STAND. COM. REP. NO. 106-24

Honolulu, Hawaii

, 2024

RE: H.B. No. 1945

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Labor & Government Operations, to which was referred H.B. No. 1945 entitled:

"A BILL FOR AN ACT RELATING TO A LEAVE CASH-OUT PROGRAM,"

begs leave to report as follows:

The purpose of this measure is to establish and appropriate funds for leave cash-out pilot programs for eligible Department of Corrections and Rehabilitation and Department of Health employees.

Your Committee received testimony in support of this measure from the Department of Corrections and Rehabilitation; United Public Workers, AFSCME Local 646, AFL-CIO; and Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO. Your Committee received testimony in opposition to this measure from the Office of Collective Bargaining. Your Committee received comments on this measure from the Department of Human Resources Development; Department of Budget and Finance; and Department of Health.

Your Committee finds that the rate of daily absences in high-stress state positions is growing and becoming more commonplace. In certain cases, where a lack of staffing could lead to dangerous conditions, workers are often required to stay on the job long after their shift has ended, leading to burnout and massive overtime costs for the State. Allowing employees to cash out part of their accrued vacation leave and compensatory time off is a way to incentivize good attendance and improve the overall health of certain state facilities.

Your Committee has amended this measure by:

(1) Including an employee's compensatory time off to be eligible for the leave cash-out pilot program;

(2) Clarifying that the rules for the pilot program shall be established by mutual agreement between the Department of Corrections and Rehabilitation and the exclusive representative of any applicable collective bargaining unit;

(3) Deleting language that would have established and appropriated funds for a leave cash-out pilot program for Department of Health employees who work at the Hawaii State Hospital;

(4) Changing the effective date to July 1, 3000, to encourage further discussion; and

(5) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider granting the Department of Corrections and Rehabilitation interim rulemaking authority for the leave cash-out pilot program until rules can be mutually agreed upon by the respective parties.

As affirmed by the record of votes of the members of your Committee on Labor & Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1945, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1945, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Government Operations,

____________________________

SCOT Z. MATAYOSHI, Chair