What does SB 20 do?

In the previous post, I linked to Garthwaite’s speech in favor of SB 20, a bill he voted in favor of on April 29, 2009. Click here for a link to the actual roll call vote on the bill.

Here I will explain, in brief, what SB 20 will do after Governor Doyle signs it into law.

Under current law, if the Department of Workforce Development (DWD) finds an employer has discriminated against an employee, DWD will order the employer to reinstate the employee, provide back pay for no more than two years before the filing of the complaint, and pay court costs and attorney fees. Workers can receive back pay and reinstatement. Currently, about two-thirds of claims are rejected for lack of probable cause.

In other words 66% of discrimination lawsuits in Wisconsin are filed by bad actors looking for an easy payday. They are rightfully rejected. Real cases of workplace discrimination are properly dealt with and the discriminating employer is correctly punished.

If enacted, SB 20 would dramatically change this law to favor these bad actors and the trial lawyers who represent them, allowing for additional damage claims - including compensatory and punitive damages up to $300,000. The $300,000 cap would be the highest in the nation. Only one other state, Minnesota, allows for punitive damages for these types of claims, but that state caps these damages at $25,000.

The net affect of this change will be two-fold:

1. Higher insurance premiums for all Wisconsin employers.
2. Increased litigation against many Wisconsin businesses.

It is also important to note that SB 20 will allow workplace discrimination claims to be filed by convicted felons. That’s right. If you are a small business owner and receive a job application from a convicted felon, you better consult an attorney before rejecting it or you could be facing a lawsuit with a $300,000 bill for hurting the felon’s feelings.

Common sense dictates that making it easier to file questionable lawsuits against decent, hardworking small businesses harms Wisconsin’s job climate. Guaranteeing a big payday for trial lawyers makes things even worse.

Rep. Phil Garthwaite voted to do those two things, but much worse, he told businesses who don’t like it to, “Get your ass back down south.”

To see who supported and opposed this bill, click here to visit the Government Accountability Board

As you can see, this bill was opposed by dozens of small business groups, employers, and job creators and supported only by the trial lawyers, a few public employee unions, and the Counties Association who is not affected because this bill exempts government for these lawsuits. Yep, you read that right. According to Rep. Garthwaite’s logic, it is wrong for small business to turn down hiring a convicted felon, but A-ok for government to discriminate against that same felon.

Don’t take my word for it. Read what some legislators had to say about SB 20:

For:

Speaker Sheridan, Rep. Sinicki


Against:

Rep. Nass

Rep. Fitzgerald

Sen. Kedzie

Phil Garthwaite – Standing Up for Your Local Trial Lawyer

"Get your ass back down South. I do not want you here."

- Phil Garthwaite speaking to small businesses who disagree with his support for SB 20, a bill to make it easier for trial lawyers to sue Wisconsin's employers.

Note: Phil Garthwaite gave this embarrassing speech on the floor of the State Assembly on April 29, 2009.