(SACRAMENTO) – A measure by Assemblymember Kevin McCarty (D – Sacramento), which would prohibit the outsourcing of University of California (UC) and California State University (CSU) jobs to foreign countries was signed into law today by Governor Jerry Brown (D - California). Assembly Bill (AB) 848 prohibits the UC and CSU systems from displacing their employees with foreign workers and requires that contractors certify that employees in the United States will perform the work.
In July of 2016, the University of California, San Francisco (UCSF) offshored 17% of its IT services to a company located in India. UCSF's contract with this foreign business was for 5-years, costing taxpayers $50 million dollars. UCSF employees were then issued lay off notices and told to train their overseas replacements. AB 848 would eliminate the UC and CSU's ability to outsource jobs overseas and ensure that California's public higher education institutions comply with exclusive domestic hiring practices.
"Taxpayer funds should not be used to hire overseas contractors at the expense of American jobs," said Assemblymember McCarty. "The University of California and California State University systems are the greatest higher education institutions in the world, in part because it invests in its students, faculty and staff. Governor Brown's approval of AB 848 will ensure that the UC and CSU can maintain their global edge while protecting American jobs. That's good for taxpayers, students, faculty and American workers."
AB 848 will take effect on January 1, 2018.
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Kevin McCarty represents California's 7th Assembly District, which include the cities of Sacramento, West Sacramento and unincorporated Sacramento County. McCarty serves as Chair of the Assembly Budget Subcommittee on Education Finance.
CONTACT: Terry Schanz (916) 319-2007