04/12/1995 01:40 PM Senate JUD

         HB 115 DAMAGES & ATTY FEES FOR UNPAID WAGES                         
                                                                               
 PAM NEAL, President of the Alaska State Chamber of Commerce,                  
 testified in support of CSHB 115 (JUD)am.  Employers in violation             
 of the minimum wage and overtime compensation law is automatically            
 liable for liquidated damages regardless of the circumstances,                
 under current law.  The federal Fair Labor Standards Act allows the           
 Court to waive liquidated damages in whole or in part, if it can be           
 shown the employer acted reasonably and in good faith.  The Alaska            
 Supreme Court's interpretation of Alaska's Wage and Hour Act                  
 prevents the Court and the commissioner of the Department of Labor            
 from applying the same standard of fairness.  Under the provisions            
 proposed in CSHB 115(JUD)am, employees will still be fully                    
 protected under the law, and the courts and the commissioner will             
 be allowed to consider the circumstances of the case when                     
 determining the awarding of liquidated damages.                               
                                                                               
 C.J. ZANE, Holland American Lines, testified in support of CSHB 115           
 (JUD)am.  He has been working on this bill for a number of years              
 with the state and Chamber of Commerce.  Many employers statewide,            
 i.e. Carrs, Tesoro Petroleum, Westmark Hotel, Sheraton, Providence            
 Hospital, have worked on this bill and made it a legislative                  
 priority.  Last year a bill passed the House that was more                    
 favorable to employers.  The bill did not pass the Senate.  After             
 extensive good faith negotiations and compromise with Commissioner            
 Tom Cashen, this new bill was created and is an honest and true               
 compromise, and restores balance to this area of the law.                     
                                                                               
 Number 443                                                                    
                                                                               
 SENATOR TAYLOR noted there are no proposed amendments to the bill             
 in the Senate Judiciary Committee at this time.  He asked Mr. Zane            
 for his assurance that should the legislation be amended after it             
 leaves the committee, he will participate with the chair to have              
 the bill returned to the committee.  MR. ZANE replied the position            
 of his clients, Holland American Lines, Westmark Hotels, and Gray             
 Line of Alaska is that they have forged a very good compromise and            
 they don't want to see amendments more, or less, favorable to                 
 employers.  He agreed to work with the chair, as everyone will be             
 best served with the measure as is.                                           
                                                                               
 SENATOR TAYLOR announced he would hold the bill until a quorum was            
 present to move the bill.