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Chapter 6. Division of Labor Standards Enforcement
Subchapter 8. Garment Manufacturers

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§13641. Bonds for Continued Registration.
(a) The amount of the registration bond to be deposited with the Labor Commissioner under the provisions of Labor Code Sections 2675(a)(3), 2679(a) and 2679(b) shall be sufficient to insure payment of wages and benefits to all employees up to a maximum of four calendar weeks. In no event shall the number of employees used for such computations be less than the highest number of employees employed during any one pay period during the preceding 12-month period. The registration bond shall be issued by a surety licensed to do business in the State of California.

(b) An undertaking in the form of a cashier's check or money order made payable to the Labor Commissioner may be provided to the Labor Commissioner in lieu of depositing a surety bond as a condition for continued registration under Labor Code Sections 2675(a)(3), 2679(a) and 2679(b). The Labor Commissioner shall deposit the undertaking in a bank account in which the Labor Commissioner is named as a trustee. Any earned interest, along with the principal, shall be used to satisfy claims against the undertaking. Upon return of the undertaking, any remaining amount, including interest, shall be transmitted to the employer.

NOTE

Authority cited: Section 2672, Labor Code. Reference: Sections 2675 and 2679, Labor Code.

HISTORY

1. Amendment of section and Note filed 9-9-2002; operative 10-9-2002 (Register 2002, No. 37).

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