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FOREWORD

The Senate Subcommittee on Labor is currently considering important and comprehensive amendments to the Fair Labor Standards Act of 1938, as amended. This Committee Print of relevant documents has been prepared to provide the members of the Committee and the members of the Senate with information which will assist them in their consideration of the Fair Labor Standards amendments of 1973.

I am sure this information will be helpful to those who must consider this important legislation.

HARRISON A. WILLIAMS, JR., Chairman.

(V)

93D CONGRESS

1st SESSION

S. 1861

IN THE SENATE OF THE UNITED STATES

May 22, 1973 Mr. WILLIAMS (for himself and Mr. Javits) introduced the following bill;

which was read twice and referred to the Committee on Labor and Public Welfare

A BILL To amend the Fair Labor Standards Act of 1938, as amended,

to extend its protection to additional employees, to raise the minimum wage to $2.20 an hour, and for other purposes.

Be it enacted by the Senate and House of Representa

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2 tives of the United States of America in Congress assembled, 3 That this Act may be cited as the “Fair Labor Standards

4 Amendments of 1973".

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DEFINITIONS AND APPLICABILITY TO PUERTO RICO AND

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THE VIRGIN ISLANDS

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SEC. 2. (a) Section 3 (d) of the Fair Labor Standards

8 Act of 1938, as amended, is amended to read as follows:

9 " (d) 'Employer includes any person acting directly or 10 indirectly in the interest of an employer in relation to an

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1 employee, including the United States and any State or 2 political subdivision of a State, but shall not include any labor 3 organization (other than when acting as an employer), or 4 anyone acting in the capacity of officer or agent of such labor 5 organization.”

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(b) Section 3 (e) of such Act is amended to read as

7 follows:

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“(e) 'Employee' means any individual employed by 9 an employer, including any individual employed in domestic 10 service (other than a babysitter), and in the case of any in11 dividual employed by the United States means any individual 12 employed (1) as a civilian in the military departments as 13 defined in section 102 of title 5, United States Code, (2) in

executive agencies (other than the General Accounting Of15 fice) as defined in section 105 of title 5, United States Code 16 (including employees who are paid from nonappropriated 17 funds), (3) in the United States Postal Service and the

Postal Rate Commission, (4) in those units of the govern19 ment of the District of Columbia having positions in the com20 petitive service, (5) in those units of the legislative and 21 judicial branches of the Federal Government having positions 22

in the competitive service, and (6) in the Library of Con23 gress, and in the case of any individual employed by any 24 State or a political subdivision of any State means any em25 ployee holding a position comparable to one of the positions

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1 enumerated for individuals employed by the United States, 2 except that such term shall not, for the purposes of section 3 3 (u) include any individual employed by an employer en4 gaged in agriculture if such individual is the parent, spouse, 5 child, or other member of the employer's immediate family.". 6 (c) Section 3 (h) of such Act is amended to read as

7 follows:

.8 “(h) 'Industry' means a trade; business, industry, or

9 other activity, or branch or group thereof, in which individ10 uals are gainfully employed.”. 11 (d) The last sentence of section 3 (m) is amended to 12 read as follows: "In determining the wage of a tipped

13 employee, the amount paid such employee by his employer 14 shall be deemed to be increased on account of tips by an 15 amount determined by the employer, but not by an amount 16 in excess of 50 per centum of the applicable minimum wage 17 rate, except that the amount of the increase on account of tips 18 determined by the employer may not exceed the value of tips 19 actually received by the employee. The previous sentence

20 shall not apply unless (1) the employer has informed each

21 of his tipped employees of the provisions of this section, and 22 (2) all tips received by any such employees have been 23 retained by such tipped employees.” 24

(e) (1) The first sentence of section 3 (r). of such Act 25 is amended by inserting after the word "whether”, the

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