Employee Relations 11/09/2012
Proposition 32 Fails
Proposition 32, the Political Contributions by Payroll Deduction Initiative, failed on Tuesday after receiving only 43.9% of the vote. If passed, Prop 32 would have, among other things, prohibited unions from using payroll-deducted funds for political purposes and applied that same use prohibition to payroll deductions by corporations or government contractors. Other political expenditures, including corporate spending from those resources not limited by the payroll deduction prohibition, would have remained unrestricted. The fiscal impact to the state and local governments for implementation and enforcement was estimate to be about $1 million annually, according to the state Director of Finance and Legislative Analyst’s Office.