05/06/2024 01:30 PM Senate LABOR & COMMERCE

                  HB  88-WAREHOUSE WORK QUOTAS                                                                              
                                                                                                                                
1:33:41 PM                                                                                                                    
CHAIR BJORKMAN announced  the consideration of CS  FOR HOUSE BILL                                                               
NO.  88(L&C) "An  Act relating  to work  quotas for  employees at                                                               
warehouse distribution  centers; and  providing for  an effective                                                               
date."                                                                                                                          
                                                                                                                                
1:34:10 PM                                                                                                                    
RYAN MCKEE,  Staff, Representative George Rauscher,  Alaska State                                                               
Legislature, Juneau,  Alaska, introduced HB  88 on behalf  of the                                                               
sponsor, reading from the following statement:                                                                                  
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                         House Bill 88                                                                                        
                       Sponsor Statement                                                                                        
                                                                                                                                
     House  Bill  88  Warehouse  Worker  Protection  Act  is                                                                    
     designed  to  provide  transparency for  warehouse  and                                                                    
     logistic workers when  they agree to a  pay scale based                                                                    
     on a quota  or production goal. HB 88  is also designed                                                                    
     to    provide   protections    for   workers    against                                                                    
     counterproductive methods  employers miss the  mark on,                                                                    
     to speed up production and save on costs.                                                                                  
                                                                                                                                
     With  over 90  [percent]  of food  coming from  outside                                                                    
     Alaska,  these workers  are the  lifeline  to keep  the                                                                    
     state operational. Warehouse  and logistic workers face                                                                    
     many  challenges in  the workplace,  HB  88 will  allow                                                                    
     workers to focus on delivering  goods and maintaining a                                                                    
     healthy supply chain while also  ensuring they are able                                                                    
     to  work in  a safe  environment where  employers don't                                                                    
     encourage speed over safety.                                                                                               
                                                                                                                                
1:35:07 PM                                                                                                                    
MR. MCKEE noted two changes in the bill:                                                                                        
                                                                                                                                
   • Section 23.10.700, page 1, line 9: changed work conditions                                                                 
     from 100 to 200 employees.                                                                                                 
                                                                                                                                
   • Section 23.10.725, page 3, line 4: after "center" the words                                                                
     "who is subject to a quota" were added.                                                                                    
                                                                                                                                
1:35:48 PM                                                                                                                    
SENATOR GRAY-JACKSON  repeated a question  that was asked  in the                                                               
House  Judiciary  Standing Committee  on  January  31, 2024.  She                                                               
asked how many warehouses in Alaska would be affected by HB 88.                                                                 
                                                                                                                                
1:36:08 PM                                                                                                                    
MR. MCKEE answered zero.                                                                                                        
                                                                                                                                
1:36:20 PM                                                                                                                    
SENATOR DUNBAR  recalled working  at a cannery  in his  youth. He                                                               
said the crew worked 15-hour days,  seven days a week and he said                                                               
there were a  set number of mandated breaks. He  asked whether HB
  provided  for  supplemental   breaks  or  if  the  warehouses                                                               
addressed by the bill were exempt from those mandated breaks.                                                                   
                                                                                                                                
1:37:18 PM                                                                                                                    
MR. MCKEE answered that HB 88  is directed at employers that want                                                               
to increase  production in the  same amount  of work time.  HB 88                                                               
would  establish  parameters to  ensure  employee  safety in  the                                                               
event that employers speed up the pace of production.                                                                           
                                                                                                                                
1:38:27 PM                                                                                                                    
PATRICK FITZGERALD,  Political Coordinator, Teamsters  Local 959,                                                               
Anchorage, Alaska,  said House Bill  88 would add to  the statute                                                               
two protections  for warehouse and logistics  workers and prevent                                                               
predatory  practices in  the future.  First, HB  88 will  provide                                                               
transparency  for  quota-based  pay positions  in  warehouses  by                                                               
allowing  the employee  access to  quota rate  from the  start of                                                               
their employment  and any changes  that are made as  the employee                                                               
progresses.  This will  allow workers  to be  fully aware  of the                                                               
expectations set  by their employers  and how to best  meet those                                                               
goals.                                                                                                                          
                                                                                                                                
MR. FITZGERALD said HB 88  also creates a mechanism for employees                                                               
to request  the work speed data  that their employer is  using to                                                               
track their progress  and speed. Employees having  access to this                                                               
data  will bring  solutions to  a work  environment that  has had                                                               
problems with retention because of quota based operations.                                                                      
                                                                                                                                
MR. FITZGERALD  said HB  88 would  provide protections  that have                                                               
been  proven to  reduce workplace  accidents in  quota-based jobs                                                               
such  as allowing  for time  for restroom  breaks and  reasonable                                                               
workloads to prevent high turnover rate.                                                                                        
                                                                                                                                
MR. FITZGERALD said  the idea of HB 88 is  to protect workers who                                                               
maintain  and operate  warehouses that  store 95  percent of  the                                                               
food  that   comes  into  Alaska,  conducts   logistics  for  all                                                               
construction  materials that  come into  the state  to build  our                                                               
future, and work to ensure those  in rural parts of the state are                                                               
able to  stay connected  to a strong  consistent supply  chain of                                                               
food, medicine  and all  other goods. He  urged the  committee to                                                               
protect the warehouse workers of Alaska and pass HB 88.                                                                         
                                                                                                                                
1:41:06 PM                                                                                                                    
MR. MCKEE expressed appreciation to  the committee for hearing HB
.                                                                                                                             
                                                                                                                                
1:41:16 PM                                                                                                                    
CHAIR BJORKMAN held HB 88 in committee.