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California Labor Federation, AFL-CIOExecutive CouncilThe California Labor Federation, AFL-CIO represents California's1.7 million AFL-CIO union members. The Federation's headquartersare at 995 Market Street, San Francisco, CA 94103. Phone (415)986-3585. The Federation also maintains offices at 1127 - 11th Streetin Sacramento, CA 95814. Phone (916) 444-3676.

John F. HenningExecutive Secretary-Treasurer

Albin J. GruhnPresident

Manuel DiasGeneral Vice President

Vice Presidents, Geographical:District No. 1Max J. Osslo

District No. 2M. R. CallahanRay S. Mendoza

District No. 3Joseph PintoChester L. MlgdenJerry P. CreminsAlfred K. WhiteheadCornelius WallRay M. Wilson

District No. 4Paul MillerDistrict No. 5Bennie Arellano

District No. 6Willis F. Simons

District No. 7C. A. Green

District No. 8Thomas A. Small

District No. 9Morris WeisbergerJoseph R. GarciaFrank SouzaWm. G. Dowd

District No. 10Richard K. GrouixWilliam Ward

District No. 11Leo Mitchell

Vice Presidentsat Large:James P. McLoughllnDina G. BeaumontWilliam R. RobertsonJames J. TwombleyHal SheanJohn F. CrowleySteve EdneyFred D. FletcherCass D. Alvin

District No. 12Loretta Riley

District No. 13Harry Finks

District No. 14Raymond K. NelsonDistrict No. 15Lloyd ;1. Lea

15151

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CALIFORNIA LABOR in 1977 continued its unceasingquest for economic and social progress. The legislativebattles were sometimes fought over broad, clearlydefined issues of principle and at other times in smaller,contested skirmishes over important questions of detail.The opposition was always there, well established,well financed. Reaction never sleeps, never abandonsits own kind of class war.

The 1977 session was clouded by the massiveunemployment that so plagues California. Certainlywe cannot accept nearly three quarters of a millionjobless as the price of our state's boasted progress.

Within the limited context of a sick economy and itsattendant social evils, the legislature and the BrownAdministration sustained some of the momentumof the unprecedented progress of 1975-76. There wasprogress in 1977 but at the end there was stilla long way to go.

Fraternally yours,

G+<'7John F. HenningExeciutive Secretary-TreasuirerCalifornia Labor Federation, A FL-CIO

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California workers will benefit substantially from labor'sachievements in the 1977 session of the State Legislature.Twenty-one measures, sponsored or supported by the Cali-

fornia Labor Federation, became law during the session. Theyfollow in important and useful ways the history-making advancesof the 1975-76 sessions. They effectively sustain the high levelof social and economic progress for working men and womenthat the state AFL-CIO has achieved in recent years.

The session, however, was not without its disappointments.One enacted measure (AB 155) effectively weakens the commit-ment of workers' compensation laws to the victims of industrialinjury or disease. In itself, it was a step backward. More important,though, it signaled a still-developing attack on compensation pro-tection for workers felled by industrial carcinogens and otherlong-term job hazards. Efforts to weaken the law's obligations inthis vital area are sure to mount in the months ahead.

The session failed to deal fairly and sensibly with collectivebargaining rights of public employees. Nor was it able to com-plete the efforts to provide property tax relief for homeownersand renters as a major phase of long-overdue income tax reforms.

A major increase in benefits under the unemployment dis-ability insurance program was, however, enacted, raising theweekly maximum to $146.00 from $119.

Under safeguards demanded by the state AFL-CIO, the 1977session did extend a form of collective bargaining rights to stateemployees.

The 1977 session also gave a worker injured on the job theright to choose his own doctor from the first day of injury, in-stead of after 30 days.

It renewed for another two years the law requiring itemprices in supermarkets where automation takes over the checkoutstand.

It provided a "one-stop" permit procedure to speed clear-ances for construction and industrial development projects.

ONE

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It provided California with its first liquified natural gasfacility as an answer to the menacing energy crisis.

The far-reaching legislation achieved in the 1975-76 sessionsof the Legislature fulfilled many of labor's longstanding goals.The follow-up in this year's session closed gaps, erased inequities,moved constructively forward on many fronts.

Governor Edmund G. Brown, Jr. signed into law 21 of the 24AFL-CIO sponsored or supported bills adopted by both housesof the Legislature. Vetoed were SB 96 (Nejedly) requiring theCalifornia Highway Commission to allocate funds for the develop-ment of public mass transit guideway and state highway purposes;and AB 860 (Lockyer) which would have provided grants to en-courage the establishment of recycling centers. However, theGovernor did sign SB 650 (Nejedly) setting up a statewide re-cycling program. He also vetoed AB 638 (Vicencia) which wouldhave repealed the requirement that workers' compensation bene-fits be deducted from allowances payable under the State Teach-ers Retirement System.

Unfortunately he signed a disastrous bill virtually eliminat-ing employment opportunities for workers possibly suffering fromlong-term on-the-job injury or disease incurred in prior employ-ment.

However, the Governor's record for the 1977 session is essen-tially a progressive one.

Credit must be given to the leadership of the Legislature, toPresident of the Senate Pro Tem James Mills and to Speaker ofthe Assembly Leo McCarthy.

Particular thanks must be given to legislators who intro-duced and carried measures proposed and supported by theFederation. In certain instances, labor will undoubtedly take acloser, more critical look at individual records where commit-ments on vital issues may have been compromised to labor's dis-advantage under pressures that were unreasonable and anti-union.

Local union and central body representatives were as alwaysa strong source of support for the Federation's efforts in the legis-lative process. Their increasingly effective organization and acti-vity in the electoral process, too, provides a sturdy strength thathas counted measurably in the Federation's legislative gains.

Following are summaries of the 21 measures enacted by the1977 session. Five anti-worker bills that were defeated by theFederation are listed on page 5. The tabulation of floor and com-mittee votes cast by the members of both houses on critical meas-ures begins on page 6.

TWO

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SOCIAL INSURANCE1. Unemployment Disability Insurance Benefits. AB 1379

(Fazio) increases the maximum weekly benefit under the em-ployee-financed State Disability Insurance Program from $119to $146 and raises the minimum weekly benefit from $25 to $30.

2. Tips and gratuities. AB 1628 (Greene) counts tips andgratuities as wages in determining unemployment disability in-surance benefits if they are greater than $20 during any calendarmonth.

3. Free choice of doctor. SB 520 (Foran) assures workerssuffering on-the-job disabilities under the workers' compensationlaw the right to be treated by their personal physician from thefirst day of injury rather than after a 30-day period under currentlaw.

4. Workers' Compensation Benefits. AB 1044 (Torres) altersthe method used to compute average annual earnings for tem-porary disability benefits, increasing the minimum temporarydisability benefit from $35 to $51.33 per week.

5. Industrial homeworkers. AB 968 (Alatorre) extends unem-ployment insurance and unemployment disability insurancebenefits to individuals who do work at home according to speci-fications of employers on materials or goods furnished by theemployer which are required to be returned to the employer oremployer's agent.

6. Casual earnings exemption. SB 876 (Holden) increasesthe amount of money an unemployed person may earn withoutincurring a reduction in unemployment insurance benefits from$18 to $21 per week.

7. Ex-offenders. SB 224 (Behr) makes ex-offenders whohave worked at a State prison job or participated in a vocationaleducation program eligible for unemployment insurance benefitsupon their release from prison.

LABOR RELATIONS8. State employees. SB 839 (Dills) extends limited collective

bargaining rights to some 90,000 state employees. The law, psamended by AFL-CIO proposals, provides for unit determination.maintenance of membership, listing of unfair labor practices,and administration by an independent board.

9. Barber examiners. SB 671 (Garcia) eliminates an existinglaw requiring the approval of the Director of Consumer Affairsfor the State Board of Barber Examiners before additional dutiescould be assigned to an examiner-field representative. It author-izes the Board to assign such additional duties "as it deemsnecessary."1

THREE

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WORKING CONDITIONS10. Custodial workers. AB 114 (Deddeh) requires public

utilities to pay prevailing wages when they contract for custodialor janitorial services.

11. Printers' wages. AB 2022 (Gualco) requires that thebasic wage for employees of the Office of State Printing be theprevailing hourly wage paid by private printers in major metro-politan areas in California.

GENERAL12. Liquified natural gas. SB 1081 (Alquist) authorizes con-

struction of the state's first liquified natural gas facility to averta predicted energy shortage that could jeopardize hundreds ofthousands of jobs in California within the next several years.

13. Clean-up contractors. AB 557 (Montoya) expands thelegal definition of the term "contractor" under the ContractorsLicense Law to include those who undertake the cleaning ofgrounds of structures.

14. School financing. AB 65 (Greene) provides a five-yeartotal of $4.26 billion in additional state aid to schools andchanges the way the state allocates funds to California's 1,046local school districts. It provides funds for a wide range of schoolprograms, bolsters the teachers' pension system and providescash incentives for districts that give more authority to councilsof parents and teachers at the school level.

15. Item pricing. AB 18 (Rosenthal) an interim measure ex-tending the state's item pricing law from April 1, 1977, until Jan-uary 1, 1978.

16. Item pricing. SB 32 (Roberti) extends the state's itempricing law from January 1, 1978, to January 1, 1980.

17. Water treatment. AB 399 (McCarthy) provides, subject tothe voters' approval at the June, 1978, primary election, a $375million bond issue for planning and constructing water treatmentfacilities.

18. Permit authority. AB 884 (McCarthy) speeds up the per-mit approval process for construction and industrial developmentprojects by creating a lead agency to serve as a one-stop permitauthority.

19. Bottle-can control. SB 650 (Nejedly) enacts a statewidelitter control and recycling plan of such things as food andbeverage containers including but not limited to bottles and cans.

20. Tax status of Lobbying Organizations. SB 1099 (Rains)nullifies law requiring certain organizations, including laborunions, to pay taxes where expenditures were made to influence

FOUR

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or attempt to influence legislation, ballot measures or a recallprocedure during the taxable year beginning on or after January1, 1977.

The bill also excludes severance pay from gross incomeunder the personal income tax law, and from wages or compen-sation for purposes of calculating the eligibility date for unem-ployment insurance benefits, of workers who may be terminatedas a direct result of federal legislation in 1978 expanding theRedwood National Park in Humboldt County.

21. Library services. SB 792 (Dunlap) enacts the CaliforniaLibrary Services Act to expand library services and facilitatesthe exchange and coordination of library resources and servicesbetween library systems. The Governor reduced the funding forthis measure from $6.46 to $5.3 million.

In addition, both houses of the Legislature unanimouslyapproved Assembly Joint Resolution 13 (Rosenthal), a CaliforniaAFL-CIO-sponsored measure calling on the President, the Con-gress and the Commissioner of Immigration and Naturalizatior"to protect the inherent rights of United States workers in theentertainment industry."

DEFEATED MEASURESSB 4 (Rains)-Tried to outlaw no-deposit beverage con-

tainers throughout California.SB 20 (Stull)-Would have undermined the access rule

adopted by the Agricultural Labor Relations Board and subse-quently upheld both the State and United States Supreme Courtsas well as weaken rights of the union to a list of the names ofgrower's employees during organizing campaigns.

SB 793 (Russell)-An attempt to repeal the right to strike ofworkers for the Southern California Rapid Transit District.

SB 1019 (Smith)-Would have required bargaining for wagesand conditions between public employees and the employers beheld in public sessions.

AB 489 (Antonovich)-Attempted to impose the compulsoryopen shop on California public education employees under theguise of freedom of conscience.

The Federation also successfully defeated attempts to attacha so-called freedom of conscience amendment to SB 839 (Dills),a bill which extends limited collective bargaining rights to stateemployees and AB 1091 (Berman), which proposes to providefull collective bargaining rights to California State College andUniversity employees.

FIVE

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