STAND. COM. REP. NO. 2273

Honolulu, Hawaii

RE: S.B. No. 2286

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Labor and Technology, to which was referred S.B. No. 2286 entitled:

"A BILL FOR AN ACT RELATING TO INTERNSHIPS,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Permit and appropriate moneys 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 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; and

(3) Specify that workers' compensation coverage for a recent graduate shall lapse on July 31 of the graduating year.

Your Committee received testimony in support of this measure from the Department of Labor and Industrial Relations, University of Hawaiʻi System, Hawaii Food Industry Association, Kohala Coast Resort Association, Hawaiʻi Primary Care Association, HawaiiKidsCAN, Hawaiʻi Lodging Tourism Association, Hawaiʻi Farm Bureau, and Chamber of Commerce Hawaii.

Your Committee received comments on this measure from the Department of Education.

Your Committee finds that internships help students build their self confidence while acclimating to workplace culture and developing invaluable industry based skills. Your Committee further finds that the State is seeing a labor shortage in key markets including health care and the food industry, among others. This measure helps provide students and recent graduates with hands-on training making them more competitive in the workforce, growing job opportunities within the State, and by extension, growing the economy as well.

Your Committee notes the testimony of the Department of Education, requesting that public high school students who are at least sixteen years of age be allowed to participate in the on-the-job training work experience program, as internships are an integral part of the Department's educational program.

Accordingly, your Committee has amended this measure by:

(1) Amending the eligibility criteria for the on-the-job training work experience program to include public high school students who are sixteen years of age or older;

(2) Inserting an effective date of July 1, 2050, to encourage further discussion; and

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

As affirmed by the record of votes of the members of your Committee on Labor and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2286, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2286, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Labor and Technology,

________________________________

HENRY J.C. AQUINO, Chair