Assembly Bill 3234: New Requirements for Employers Conducting Social Compliance Audits

California Governor Signs Assembly Bill 3234 into Law

Introduction

On September 22, 2024, California Governor Gavin Newsom signed Assembly Bill (AB) 3234 into law. This new legislation imposes more transparency requirements for employers that audit their child labor practices. The bill is set to take effect on January 1, 2025.

Overview of AB 3234

Under AB 3234, any employer that voluntarily undergoes a “social compliance audit” to determine if child labor is involved in their operations or practices must post a link on their website to a report detailing the findings of the audit. A “social compliance audit” is defined as a voluntary, nongovernmental inspection or assessment of an employer’s operations and practices to ensure compliance with state and federal labor laws, including health and safety regulations related to child labor.

Key Requirements of the Compliance Report

AB 3234 outlines the following information that must be included in the compliance report:

• The date, time, and shift during which the audit was conducted
• Whether the employer engages in or supports the use of child labor
• A copy of the employer’s written policies and procedures regarding child employees
• Whether the employer exposes children to hazardous or unsafe workplace situations that may affect their physical and mental health and development
• Whether children work within or outside regular school hours, or during night hours, for the employer
• A statement clarifying that the auditing company is not a government agency and is not authorized to verify compliance with state and federal labor laws or other health and safety regulations

Implications for Businesses

With the implementation of AB 3234, legal and compliance teams should assess whether their companies are subject to the disclosure requirements outlined in the bill. It is important for employers to ensure they are in compliance with the new law and take the necessary steps to provide the required transparency regarding their child labor practices.

SDGs, Targets, and Indicators

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 8: Decent Work and Economic Growth
• SDG 4: Quality Education

The issues highlighted in the article are related to child labor practices, which are directly connected to SDG 8, which aims to promote inclusive and sustainable economic growth, employment, and decent work for all. Additionally, the article mentions the impact of child labor on the physical and mental health and development of children, which is connected to SDG 4, which focuses on ensuring inclusive and equitable quality education for all.

2. What specific targets under those SDGs can be identified based on the article’s content?

• Target 8.7: Take immediate and effective measures to eradicate forced labor, end modern slavery and human trafficking, and secure the prohibition and elimination of the worst forms of child labor.
• Target 4.7: By 2030, ensure that all learners acquire the knowledge and skills needed to promote sustainable development, including, among others, through education for sustainable development and sustainable lifestyles.

Based on the article’s content, the specific targets that can be identified are Target 8.7, which focuses on eradicating child labor, and Target 4.7, which emphasizes the importance of education for sustainable development.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Yes, the article mentions several indicators that can be used to measure progress towards the identified targets. These indicators include:

1. Whether the employer engages in or supports the use of child labor
2. Whether the employer exposes children to any workplace situations that are hazardous or unsafe to their physical and mental health and development
3. Whether children work within or outside regular school hours, or during night hours, for the employer

These indicators provide insights into the presence of child labor, the safety and well-being of children in the workplace, and the impact of work on their education.

4. Table: SDGs, Targets, and Indicators

Source: natlawreview.com