Building  Owners  and  Managers  Association  International

Building Owners and Managers Association International

BOMA California Defeats Anti-Business Right to Hire Legislation

September 13, 2011

​FOR IMMEDIATE RELEASE

(WASHINGTON – September 13, 2011) The Building Owners and Managers Association (BOMA) California has led California’s business community to defeat Assembly Bill 350, one of the most far-reaching pieces of legislation to impact the state’s commercial real estate industry in years. The bill required service providers to hire a previous contractor’s employees each time a new contract is generated. On an unprecedented seventh floor vote in two days, the California Senate finally voted the bill down on a bipartisan vote as one of the last acts of its legislative year on September 10.

“Congratulations to the ‘No on AB 350 Coalition’ and the members of the BOMA local associations in California for their hard-fought efforts in defeating California Assembly Bill 350,” commented BOMA International Chair Boyd R. Zoccola, executive vice president, Hokanson Companies Inc. “This bill tried to dictate hiring decisions for building service employees, by requiring that any time a service contract is changed, businesses would be required to retain the previous contractor’s employees for a 90-day period.  In other words, the building management or contract could change, but the new company must retain all the previous employees at the property. Not only was this bill bad for California, it would have set a national precedent.”

Assembly Bill 350 impacted any property with service contracts, including hospitals, commercial properties, restaurants, grocery stores, universities and hotels. These same constraints applied to the sale of a building. A new owner would be mandated to retain all of the existing service contractors’ employees from the previous building owner and would not be able to bring in new service contractors with different employees.  Similar successful efforts to pass this type of law have been seen in local markets around the country; however, stopping this bold first attempt to apply the law to an entire state will help stymie future efforts.

BOMA California leveraged the BOMA International Industry Defense Fund to mount a campaign against the measure. It formed the “No on AB 350” coalition, a group of business, healthcare, tourism and service providers, including BOMA California, the California Chamber of Commerce, NAIOP of California, the California Hospital Association, the California Grocers Association, the California Attractions and Parks Association, the California Hotel & Lodging Association, Able Services and Paragon Services Janitorial. BOMA members also mobilized a heavy grassroots effort to educate their legislators the on bill’s damaging impacts.

For more information on their effort, visit www.ab350areyoukiddingme.com.

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About BOMA International
The Building Owners and Managers Association (BOMA) International is an international federation of more than 100 local associations and affiliated organizations. Founded in 1907, its 16,500-plus members own or manage more than nine billion square feet of commercial properties. BOMA International’s mission is to enhance the human, intellectual and physical assets of the commercial real estate industry through advocacy, education, research, standards and information. On the Web at www.boma.org.


Contact
Lindsay Tiffany
Manager of Media Relations
BOMA International
(202) 326-6365
ltiffany@boma.org