By Burnam H.B. No. 300
77R1189 KSD-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 may not suspend, demote, or terminate the employment of, or
2-3 otherwise discriminate against, an employee because the employee
2-4 has reported activities within the workplace that constitute a
2-5 violation of law 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. RELIEF AVAILABLE TO EMPLOYEE. (a) An employee
2-12 whose employment is suspended, demoted, or terminated, or who is
2-13 otherwise discriminated against, in violation of Section 25.003 is
2-14 entitled to sue for:
2-15 (1) injunctive relief;
2-16 (2) actual damages;
2-17 (3) court costs; and
2-18 (4) reasonable attorney's fees.
2-19 (b) In addition to relief under Subsection (a), an employee
2-20 whose employment is suspended, demoted, or terminated, or who is
2-21 discriminated against, in violation of this chapter is entitled to:
2-22 (1) reinstatement to the employee's former position or
2-23 a position that is comparable in terms of compensation, benefits,
2-24 and other conditions of employment;
2-25 (2) compensation for wages lost during the period of
2-26 suspension, demotion, termination, or discrimination; and
2-27 (3) reinstatement of any fringe benefits and seniority
3-1 rights lost because of the suspension, demotion, termination, or
3-2 discrimination.
3-3 Sec. 25.005. BURDEN OF PROOF; PRESUMPTION. An employee who
3-4 sues under this chapter has the burden of proof, except that if the
3-5 suspension, demotion, or termination of, or other discriminatory
3-6 action against, the employee occurs not later than the 90th day
3-7 after the date on which the employee reports a violation of law,
3-8 the suspension, demotion, termination, or other discriminatory
3-9 action is presumed, subject to rebuttal, to be because the employee
3-10 made the report.
3-11 Sec. 25.006. LIMITATION PERIOD. Except as provided by
3-12 Section 25.007, an employee who seeks relief under this chapter
3-13 must sue not later than the 90th day after the date on which the
3-14 alleged violation of this chapter:
3-15 (1) occurred; or
3-16 (2) was discovered by the employee through reasonable
3-17 diligence.
3-18 Sec. 25.007. EXHAUSTION OF GRIEVANCE OR APPEAL PROCEDURES.
3-19 (a) An employee must exhaust the employer's grievance or appeal
3-20 procedures relating to suspension, demotion, termination of
3-21 employment, or discrimination, if any, before suing under this
3-22 chapter.
3-23 (b) The employee must invoke the grievance or appeal
3-24 procedures not later than the 90th day after the date on which the
3-25 alleged violation of this chapter:
3-26 (1) occurred; or
3-27 (2) was discovered by the employee through reasonable
4-1 diligence.
4-2 (c) Time used by the employee in exhausting the grievance or
4-3 appeal procedures is excluded from the period established by
4-4 Section 25.006.
4-5 (d) Notwithstanding Subsection (a), an employee may bring
4-6 suit under this chapter on or after the 31st day after the date on
4-7 which the employee initiates the grievance or appeal if a final
4-8 decision is not rendered before the 31st day after the date of the
4-9 initiation.
4-10 Sec. 25.008. VENUE. An employee may sue under this chapter
4-11 in a district court of the county in which the employee resides.
4-12 Sec. 25.009. CIVIL PENALTY. (a) An employer who suspends,
4-13 demotes, terminates the employment of, or discriminates against an
4-14 employee in violation of this chapter is liable for a civil penalty
4-15 not to exceed $500.
4-16 (b) The attorney general or an appropriate prosecuting
4-17 attorney may sue to collect a civil penalty under this section.
4-18 (c) A civil penalty collected under this section shall be
4-19 deposited in the state treasury.
4-20 Sec. 25.010. NOTICE TO EMPLOYEES. (a) Each employer shall
4-21 inform its employees of their rights under this chapter by posting
4-22 a conspicuous sign in a prominent location in the employer's
4-23 workplace.
4-24 (b) The Texas Workforce Commission by rule shall prescribe
4-25 the design and content of the sign required by this section. The
4-26 commission may combine the contents of the sign required by this
4-27 section with the content of any other sign required to be posted by
5-1 an employer by the state. The commission may assess each employer
5-2 subject to this chapter a reasonable fee to cover the costs
5-3 incurred by the commission in administering this section.
5-4 SECTION 2. This Act takes effect September 1, 2001, and
5-5 applies only to a suspension, demotion, termination, or
5-6 discriminatory action that is taken on or after that date by an
5-7 employer against an employee.