STAND. COM. REP. NO. 1072-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 2286

S.D. 2

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 S.B. No. 2286, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO INTERNSHIPS,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Permit and appropriate funds for the Department of Labor and Industrial Relations to enter into contracts with eligible employers or registered apprenticeship programs in the private sector to provide on-the-job training to eligible interns;

(2) Require the Department of Labor and Industrial Relations to:

(A) Develop eligibility criteria for eligible interns and employers or sponsors;

(B) Collaborate with the Department of Human Resources Development to process program applications and place interns;

(D) Submit an annual report on the internship program to the Legislature; and

(3) Require the State to be the responsible employer for purposes of workers' compensation coverage when a student or recent graduate performs paid or unpaid work for a private or public employer as part of a school-approved, work‑based learning program.

Your Committee received testimony in support of this measure from the Department of Labor and Industrial Relations; University of Hawaiʻi System; Hawaiʻi Tourism Authority; Hawaiʻi Primary Care Association; Kohala Coast Resort Association; Hawaiʻi Farm Bureau; Hawaii Food Industry Association; Kapolei Chamber of Commerce; Chamber of Commerce Hawaii; Maui Chamber of Commerce; and Hawaiʻi Lodging & Tourism Association. Your Committee received comments on this measure from the Department of Education.

Your Committee finds that many of the industries in the State, such as health care and tourism, are experiencing a shortage of workers and will need future employees with the necessary skills and experience to ensure and promote a healthy local workforce. By promoting economic growth, fostering public-private collaborations, and supporting local job creation, this measure expands opportunities for Hawaii's high school and college-aged students to gain valuable work experience through internships.

Your Committee has amended this measure by:

(1) Requiring an eligible intern to be a Hawaii resident;

(2) Clarifying that interns may be placed at a department, business, or organization within the State;

(3) Clarifying that the State shall be responsible for workers' compensation for students or recent graduates who participate in the On-the-Job Training Work Experience Program established in this measure;

(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.

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 S.B. No. 2286, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2286, S.D. 2, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

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

____________________________

SCOT Z. MATAYOSHI, Chair