PRINTER'S NO. 2810
No. 2099 Session of 2001
INTRODUCED BY SCHRODER, ADOLPH, ARMSTRONG, BARD, BASTIAN, BENNINGHOFF, BIRMELIN, CLARK, CLYMER, L. I. COHEN, COLEMAN, DAILEY, DALEY, EGOLF, FAIRCHILD, FLICK, FORCIER, GABIG, HARPER, HERSHEY, LEH, MAITLAND, MARSICO, METCALFE, R. MILLER, NAILOR, ROHRER, ROSS, RUBLEY, SATHER, SAYLOR, SCHULER, SCRIMENTI, STEIL, T. STEVENSON, E. Z. TAYLOR, VANCE, WILT AND ZUG, OCTOBER 31, 2001
REFERRED TO COMMITTEE ON LABOR RELATIONS, OCTOBER 31, 2001
AN ACT 1 Providing for voluntary payroll deduction for political 2 contributions, for regulation of labor organization political 3 contributions, for enforcement and for penalties; and 4 imposing powers and duties on the Department of State. 5 The General Assembly of the Commonwealth of Pennsylvania 6 hereby enacts as follows: 7 Section 1. Short title. 8 This act shall be known and may be cited as the Voluntary 9 Payroll Deduction for Political Contributions Act. 10 Section 2. Declaration of policy. 11 The General Assembly finds and declares as follows: 12 (1) Political and ideological contributions that are 13 taken from individuals without their knowledge and complete 14 consent create the public perception that individuals play an 15 insignificant role in the political process. 16 (2) It is a violation of an individual's basic
1 constitutional rights to be required to contribute to 2 political causes with which the individual disagrees. 3 (3) This act is intended to prohibit the use of moneys 4 acquired from employee payroll deductions for the support of 5 political causes espoused by employers, or employees' 6 representative labor organizations, without the written 7 consent of the employee. 8 (4) This act is also intended to prohibit the coercion, 9 direct or indirect, of employees into donating portions of 10 their wages or salaries to political causes with which they 11 disagree. 12 (5) This act is not intended to inhibit the right of any 13 individual to voluntarily donate to political or ideological 14 causes espoused by the individual's employer or labor 15 organization. 16 Section 3. Definitions. 17 The following words and phrases when used in this act shall 18 have the meanings given to them in this section unless the 19 context clearly indicates otherwise: 20 "Department." The Department of State of the Commonwealth. 21 "Employee." A natural person who performs services for a 22 public or private employer for valuable consideration. 23 "Employer." Includes a natural person, partnership, joint- 24 stock company, corporation for profit, corporation not-for- 25 profit, municipal corporation, the Commonwealth and any 26 government agency established by it. 27 "Fund." A separate segregated fund established by a labor or 28 business organization for political purposes according to the 29 procedures and requirements of Federal and State election laws. 30 "Labor organization." An association or organization of 20010H2099B2810 - 2 -
1 employees and an agency, employee representation committee or 2 plan in which employees participate that exists, in whole or in 3 part, to advocate the interests of public or private employees 4 related to grievances, labor disputes, wages, rates of pay, 5 hours of employment or conditions of work. 6 Section 4. Employee authorization for payroll deductions. 7 (a) Written authorization required.-- 8 (1) No employer or other person responsible for the 9 disbursement of moneys shall deduct any moneys from an 10 employee's wages or salary for political purposes except upon 11 the written authorization of the employee. This requirement 12 shall include that portion of labor organization dues 13 deductions that are used for political purposes. In order to 14 be valid, the written authorization must have been received 15 by the employer within the previous 12 months. 16 (2) The written authorization shall be provided on a 17 form specified by the department, the sole purpose of which 18 shall be to serve as documentation of the authorization. The 19 form shall at a minimum contain the name of the individual 20 granting the authorization, the organization to which the 21 moneys are to be forwarded, the total amount of the deduction 22 and the signature of the individual authorizing the political 23 deduction. 24 (3) The form's title shall read, in at least 24-point 25 boldface type, "Authorization for Payroll Deduction for 26 Political Purposes" and shall state, in at least 14-point 27 boldface type, the following immediately above the signature 28 line: 29 Signing this form authorizes a deduction 30 from your paycheck of moneys to be used for 20010H2099B2810 - 3 -
1 political contributions or expenditures. 2 You are not obligated to sign this 3 authorization. Your signature below 4 is completely voluntary and 5 cannot in any way affect your employment. 6 (b) Termination of authorization.--An employee may terminate 7 the authorization granted in subsection (a) by providing a 8 written request to do so to the employer. The employer shall 9 terminate the political dues deduction by the next regular 10 payday after the pay period the request is submitted. 11 (c) Waiver prohibited.--The conditions of this section may 12 not be waived by the employee. Waiver of the authorization 13 requirement shall not be a condition of employment or continued 14 employment. 15 (d) Construction.--Nothing in this section shall prohibit an 16 individual from making voluntary contributions to a fund or 17 other political committee. 18 Section 5. Regulation of labor organization political 19 contributions. 20 (a) Fund for political purposes.--A labor organization may 21 only expend moneys for lobbying, electoral and political 22 activities not bearing upon the ratification or implementation 23 of a collective bargaining agreement if the labor organization 24 establishes a fund to be used for political purposes. 25 (b) Duties of labor organization.--The labor organization 26 shall ensure that: 27 (1) Contributions to the fund are solicited 28 independently from any other solicitations by the labor 29 organization. 30 (2) Dues or other fees for membership in the labor 20010H2099B2810 - 4 -
1 organizations are not used for political purposes, 2 transferred to the separate fund or intermingled in any way 3 with the fund moneys. 4 (3) The cost of administering the fund is paid from fund 5 contributions and not from dues or other fees for membership 6 in the labor organization. 7 Section 6. Additional protections. 8 (a) Source of contributions.--It is unlawful for an employer 9 or labor organization to make a political contribution by using 10 money or anything of value: 11 (1) Secured by physical force, job discrimination, 12 membership discrimination or financial reprisals or threat of 13 force, threat of job discrimination, threat of membership 14 discrimination or threat of financial reprisals. 15 (2) From dues, fees or other moneys required as a 16 condition of membership in a labor organization or as a 17 condition of employment. 18 (3) Obtained in any commercial transaction. 19 (b) Solicitation of contributions.--At the time an employer 20 or labor organization solicits money for a fund from an 21 employee, it is unlawful for an employer or labor organization 22 to fail to: 23 (1) Inform an employee of the fund's political purpose. 24 (2) Inform an employee of the employee's right to refuse 25 to contribute without fear or reprisal. 26 (c) Reimbursement of contributions.--It is unlawful for an 27 employer or labor organization to reimburse an employee or 28 member for a contribution to the fund by providing a bonus, 29 expense account, rebate of dues or other membership fees or any 30 other form of direct or indirect compensation. 20010H2099B2810 - 5 -
1 (d) Increase of core fees.--It is unlawful for a labor 2 organization to raise a member's core fees in lieu of that 3 member not authorizing the deduction specified in section 4(a). 4 Section 7. Employer and labor organization responsibilities. 5 (a) Record of authorizations.--An employer or labor 6 organization subject to this act shall maintain records that 7 include a copy of each authorization obtained under section 4. 8 (b) Record of collections and transmittals to fund.-- 9 Employers and labor organizations shall maintain a record of 10 moneys collected under section 4 and a record of the moneys that 11 were transmitted to a fund. 12 (c) Department access to records.--Records shall be provided 13 to the department within ten business days when requested in 14 writing by the department. 15 (d) Copy of authorization for employee.--An employee shall 16 be provided with a copy of the authorization submitted under 17 section 4 when the form is submitted. 18 Section 8. Department enforcement and regulatory authority. 19 The department shall enforce the provisions of this act and 20 shall promulgate the necessary regulations to enforce this act. 21 These regulations shall include procedures for employees to file 22 allegations of violations of this act and procedures for the 23 expeditious investigation and resolution of those alleged 24 violations. The department shall refer apparent violations of 25 this act to the Office of Attorney General for prosecution. 26 Section 9. Penalties. 27 (a) Employers.--An employer that violates the provisions of 28 this act shall be subject to a maximum fine of up to $5000 for 29 each violation. 30 (b) Labor organizations.--A labor organization that violates 20010H2099B2810 - 6 -
1 the provisions of this act shall be subject to a maximum fine of 2 up to $5000 for each violation. 3 Section 10. Severability. 4 The provisions of this act are severable. If any provision of 5 this act or its application to any person or circumstance is 6 held invalid, the invalidity shall not affect other provisions 7 or applications of this act which can be given effect without 8 the invalid provision or application. 9 Section 11. Repeal. 10 All acts and parts of acts are repealed insofar as they are 11 inconsistent with this act. 12 Section 12. Effective date. 13 This act shall take effect in 60 days. A17L25SFL/20010H2099B2810 - 7 -