Honolulu, Hawaii

                , 2015


RE:   H.B. No. 1497

      H.D. 1





Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii




     Your Committee on Labor & Public Employment, to which was referred H.B. No. 1497 entitled:




begs leave to report as follows:


     The purpose of this measure is to create greater transparency and accountability by insuring that workers are not misclassified or otherwise denied critical workplace protections provided by law.  Specifically, this measure:


(1)  Authorizes the Department of Labor and Industrial Relations (Department) to require employers to make, keep, and preserve records regarding persons employed by the employer, including the business name, physical location address, North American Industry Classification System (NAICS) business activity code, and number of employees; and


(2)  Requires Professional Employer Organizations (PEOs) to provide their client company information, including the physical addresses, NAICS codes, and the number of employees of each client company to the Department.  


     The Department of Labor and Industrial Relations testified in support of this measure.


     Your Committee has amended this measure by:


     (1)  Adopting the proposed amendments submitted by the Department, which require every employer to keep a record of the physical addresses of the employer and the NAICS code applicable to the employer;


     (2)  Changing the effective date to July 1, 2115, to encourage further discussion; and


     (3)  Making technical, nonsubstantive amendments for clarity, consistency, and style.


     As affirmed by the record of votes of the members of your Committee on Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1497, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1497, H.D. 1, and be referred to the Committee on Consumer Protection & Commerce.


Respectfully submitted on behalf of the members of the Committee on Labor & Public Employment,