The Domestic Workers Bill of Rights (AB 889) would expand the rights of domestic workers in California by requiring household employers to provide paid vacation leave, overtime pay, and workers' compensation. The bill would cost employers an additional $0.30 per hour for the employment of a minimum wage worker, equivalent to 3.75 percent of minimum wage. This cost estimate includes employer payroll taxes on the vacation leave pay. The bill would also extend to domestic workers the same right to overtime pay already held by other California workers. The purpose of overtime laws is to provide a disincentive to employers scheduling workers for more than 8 hours a day or 40 hours a week. However, a review of the literature on mandatory overtime found that the short-term benefits to employers of overtime work are offset by decreased quality, increased mistakes, and reduced productivity. A longitudinal survey found that working in jobs with overtime schedules is associated with a 61 percent higher injury rate than in jobs without overtime schedules and that the injury rate increases with the number of hours worked per day. Long work hours are also associated with increased stress, depression, high blood pressure, and cardiovascular disease. Overall, the Domestic Workers Bill of Rights would provide much-needed protections for domestic workers, but it would also come with costs for employers.
