S-1139.1  _______________________________________________

 

                         SENATE BILL 5692

          _______________________________________________

 

State of Washington      56th Legislature     1999 Regular Session

 

By Senator Fairley

 

Read first time 02/03/1999.  Referred to Committee on Labor & Workforce Development.

Changing the employment status of legislative employees and other public employees.


    AN ACT Relating to the employment of legislative and other public employees; amending RCW 41.06.070, 41.40.023, 41.60.010, 42.40.020, 49.12.005, 49.12.360, and 49.46.010; and adding a new section to chapter 41.06 RCW.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

    Sec. 1.  RCW 41.06.070 and 1998 c 245 s 40 are each amended to read as follows:

    (1) The provisions of this chapter do not apply to:

    (a) The members of the legislature ((or to any employee of, or position in, the legislative branch of the state government including members, officers, and employees of the legislative council, joint legislative audit and review committee, statute law committee, and any interim committee of the legislature));

    (b) The justices of the supreme court, judges of the court of appeals, judges of the superior courts or of the inferior courts, or to any employee of, or position in the judicial branch of state government;

    (c) Officers, academic personnel, and employees of technical colleges;

    (d) The officers of the Washington state patrol;

    (e) Elective officers of the state;

    (f) The chief executive officer of each agency;

    (g) In the departments of employment security and social and health services, the director and the director's confidential secretary; in all other departments, the executive head of which is an individual appointed by the governor, the director, his or her confidential secretary, and his or her statutory assistant directors;

    (h) In the case of a multimember board, commission, or committee, whether the members thereof are elected, appointed by the governor or other authority, serve ex officio, or are otherwise chosen:

    (i) All members of such boards, commissions, or committees;

    (ii) If the members of the board, commission, or committee serve on a part-time basis and there is a statutory executive officer:  The secretary of the board, commission, or committee; the chief executive officer of the board, commission, or committee; and the confidential secretary of the chief executive officer of the board, commission, or committee;

    (iii) If the members of the board, commission, or committee serve on a full-time basis:  The chief executive officer or administrative officer as designated by the board, commission, or committee; and a confidential secretary to the chair of the board, commission, or committee;

    (iv) If all members of the board, commission, or committee serve ex officio:  The chief executive officer; and the confidential secretary of such chief executive officer;

    (i) The confidential secretaries and administrative assistants in the immediate offices of the elective officers of the state, except legislators;

    (j) Assistant attorneys general;

    (k) Commissioned and enlisted personnel in the military service of the state;

    (l) Inmate, student, part-time, or temporary employees, and part-time professional consultants, as defined by the Washington personnel resources board;

    (m) The public printer or to any employees of or positions in the state printing plant;

    (n) Officers and employees of the Washington state fruit commission;

    (o) Officers and employees of the Washington state apple advertising commission;

    (p) Officers and employees of the Washington state dairy products commission;

    (q) Officers and employees of the Washington tree fruit research commission;

    (r) Officers and employees of the Washington state beef commission;

    (s) Officers and employees of any commission formed under chapter 15.66 RCW;

    (t) ((Officers and employees of the state wheat commission formed under chapter 15.63 RCW;

    (u))) Officers and employees of agricultural commissions formed under chapter 15.65 RCW;

    (((v))) (u) Officers and employees of the nonprofit corporation formed under chapter 67.40 RCW;

    (((w))) (v) Executive assistants for personnel administration and labor relations in all state agencies employing such executive assistants including but not limited to all departments, offices, commissions, committees, boards, or other bodies subject to the provisions of this chapter and this subsection shall prevail over any provision of law inconsistent herewith unless specific exception is made in such law;

    (((x))) (w) In each agency with fifty or more employees:  Deputy agency heads, assistant directors or division directors, and not more than three principal policy assistants who report directly to the agency head or deputy agency heads;

    (((y))) (x) All employees of the marine employees' commission;

    (((z) Up to a total of five senior staff positions of the western library network under chapter 27.26 RCW responsible for formulating policy or for directing program management of a major administrative unit.  This subsection (1)(z) shall expire on June 30, 1997;

    (aa))) (y) Staff employed by the department of community, trade, and economic development to administer energy policy functions and manage energy site evaluation council activities under RCW 43.21F.045(2)(m);

    (((bb))) (z) Staff employed by Washington State University to administer energy education, applied research, and technology transfer programs under RCW 43.21F.045 as provided in RCW 28B.30.900(5).

    (2) The following classifications, positions, and employees of institutions of higher education and related boards are hereby exempted from coverage of this chapter:

    (a) Members of the governing board of each institution of higher education and related boards, all presidents, vice-presidents, and their confidential secretaries, administrative, and personal assistants; deans, directors, and chairs; academic personnel; and executive heads of major administrative or academic divisions employed by institutions of higher education; principal assistants to executive heads of major administrative or academic divisions; other managerial or professional employees in an institution or related board having substantial responsibility for directing or controlling program operations and accountable for allocation of resources and program results, or for the formulation of institutional policy, or for carrying out personnel administration or labor relations functions, legislative relations, public information, development, senior computer systems and network programming, or internal audits and investigations; and any employee of a community college district whose place of work is one which is physically located outside the state of Washington and who is employed pursuant to RCW 28B.50.092 and assigned to an educational program operating outside of the state of Washington;

    (b) ((Student, part-time, or temporary employees, and part-time professional consultants, as defined by the Washington personnel resources board, employed by institutions of higher education and related boards;

    (c))) The governing board of each institution, and related boards, may also exempt from this chapter classifications involving research activities, counseling of students, extension or continuing education activities, graphic arts or publications activities requiring prescribed academic preparation or special training as determined by the board:  PROVIDED, That no nonacademic employee engaged in office, clerical, maintenance, or food and trade services may be exempted by the board under this provision;

    (((d))) (c) Printing craft employees in the department of printing at the University of Washington.

    (3) In addition to the exemptions specifically provided by this chapter, the Washington personnel resources board may provide for further exemptions pursuant to the following procedures.  The governor or other appropriate elected official may submit requests for exemption to the Washington personnel resources board stating the reasons for requesting such exemptions.  The Washington personnel resources board shall hold a public hearing, after proper notice, on requests submitted pursuant to this subsection.  If the board determines that the position for which exemption is requested is one involving substantial responsibility for the formulation of basic agency or executive policy or one involving directing and controlling program operations of an agency or a major administrative division thereof, the Washington personnel resources board shall grant the request and such determination shall be final as to any decision made before July 1, 1993.  The total number of additional exemptions permitted under this subsection shall not exceed one percent of the number of employees in the classified service not including employees of institutions of higher education and related boards for those agencies not directly under the authority of any elected public official other than the governor, and shall not exceed a total of twenty-five for all agencies under the authority of elected public officials other than the governor.

    The salary and fringe benefits of all positions presently or hereafter exempted except for the chief executive officer of each agency, full-time members of boards and commissions, administrative assistants and confidential secretaries in the immediate office of an elected state official, and the personnel listed in subsections (1)(j) through (((v))) (u), (((y), (z))) (x), and (2) of this section, shall be determined by the Washington personnel resources board.  However, beginning with changes proposed for the 1997-99 fiscal biennium, changes to the classification plan affecting exempt salaries must meet the same provisions for classified salary increases resulting from adjustments to the classification plan as outlined in RCW 41.06.152.

    Any person holding a classified position subject to the provisions of this chapter shall, when and if such position is subsequently exempted from the application of this chapter, be afforded the following rights:  If such person previously held permanent status in another classified position, such person shall have a right of reversion to the highest class of position previously held, or to a position of similar nature and salary.

    Any classified employee having civil service status in a classified position who accepts an appointment in an exempt position shall have the right of reversion to the highest class of position previously held, or to a position of similar nature and salary.

    A person occupying an exempt position who is terminated from the position for gross misconduct or malfeasance does not have the right of reversion to a classified position as provided for in this section.

 

    NEW SECTION.  Sec. 2.  A new section is added to chapter 41.06 RCW to read as follows:

    (1) The director shall, after consultation with legislative agencies and affected employees, provide some or all rules for confidential secretaries and administrative assistants that are separate from the rules adopted for other employees.  The rules must address at least the following:  Recruitment, appointments, examinations, a classification plan, disciplinary procedures, overtime compensation for employees covered under the rules who are exempt from state and federal wage and hour laws, and a salary schedule.  To the extent that these rules apply only to legislative employees, these rules take precedence over rules adopted by the board and are not subject to review by the board.

    (2) Rules adopted under this chapter shall provide for local administration and management by legislative agencies.

    (3) Each legislative agency must designate an officer who shall perform duties as personnel officer.  The personnel officer shall direct, supervise, and manage administrative and technical personnel activities for the classified service at the legislative agency consistent with policies established by the legislative agency and in accordance with this chapter and the rules adopted under this chapter.  Legislative agencies may undertake jointly with one or more other legislative agencies to appoint a person qualified to perform the duties of personnel officer and provide staff and financial support, and may engage consultants to assist in the performance of specific projects.  The services of the department of personnel may also be used pursuant to RCW 41.06.080.

 

    Sec. 3.  RCW 41.40.023 and 1997 c 254 s 11 are each amended to read as follows:

    Membership in the retirement system shall consist of all regularly compensated employees and appointive and elective officials of employers, as defined in this chapter, with the following exceptions:

    (1) Persons in ineligible positions;

    (2) ((Employees of the legislature except the officers thereof elected by the members of the senate and the house and legislative committees, unless membership of such employees be authorized by the said committee;

    (3)))(a) Persons holding elective offices or persons appointed directly by the governor:  PROVIDED, That such persons shall have the option of applying for membership during such periods of employment:  AND PROVIDED FURTHER, That any persons holding or who have held elective offices or persons appointed by the governor who are members in the retirement system and who have, prior to becoming such members, previously held an elective office, and did not at the start of such initial or successive terms of office exercise their option to become members, may apply for membership to be effective during such term or terms of office, and shall be allowed to establish the service credit applicable to such term or terms of office upon payment of the employee contributions therefor by the employee with interest as determined by the director and employer contributions therefor by the employer or employee with interest as determined by the director:  AND PROVIDED FURTHER, That all contributions with interest submitted by the employee under this subsection shall be placed in the employee's individual account in the employee's savings fund and be treated as any other contribution made by the employee, with the exception that any contributions submitted by the employee in payment of the employer's obligation, together with the interest the director may apply to the employer's contribution, shall not be considered part of the member's annuity for any purpose except withdrawal of contributions;

    (b) A member holding elective office who has elected to apply for membership pursuant to (a) of this subsection and who later wishes to be eligible for a retirement allowance shall have the option of ending his or her membership in the retirement system.  A member wishing to end his or her membership under this subsection must file, on a form supplied by the department, a statement indicating that the member agrees to irrevocably abandon any claim for service for future periods served as an elected official.  A member who receives more than fifteen thousand dollars per year in compensation for his or her elective service, adjusted annually for inflation by the director, is not eligible for the option provided by this subsection (((3))) (2)(b);

    (((4))) (3) Employees holding membership in, or receiving pension benefits under, any retirement plan operated wholly or in part by an agency of the state or political subdivision thereof, or who are by reason of their current employment contributing to or otherwise establishing the right to receive benefits from any such retirement plan:  PROVIDED, HOWEVER, In any case where the retirement system has in existence an agreement with another retirement system in connection with exchange of service credit or an agreement whereby members can retain service credit in more than one system, such an employee shall be allowed membership rights should the agreement so provide:  AND PROVIDED FURTHER, That an employee shall be allowed membership if otherwise eligible while receiving survivor's benefits:  AND PROVIDED FURTHER, That an employee shall not either before or after June 7, 1984, be excluded from membership or denied service credit pursuant to this subsection solely on account of:  (a) Membership in the plan created under chapter 2.14 RCW; or (b) enrollment under the relief and compensation provisions or the pension provisions of the volunteer fire fighters' relief and pension fund under chapter 41.24 RCW;

    (((5))) (4) Patient and inmate help in state charitable, penal, and correctional institutions;

    (((6))) (5) "Members" of a state veterans' home or state soldiers' home;

    (((7))) (6) Persons employed by an institution of higher learning or community college, primarily as an incident to and in furtherance of their education or training, or the education or training of a spouse;

    (((8))) (7) Employees of an institution of higher learning or community college during the period of service necessary to establish eligibility for membership in the retirement plans operated by such institutions;

    (((9))) (8) Persons rendering professional services to an employer on a fee, retainer, or contract basis or when the income from these services is less than fifty percent of the gross income received from the person's practice of a profession;

    (((10))) (9) Persons appointed after April 1, 1963, by the liquor control board as agency vendors;

    (((11))) (10) Employees of a labor guild, association, or organization:  PROVIDED, That elective officials and employees of a labor guild, association, or organization which qualifies as an employer within this chapter shall have the option of applying for membership;

    (((12))) (11) Retirement system retirees:  PROVIDED, That following reemployment in an eligible position, a retiree may elect to prospectively become a member of the retirement system if otherwise eligible;

    (((13))) (12) Persons employed by or appointed or elected as an official of a first class city that has its own retirement system:  PROVIDED, That any member elected or appointed to an elective office on or after April 1, 1971, shall have the option of continuing as a member of this system in lieu of becoming a member of the city system.  A member who elects to continue as a member of this system shall pay the appropriate member contributions and the city shall pay the employer contributions at the rates prescribed by this chapter.  The city shall also transfer to this system all of such member's accumulated contributions together with such further amounts as necessary to equal all employee and employer contributions which would have been paid into this system on account of such service with the city and thereupon the member shall be granted credit for all such service.  Any city that becomes an employer as defined in RCW 41.40.010(4) as the result of an individual's election under this subsection shall not be required to have all employees covered for retirement under the provisions of this chapter.  Nothing in this subsection shall prohibit a city of the first class with its own retirement system from:  (a) Transferring all of its current employees to the retirement system established under this chapter, or (b) allowing newly hired employees the option of continuing coverage under the retirement system established by this chapter.

    Notwithstanding any other provision of this chapter, persons transferring from employment with a first class city of over four hundred thousand population that has its own retirement system to employment with the state department of agriculture may elect to remain within the retirement system of such city and the state shall pay the employer contributions for such persons at like rates as prescribed for employers of other members of such system;

    (((14))) (13) Employees who (a) are not citizens of the United States, (b) do not reside in the United States, and (c) perform duties outside of the United States;

    (((15))) (14) Employees who (a) are not citizens of the United States, (b) are not covered by chapter 41.48 RCW, (c) are not excluded from membership under this chapter or chapter 41.04 RCW, (d) are residents of this state, and (e) make an irrevocable election to be excluded from membership, in writing, which is submitted to the director within thirty days after employment in an eligible position;

    (((16))) (15) Employees who are citizens of the United States and who reside and perform duties for an employer outside of the United States:  PROVIDED, That unless otherwise excluded under this chapter or chapter 41.04 RCW, the employee may apply for membership (a) within thirty days after employment in an eligible position and membership service credit shall be granted from the first day of membership service, and (b) after this thirty-day period, but membership service credit shall be granted only if payment is made for the noncredited membership service under RCW 41.50.165(2), otherwise service shall be from the date of application;

    (((17))) (16) The city manager or chief administrative officer of a city or town, other than a retiree, who serves at the pleasure of an appointing authority:  PROVIDED, That such persons shall have the option of applying for membership within thirty days from date of their appointment to such positions.  Persons serving in such positions as of April 4, 1986, shall continue to be members in the retirement system unless they notify the director in writing prior to December 31, 1986, of their desire to withdraw from membership in the retirement system.  A member who withdraws from membership in the system under this section shall receive a refund of the member's accumulated contributions.

    Persons serving in such positions who have not opted for membership within the specified thirty days, may do so by paying the amount required under RCW 41.50.165(2) for the period from the date of their appointment to the date of acceptance into membership;

    (((18))) (17) Persons enrolled in state-approved apprenticeship programs, authorized under chapter 49.04 RCW, and who are employed by local governments to earn hours to complete such apprenticeship programs, if the employee is a member of a union-sponsored retirement plan and is making contributions to such a retirement plan or if the employee is a member of a Taft-Hartley retirement plan.

 

    Sec. 4.  RCW 41.60.010 and 1993 c 467 s 1 are each amended to read as follows:

    As used in this chapter:

    (1) "Board" means the productivity board.

    (2) "Employee suggestion program" means the program developed by the board under RCW 41.60.020.

    (3) "Teamwork incentive program" means the program developed by the board under RCW 41.60.100 through 41.60.120.

    (4) "State employees" means ((present)) employees in state agencies ((and)), institutions of higher education, and the legislature, except for elected officials, directors of such agencies and institutions, and their confidential secretaries and administrative assistants and others specifically ruled ineligible by the rules of the productivity board.

 

    Sec. 5.  RCW 42.40.020 and 1995 c 403 s 509 are each amended to read as follows:

    As used in this chapter, the terms defined in this section shall have the meanings indicated unless the context clearly requires otherwise.

    (1) "Auditor" means the office of the state auditor.

    (2) "Employee" means any individual employed or holding office in any department ((or)), agency, or branch of state government.

    (3)(a) "Improper governmental action" means any action by an employee:

    (i) Which is undertaken in the performance of the employee's official duties, whether or not the action is within the scope of the employee's employment; and

    (ii) Which is in violation of any state law or rule, is an abuse of authority, is of substantial and specific danger to the public health or safety, or is a gross waste of public funds.

    (b) "Improper governmental action" does not include personnel actions including but not limited to employee grievances, complaints, appointments, promotions, transfers, assignments, reassignments, reinstatements, restorations, reemployments, performance evaluations, reductions in pay, dismissals, suspensions, demotions, violations of the state civil service law, alleged labor agreement violations, reprimands, or any action which may be taken under chapter 41.06 RCW, or other disciplinary action except as provided in RCW 42.40.030.

    (4) "Use of official authority or influence" includes taking, directing others to take, recommending, processing, or approving any personnel action such as an appointment, promotion, transfer, assignment, reassignment, reinstatement, restoration, reemployment, performance evaluation, or any adverse action under chapter 41.06 RCW, or other disciplinary action.

    (5) "Whistleblower" means an employee who in good faith reports alleged improper governmental action to the auditor, initiating an investigation under RCW 42.40.040.  For purposes of the provisions of this chapter and chapter 49.60 RCW relating to reprisals and retaliatory action, the term "whistleblower" also means:  (a) An employee who in good faith provides information to the auditor in connection with an investigation under RCW 42.40.040 and an employee who is believed to have reported alleged improper governmental action to the auditor or to have provided information to the auditor in connection with an investigation under RCW 42.40.040 but who, in fact, has not reported such action or provided such information; or (b) an employee who in good faith identifies rules warranting review or provides information to the rules review committee, and an employee who is believed to have identified rules warranting review or provided information to the rules review committee but who, in fact, has not done so.

 

    Sec. 6.  RCW 49.12.005 and 1998 c 334 s 1 are each amended to read as follows:

    For the purposes of this chapter:

    (1) The term "department" means the department of labor and industries.

    (2) The term "director" means the director of the department of labor and industries, or the director's designated representative.

    (3) The term "employer" means any person, firm, corporation, partnership, business trust, legal representative, or other business entity which engages in any business, industry, profession, or activity in this state and employs one or more employees, and ((for the purposes of RCW 49.12.270 through 49.12.295 and 49.12.450 also includes)) the state, any state institution, any state agency, political subdivisions of the state, and any municipal corporation or quasi-municipal corporation.

    (4) The term "employee" means an employee who is employed in the business of the employee's employer whether by way of manual labor or otherwise.

    (5) The term "conditions of labor" shall mean and include the conditions of rest and meal periods for employees including provisions for personal privacy, practices, methods and means by or through which labor or services are performed by employees and includes bona fide physical qualifications in employment, but shall not include conditions of labor otherwise governed by statutes and rules and regulations relating to industrial safety and health administered by the department.

    (6) For the purpose of chapter 16, Laws of 1973 2nd ex. sess. a minor is defined to be a person of either sex under the age of eighteen years.

 

    Sec. 7.  RCW 49.12.360 and 1989 1st ex.s. c 11 s 23 are each amended to read as follows:

    (1) An employer must grant an adoptive parent or a stepparent, at the time of birth or initial placement for adoption of a child under the age of six, the same leave under the same terms as the employer grants to biological parents.  As a term of leave, an employer may restrict leave to those living with the child at the time of birth or initial placement.

    (2) An employer must grant the same leave upon the same terms for men as it does for women.

    (3) The department shall administer and investigate violations of this section.  Notices of infraction, penalties, and appeals shall be administered in the same manner as violations under RCW 49.12.285.

    (4) ((For purposes of this section, "employer" includes all private and public employers listed in RCW 49.12.005(3).

    (5))) For purposes of this section, "leave" means any leave from employment granted to care for a newborn or a newly adopted child at the time of placement for adoption.

    (((6))) (5) Nothing in this section requires an employer to:

    (a) Grant leave equivalent to maternity disability leave; or

    (b) Establish a leave policy to care for a newborn or newly placed child if no such leave policy is in place for any of its employees.

 

    Sec. 8.  RCW 49.46.010 and 1997 c 203 s 3 are each amended to read as follows:

    As used in this chapter:

    (1) "Director" means the director of labor and industries;

    (2) "Wage" means compensation due to an employee by reason of employment, payable in legal tender of the United States or checks on banks convertible into cash on demand at full face value, subject to such deductions, charges, or allowances as may be permitted by rules of the director;

    (3) "Employ" includes to permit to work;

    (4) "Employer" includes any individual, partnership, association, corporation, business trust, or any person or group of persons acting directly or indirectly in the interest of an employer in relation to an employee;

    (5) "Employee" includes any individual employed by an employer but shall not include:

    (a) Any individual (i) employed as a hand harvest laborer and paid on a piece rate basis in an operation which has been, and is generally and customarily recognized as having been, paid on a piece rate basis in the region of employment; (ii) who commutes daily from his or her permanent residence to the farm on which he or she is employed; and (iii) who has been employed in agriculture less than thirteen weeks during the preceding calendar year;

    (b) Any individual employed in casual labor in or about a private home, unless performed in the course of the employer's trade, business, or profession;

    (c) Any individual employed in a bona fide executive, administrative, or professional capacity or in the capacity of outside salesman as those terms are defined and delimited by rules of the director.  However, those terms shall be defined and delimited by the Washington personnel resources board pursuant to chapter 41.06 RCW for employees employed under the board's jurisdiction;

    (d) Any individual engaged in the activities of an educational, charitable, religious, state or local governmental body or agency, or nonprofit organization where the employer-employee relationship does not in fact exist or where the services are rendered to such organizations gratuitously.  If the individual receives reimbursement in lieu of compensation for normally incurred out-of-pocket expenses or receives a nominal amount of compensation per unit of voluntary service rendered, an employer-employee relationship is deemed not to exist for the purpose of this section or for purposes of membership or qualification in any state, local government or publicly supported retirement system other than that provided under chapter 41.24 RCW;

    (e) Any individual employed full time by any state or local governmental body or agency who provides voluntary services but only with regard to the provision of the voluntary services.  The voluntary services and any compensation therefor shall not affect or add to qualification, entitlement or benefit rights under any state, local government, or publicly supported retirement system other than that provided under chapter 41.24 RCW;

    (f) Any newspaper vendor or carrier;

    (g) Any carrier subject to regulation by Part 1 of the Interstate Commerce Act;

    (h) Any individual engaged in forest protection and fire prevention activities;

    (i) Any individual employed by any charitable institution charged with child care responsibilities engaged primarily in the development of character or citizenship or promoting health or physical fitness or providing or sponsoring recreational opportunities or facilities for young people or members of the armed forces of the United States;

    (j) Any individual whose duties require that he or she reside or sleep at the place of his or her employment or who otherwise spends a substantial portion of his or her work time subject to call, and not engaged in the performance of active duties;

    (k) Any resident, inmate, or patient of a state, county, or municipal correctional, detention, treatment or rehabilitative institution;

    (l) Any individual who holds a public elective or appointive office of the state, any county, city, town, municipal corporation or quasi municipal corporation, political subdivision, or any instrumentality thereof((, or any employee of the state legislature));

    (m) All vessel operating crews of the Washington state ferries operated by the department of transportation;

    (n) Any individual employed as a seaman on a vessel other than an American vessel;

    (6) "Occupation" means any occupation, service, trade, business, industry, or branch or group of industries or employment or class of employment in which employees are gainfully employed;

    (7) "Retail or service establishment" means an establishment seventy-five percent of whose annual dollar volume of sales of goods or services, or both, is not for resale and is recognized as retail sales or services in the particular industry.

 


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