st day after the date on
4-5 which the employee initiates the grievance or appeal if a final
4-6 decision is not rendered before that date.
4-7 Sec. 25.008. VENUE. An employee may sue under this chapter
4-8 in a district court of the county in which the employee resides.
4-9 Sec. 25.009. CIVIL PENALTY. (a) An employer who suspends,
4-10 demotes, or terminates the employment of an employee in violation
4-11 of this chapter is liable for a civil penalty not to exceed $500.
4-12 (b) The attorney general or an appropriate prosecuting
4-13 attorney may sue to collect a civil penalty under this section.
4-14 (c) A civil penalty collected under this section shall be
4-15 deposited in the state treasury.
4-16 Sec. 25.010. NOTICE TO EMPLOYEES. (a) Each employer shall
4-17 inform its employees of their rights under this chapter by posting
4-18 a conspicuous sign in a prominent location in the employer's
4-19 workplace.
4-20 (b) The Texas Workforce Commission by rule shall prescribe
4-21 the design and content of the sign required by this section. The
4-22 commission may combine the contents of the sign required by this
4-23 section with the content of any other sign required to be posted by
4-24 an employer by the state. The commission may assess each employer
4-25 subject to this chapter a reasonable fee to cover only the costs
4-26 incurred by the commission in administering this section.
4-27 SECTION 2. This Act takes effect September 1, 1999, and
5-1 applies only to a suspension, demotion, termination, or
5-2 discriminatory action that is taken on or after that date by an
5-3 employer against an employee.
5-4 SECTION 3. The importance of this legislation and the
5-5 crowded condition of the calendars in both houses create an
5-6 emergency and an imperative public necessity that the
5-7 constitutional rule requiring bills to be read on three several
5-8 days in each house be suspended, and this rule is hereby suspended.