79R7131 KSD-D

By:  Rodriguez                                                    H.B. No. 2782



A BILL TO BE ENTITLED

AN ACT

relating to requirements regarding termination of employment.                 
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Title 3, Labor Code, is amended by adding Chapter 
104 to read as follows:

CHAPTER 104.  TERMINATION OF EMPLOYMENT
	Sec. 104.001.  DEFINITIONS.  In this chapter:                           
		(1)  "Commission"  means the Texas Workforce 
Commission.             
		(2)  "Employee" means an individual, other than an 
independent contractor, who is employed for compensation.
		(3)  "Employer" means a person who employs one or more 
employees.    
	Sec. 104.002.  APPLICABILITY OF CHAPTER.  (a)  This chapter 
applies to all employers, including this state and a political 
subdivision of this state.
	(b)  This chapter does not apply to an individual employed:             
		(1)  under a written contract for a specific term; or                  
		(2)  in a position of employment subject to a 
collective bargaining agreement.
	Sec. 104.003.  EMPLOYMENT POLICY REQUIRED.  (a)  Each 
employer subject to this chapter shall adopt a written employment 
policy consistent with this section for the employer's employees.
	(b)  The employment policy must:                                        
		(1)  provide for a probationary period of employment 
for new employees not to exceed one year from the date of hire;
		(2)  provide for a written evaluation, not less than 
annually, of the performance of each employee;
		(3)  specify the grounds on which the employment of a 
nonprobationary employee may be terminated; and
		(4)  specify the required procedure for termination of 
the employment of a nonprobationary employee.
	(c)  This chapter does not limit any right otherwise granted 
to an employee under a policy adopted by the employee's employer.
	Sec. 104.004.  TERMINATION REQUIREMENTS.  (a)  An employer 
who proposes to terminate the employment of a nonprobationary 
employee must present the employee with written notice that 
includes a statement of the grounds for the proposed termination 
and any other material facts related to the proposed termination.
	(b)  The employer must review the grounds for the proposed 
termination and any other material facts related to the proposed 
termination with the affected employee and, on timely written 
request of the employee, must conduct a termination review 
proceeding that allows the employee to respond to the proposed 
termination orally and in writing.
	Sec. 104.005.  NOTICE.  (a)  Each employer shall notify its 
employees of the their rights under this chapter by posting an 
appropriately worded sign in a prominent place in the employer's 
workplace.
	(b)  The commission shall prescribe the design and content of 
the sign required under Subsection (a).
	Sec. 104.006.  RULES.  The commission may adopt rules as 
necessary to implement this chapter.
	Sec. 104.007.  REMEDIES.  An employee whose employment is 
terminated in violation of this chapter may bring a cause of action 
against the employer for:
		(1)  reinstatement in the same position of employment 
or to an equivalent position of employment with commensurate pay;
		(2)  actual damages, including compensation for  lost  
wages and employer-provided benefits;
		(3)  court costs; and                                                  
		(4)  reasonable attorney's fees.                                       
	SECTION 2.  The change in law made by this Act applies only 
to a cause of action that accrues on or after the effective date of 
this Act.  A cause of action that accrues before that date is 
governed by the law as it existed immediately before the effective 
date of this Act, and that law is continued in effect for that 
purpose.
	SECTION 3.  This Act takes effect September 1, 2005.