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Redress for Abuse on Job Vetoed by Wilson : Legislation: Bill would have awarded victims of sex, other harassment up to $200,000 in damages from their employers.

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TIMES STAFF WRITER

In a potentially controversial action, Gov. Pete Wilson vetoed legislation late Monday night that would have awarded victims of sexual harassment and other forms of abuse at the workplace up to $200,000 in damages from their employers.

In terms reminiscent of his veto Sept. 29 of legislation to prohibit job discrimination against homosexuals, the Republican chief executive said such big cash awards and the legal costs to the employer would give employees “significant leverage in negotiating a settlement with any employer.”

“Indeed, a chief proponent of the bill, the Fair Employment and Housing Commission chairman (Ozias Goren), has conceded that he wants such leverage,” the governor said in a veto message accompanying the bill by Sen. Marian Bergeson (R-Newport Beach).

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Wilson, who acted shortly before the midnight deadline to dispose of legislation sent to him in the final weeks of the last legislative session, said he feared that the prospect of workers being paid a maximum $200,000 in punitive and compensatory damages would stimulate the filing of accusations with the Fair Employment and Housing Department “regardless of merit.”

As a result, Wilson said of the employer-opposed measure, “innocent employers may (choose) not to defend against a charge they honestly dispute simply to avoid the hassle, notoriety and the expense of defending. That’s not fair to the employer or his other employees.”

The fair employment commission is not empowered to award compensatory or punitive damages but it may order back pay, reinstatement and compensation for out-of-pocket expenses in job discrimination cases.

The Bergeson bill, a “sleeper” approved by the Legislature long before sexual harassment charges were made against U.S. Supreme Court nominee Clarence Thomas, would have provided for the cash award if the commission found a private employer guilty of “oppression, fraud or malice,” including sexual harassment.

Wilson said he was not persuaded that the bill was the answer to employment discrimination, especially when the state’s competitiveness in “attracting and retaining employees and jobs is such a serious concern.”

As he moved to clear his desk of about 350 bills Monday, Wilson also vetoed a bill authorizing probation as a penalty for businesses found guilty of environmental and other crimes.

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In addition, Wilson signed consumer protection legislation to prohibit new car dealers from advertising vehicles at or below “invoice” prices. He vetoed a bill that would have allowed child molestation victims to hold their assailants’ homeowners insurance companies liable for the crime.

In something of a surprise, Wilson also rejected the Legislature’s hastily fashioned $48-million bill to locate parks and other recreational facilities in the home districts of many lawmakers. Wilson said Administration officials were unable to review each project before the bill passed Sept. 14, the final day of the regular legislative session.

In rejecting the business penalty bill, Wilson said that if existing penalties for corporate entities are inadequate, the Legislature should enact stiffer punishments.

Here are some highlights of the governor’s actions Monday, which culminated four weeks of work on legislation approved during the final days of the 1991 regular session of the Legislature:

Invoice--Signed a bill by Assemblyman Byron D. Sher (D-Palo Alto) that will prohibit the practice by dealers of new automobile who advertise their vehicles at or below “invoice” prices. Sher maintained that the term invoice misleads some customers into believing that the advertised invoice price is the price the dealer paid for the car, when it may bear no connection to the dealer’s cost.

Molest--Vetoed a measure by Sen. Lucy Killea (I-San Diego) that would have had the effect of holding a convicted child molester’s homeowner insurance company liable for civil recovery of damages by the victim. Wilson deplored child molestation as “willful, deliberate and horrible,” but said the bill would overturn the longstanding doctrine that people cannot insure themselves “against the consequences of their own wrongful acts.”

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Credit--Signed a bill by Assemblywoman Jackie Speier (D-South San Francisco) requiring credit reporting agencies to provide a free copy of the report to the consumer when the agencies issue a credit history to prospective employers. This will give job-seekers an opportunity to correct inaccurate information.

Employees--Vetoed a measure by Sen. Milton Marks (D-San Francisco) that would have prohibited the use of consumer credit reports for purposes of evaluating a worker for employment, promotion, retention or reassignment.

License--Signed a bill by Sen. Frank Hill (R-Whittier) authorizing the issuance of special license plates displaying the name, logotype, motto or other design of colleges participating in a proposed fund-raising mechanism. Any net revenues from the $50 fee for such plates would be evenly split between a college’s alumni scholarship program and a newly created state natural resources preservation fund.

Taxes--Vetoed a measure by Assemblyman Sam Farr (D-Carmel) that would have made it easier for county supervisors to increase property taxes in certain unincorporated areas by weakening the ability of residents to vote on the issue. Critics of the bill called it an end-run around Proposition 13. Wilson said he “strongly objects” to watering down voter participation in property tax issues.

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