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1 Upon receiving a notice of intent to sue, the Commission

2 shall promptly notify all persons named therein as prospec

tive defendants in the action and take any appropriate

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4 action to assure the elimination of any unlawful practice.

(e) Nothing contained in this section shall relieve 6 any Government agency or official of the responsibility to

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assure nondiscrimination on account of age in employment

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as required under any provision of Federal law.”

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SEC. 12. The Secretary of Labor is hereby instructed 11 to commence immediately a comprehensive review of the 12 exemptions under section 13 of the Fair Labor Standards

13 Act of 1938 and submit to the Congress not later than three

14 years after the date of enactment of this Act a report con15 taining: (1) an analysis of the reasons why each exemp16 tion was established; (2) an evaluation of the need for 17 each exemption in light of current economic conditions, 18 including an analysis of the economic impact its removal 19 would have on the affected industry; and (3) recom20 mendations with regard to whether each exemption should 21 be continued, removed, or modified.

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TECHNICAL AMENDMENTS

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Sec. 13. (a) Section 6 (c) (2) (C) of the Fair Labor

24 Standards Act of 1938 is amended by substituting “1973”

25 for “1966”.

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(b) (1) Section 6 (c)(3) of such Act is repealed.
(2) Section 6 (c) (4) of such Act is redesignated as

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3 6c (3).

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(c) (1) Section 7 (a) (1) of such Act is redesignated as

5 7 (a).

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(2) Section 7 (a) (2) of such Act is repealed. 7 (d) Section 14 (c) of such Act is repealed and section 8 14 (d) is redesignated as 14 (c).

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(e) Section 18 (b) is amended by striking out 10 tion 6 (b)”, and inserting in lieu thereof “section 6 (a) (6)”, 11 and by striking out "section 7 (a) (1)” and inserting in lieu 12 thereof "section 7 (a)”.

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14 SEC. 14. Except as otherwise provided in this Act, the 15 amendments made by this Act shall take effect sixty days

16 after enactment. On and after the date of enactment of this

17 Act, the Secretary is authorized to promulgate necessary 18 rules, regulations, or orders with regard to the amendments

19 made by this Act.

S. 1725

SECTION-BY-SECTION ANALYSIS

SECTION 2

Amends sections 3(d) and 3(e) of the Fair Labor Standards Act to include under the definitions of "employer" and "employee” the United States and any state or political subdivision of a state. This would extend minimum wage coverage to an estimated 4.9 million federal, state and local government employees (1.7 million federal, 3.2 million state and local government). Military personnel, professional, executive and administrative personnel, employees in non-competitive positions, and volunteer-type employees, such as Peace Corps and VISTA, would not be included in the extension of coverage. The extension of coverage would be limited to minimum wage; existing overtime coverage under the Act would not be changed.

SECTION 3

Amends section 6(a)(1) of the Fair Labor Standards Act to raise the minimum wage for non-agricultural employees to $2.30 an hour in five steps over a four-year period. The minimum wage would be raised to $1.80 an hour on the effective date of these amendments (60 days after enactment); to $2.00 an hour one year later; to $2.10 two years after the effective date; to $2.20 three years after the effective date; and to $2.30 four years after the effective date. These increases would apply equally to all non-agricultural employees within the coverage of the Act, regardless of when they were first covered.

Amends section 6(a)(5) of the Act to raise the minimum wage for agricultural employees to $1.50 an hour during the first year after the effective date of these amendments, $1.70 an hour during the second year, and $1.90 an hour thereafter.

SECTION 4

Amends section 6(a) of the Fair Labor Standards Act to retain the present minimum wage of $1.60 an hour for employees in the Canal Zone.

SECTION 5

Amends section 6(c) of the Fair Labor Standards Act to raise the minimum wage in Puerto Rico and the Virgin Islands by three 121/2 percent increases over the most recent wage order rate, the first increase to be effective either 60 days after enactment of the bill or one year after the effective date of the most recent wage order, whichever is later. The second increase would be effective one year after the first; the third increase would be effective one year after the second.

SECTION 6

Amends section 12 of the Fair Labor Standards Act to authorize the Secretary of Labor to require employers to obtain proof of age from any employee. This would facilitate enforcement of the child labor provisions of the Act.

SECTION 7

Amends section 13(c)(1) of the Fair Labor Standards Act, which relates to child labor in agriculture, to prohibit employment of children under 12 except on farms owned or operated by parents; and to prohibit employment of children aged 12 and 13 except with written consent of their parents, or on farms where their parents are employed.

Amends section 13(d) of the Act to extend the existing child labor exemption for newsboys delivering daily newspapers, to newsboys delivering advertising materials published by weekly and semi-weekly newspapers.

SECTION 8

Amends section 14(b) of the Fair Labor Standards Act to establish a special minimum wage rate for youth under 18 and full-time students of 85 percent of the applicable minimum wage or $1.60 an hour ($1.30 an hour for agricultural employment), whichever is higher. The special minimum wage for the same employees in Puerto Rico, the Virgin Islands, and American Samoa would be 85 percent of the industry wage order rate applicable to them, but not less than the rate in effect immediately prior to the effective date of the Fair Labor Standards Amendments of 1973.

Non-students under 18 would qualify for the “youth differential” rate only during their first 6 months of employment on a job. Fulltime students would qualify for the differential rate (a) while employed at the educational institution they are attending; or (b) while employed part-time (not in excess of 20 hours per week) at any job.

T'he existing requirement in the Act that employers receive Labor Department certification prior to employment of youth at the special minimum rate would be removed. The Secretary of Labor would be required to issue regulations insuring against displacement of adult workers. Employers violating the terms of the youth differential provision would be subject to existing civil and criminal penalty provisions of the Act.

SECTION 9

Amends section 16 of the Fair Labor Standards Act to provide for a civil penalty of up to $1,000 for each violation of the child labor provisions of section 12 of the Act.

SECTION 10

Amends section 16(c) to allow the Secretary of Labor to bring suit to recover unpaid minimum wages or overtime compensation and an equal amount of liquidated damages without requiring a written request from an employee. In addition, this amendment would allow the Secretary to bring such actions even though the suit might involve issues of law that have not been finally settled by the courts.

SECTION 11

Amends the Age Discrimination in Employment Act of 1967 (P.L. 90–202) to extend its coverage to federal, state and local government employees.

SECTION 12

Requires the Secretary of Labor to undertake a comprehensive review of the minimum wage and overtime exemptions under section 13 of the Fair Labor Standards Act and to submit to Congress within three years a report containing recommendations as to whether each exemption should be continued, removed or modified.

SECTION 13

Technical amendments.

SECTION 14

Provides that the amendments made by this Act would become effective sixty days after enactment, and authorizes Secretary of Labor to promulgate regulations necessary to carry out such amendments.

90-988 O - 73-7

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