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H.B. 206 Enrolled





Chief Sponsor: Wayne A. Harper

Senate Sponsor: Karen Mayne

             7      LONG TITLE
             8      General Description:
             9          This bill enacts the Employment Selection Procedures Act to address procedures used
             10      by employers to select employees.
             11      Highlighted Provisions:
             12          This bill:
             13          .    defines terms;
             14          .    imposes restrictions on the collection of information or testing;
             15          .    addresses use of information collected;
             16          .    imposes requirements related to the retention, disposition, access, and
             17      confidentiality of information; and
             18          .    provides for enforcement, including:
             19              .    providing for a complaint process; and
             20              .    authorizing rulemaking; and
             21          .    makes technical and conforming amendments.
             22      Monies Appropriated in this Bill:
             23          None
             24      Other Special Clauses:
             25          None
             26      Utah Code Sections Affected:
             27      AMENDS:
             28          34A-1-202, as last amended by Laws of Utah 2008, Chapter 113
             29      ENACTS:

             30          34-45-101, Utah Code Annotated 1953
             31          34-45-102, Utah Code Annotated 1953
             32          34-45-201, Utah Code Annotated 1953
             33          34-45-202, Utah Code Annotated 1953
             34          34-45-203, Utah Code Annotated 1953
             35          34-45-301, Utah Code Annotated 1953
             36          34-45-302, Utah Code Annotated 1953
             38      Be it enacted by the Legislature of the state of Utah:
             39          Section 1. Section 34-45-101 is enacted to read:

Part 1. General Provisions

             42          34-45-101. Title.
             43          This chapter is known as the "Employment Selection Procedures Act."
             44          Section 2. Section 34-45-102 is enacted to read:
             45          34-45-102. Definitions.
             46          As used in this chapter:
             47          (1) "Applicant" means an individual that provides information to an employer for the
             48      purpose of obtaining employment.
             49          (2) "Division" means the Labor Commission's Division of Antidiscrimination and
             50      Labor.
             51          (3) "Employer" means a person employing 15 or more employees within the state for
             52      each working day in each of 20 calendar weeks or more in the current or preceding calendar
             53      year.
             54          (4) "Employment selection process" means the process by which an employer selects
             55      an individual to be an employee for the employer.
             56          (5) "Employment test" means a structured, systematic instrument used to assess an
             57      applicant's personality or behavior in a specific circumstance, such as a personality test.

             58          (6) "Initial selection process" means the receipt of information in a record from an
             59      applicant that the employer uses to determine whether the applicant will be considered for a
             60      second review for the position for which the applicant is applying.
             61          (7) "Record" means information that is:
             62          (a) inscribed on a tangible medium; or
             63          (b) (i) received or stored in an electronic or other medium; and
             64          (ii) retrievable in perceivable form.
             65          Section 3. Section 34-45-201 is enacted to read:
Part 2. Requirements Related to Information

             67          34-45-201. Information collected.
             68          (1) An employer may not request the information listed in Subsection (2) before:
             69          (a) an applicant is offered a job; or
             70          (b) (i) if applicable to any applicant applying for the position for which the applicant
             71      is applying, the time in the employer's employment selection process when the employer
             72      obtains a:
             73          (A) criminal background check;
             74          (B) credit history of an applicant for employment, subject to the requirements of the
             75      Fair Credit Reporting Act, 15 U.S.C. Sec. 1681 et seq.; or
             76          (C) a driving record of a driver from the Driver License Division in accordance with
             77      Section 53-3-104 or Section 53-3-420 ; and
             78          (ii) the applicant consents to the employer taking the action described in Subsection
             79      (1)(b)(i).
             80          (2) The information subject to the restriction of Subsection (1) is an applicant's:
             81          (a) Social Security number;
             82          (b) date of birth; and
             83          (c) driver license number.
             84          Section 4. Section 34-45-202 is enacted to read:
             85          34-45-202. Use of information collected in initial selection process.

             86          (1) (a) An employer may not:
             87          (i) use information about an applicant obtained through an initial selection process for
             88      a purpose other than to determine whether or not the employer will hire the applicant as an
             89      employee; or
             90          (ii) except as provided in Subsection (2), provide information about an applicant
             91      obtained through an initial selection process to a person other than the employer.
             92          (b) A use prohibited under this Subsection (1) includes:
             93          (i) marketing;
             94          (ii) profiling;
             95          (iii) reselling of the information; or
             96          (iv) a similar use.
             97          (2) Notwithstanding the other provisions of this section:
             98          (a) an employer may provide information to a government official at the request of the
             99      government official;
             100          (b) if the applicant applies for another position with the employer; or
             101          (c) if the applicant becomes an employee and the information is used for one or more
             102      of the following, that is also applied to other employees in a similar position:
             103          (i) a performance review; or
             104          (ii) a promotion application.
             105          Section 5. Section 34-45-203 is enacted to read:
             106          34-45-203. Retention of information collected during an initial selection process.
             107          (1) Subject to Subsection (2), with regard to information collected about an applicant
             108      obtained through an initial selection process, an employer shall:
             109          (a) maintain a specific policy regarding the retention, disposition, access, and
             110      confidentiality of the information; and
             111          (b) if an applicant requests to see the policy described in Subsection (1)(a), provide an
             112      opportunity for the applicant to review the policy before being required to provide information
             113      as part of the initial selection process.

             114          (2) Except to the extent required by law, an employer may not retain the information
             115      described in Subsection (1) more than two years after the day on which the applicant provides
             116      the information to the employer, if the employer does not hire the applicant within that
             117      two-year period.
             118          Section 6. Section 34-45-301 is enacted to read:
Part 3. Enforcement

             120          34-45-301. Investigations -- Complaints -- Sanctions -- Rulemaking.
             121          (1) The division may investigate an alleged violation of this chapter.
             122          (2) (a) An individual claiming to be aggrieved by an action of an employer in violation
             123      of this chapter may file with the division a request for agency action.
             124          (b) On receipt of a request for agency action under Subsection (2)(a), the division:
             125          (i) shall conduct an adjudicative proceeding pursuant to Title 63G, Chapter 4,
             126      Administrative Procedures Act; and
             127          (ii) may attempt to reach a settlement between the parties through a settlement
             128      conference.
             129          (3) (a) If the division determines that a violation has occurred, the division may order
             130      that the employer:
             131          (i) cease and desist the action;
             132          (ii) pay a fine to the division of up to $500 for a violation, regardless of the number of
             133      applicant's affected by the violation; or
             134          (iii) comply with a combination of Subsections (3)(a)(i) and (ii).
             135          (b) Monies received under this section shall be deposited as a dedicated credit to the
             136      division to pay for the costs of administering this chapter.
             137          (4) The commission may make rules in accordance with Title 63G, Chapter 3, Utah
             138      Administrative Rulemaking Act, regarding:
             139          (a) the process to file a written complaint with the division; and
             140          (b) the terms defined in Section 34-45-102 .
             141          Section 7. Section 34-45-302 is enacted to read:

             142          34-45-302. Inspection of records by division.
             143          (1) A representative of the division may enter a place of employment during business
             144      hours to inspect a record as part of an investigation described in Section 34-45-301 .
             145          (2) An effort of an employer to obstruct the division in the performance of its duties
             146      under this section is a violation of this chapter and subject to sanctions under Section
             147      34-45-301 .
             148          Section 8. Section 34A-1-202 is amended to read:
             149           34A-1-202. Divisions and office -- Creation -- Duties -- Labor Relations Board,
             150      Appeals Board, councils, and panels.
             151          (1) There is created within the commission the following divisions and office:
             152          (a) the Division of Industrial Accidents that shall administer the regulatory
             153      requirements of this title concerning industrial accidents and occupational disease;
             154          (b) the Division of Occupational Safety and Health that shall administer the regulatory
             155      requirements of Chapter 6, Utah Occupational Safety and Health Act;
             156          (c) the Division of Boiler and Elevator Safety that shall administer the regulatory
             157      requirements of Chapter 7, Safety;
             158          (d) the Division of Antidiscrimination and Labor that shall administer the regulatory
             159      requirements of:
             160          (i) Title 34, Labor in General, when specified by statute;
             161          [(i)] (ii) Chapter 5, Utah Antidiscrimination Act;
             162          [(ii)] (iii) this title, when specified by statute; and
             163          [(iii)] (iv) Title 57, Chapter 21, Utah Fair Housing Act;
             164          (e) the Division of Adjudication that shall adjudicate claims or actions brought under
             165      this title; and
             166          (f) the Utah Office of Coal Mine Safety created in Section 40-2-201 .
             167          (2) In addition to the divisions created under this section, within the commission are
             168      the following:
             169          (a) the Labor Relations Board created in Section 34-20-3 ;

             170          (b) the Appeals Board created in Section 34A-1-205 ;
             171          (c) the following program advisory councils:
             172          (i) the workers' compensation advisory council created in Section 34A-2-107 ;
             173          (ii) the antidiscrimination and labor advisory council created in Section 34A-5-105 ;
             174          (iii) the occupational safety and health advisory council created in Section 34A-6-106 ;
             175          (iv) the Mine Safety Technical Advisory Council created in Section 40-2-203 ; and
             176          (v) the Coal Miner Certification Panel created in Section 40-2-204 .
             177          (3) In addition to the responsibilities described in this section, the commissioner may
             178      assign to a division a responsibility granted to the commission by law.

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