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AMENDMENT

(IN THE NATURE OF A SUBSTITUTE)

Proposed by Mr. DOMINICK (for himself, Mr. TAFT, and Mr. BEALL) to S. 1861, 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, viz: Strike all material after the enacting clause and, in lieu thereof, insert the following:

1 That this Act may be cited as the "Fair Labor Standards 2 Amendments of 1973".

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DEFINITIONS AND APPLICABILITY TO GOVERNMENT

EMPLOYEES

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SEC. 2. (a) Section 3 (d) of the Fair Labor Standards 6 Act of 1938 (29 U.S.C. 203 (d)) is amended to read as 7 follows:

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

Amdt. No. 330 (As Modified)

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1 employee, including the United States, any State or political 2 subdivision of a State, and any agency or instrumentality 3 thereof or interstate governmental agency, but shall not in4 clude any labor organization (other than when acting as an 5 employer), or anyone acting in the capacity of officer or 6 agent of such labor organization."

7 (b) Section 3 (e) of such Act is amended by adding at 8 the end thereof the following: "In the case of any individual 9 employed by the United States, 'employee' means any in10 dividual employed (i) as a civilian in the military depart11 ments as defined in section 102 of title 5, United States 12 Code, (ii) in executive agencies as defined in section 105 13 of title 5, United States Code (including employees who are 14 paid from nonappropriated funds), (iii) in the United 15 States Postal Service and the Postal Rate Commission, (iv) 16 in those units of the legislative and judicial branches of the 17 Federal Government having positions in the competitive 18 service, and (v) in the Library of Congress. In the case of 19 any individual employed by a State, or the political sub20 division of any State or an interstate governmental agency 21 the term 'employee' shall include any employee of that State, 22 political subdivision, or agency but the term shall not in23 clude any individual elected to public office in any State or 24 political subdivision of any State by the qualified voters there25 of or any person chosen by such officer to be on such officers'

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1 personal staff, or an appointee on the policymaking level or 2 an immediate adviser with respect to the exercise of the con3 stitutional or legal powers of the office. The exemption set 4 forth in the preceding sentence shall not include employees 5 subject to the civil service laws of a State government or 6 political subdivision or applicable to an interstate govern7 mental agency."

8 (c) Section 3 (h) of such Act is amended to read as 9 follows:

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"(h) 'Industry' means a trade, business, industry, or 11 other activity, or branch or group thereof, in which individ

12 uals are gainfully employed.".

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(d) The last sentence of section 3 (m) is amended to 14 read as follows: "In determining the wage of a tipped 15 employee, the amount paid such employee by his employer 16 shall be deemed to be increased on account of tips by an 17 amount determined by the employer, but not by an amount 18 in excess of 50 per centum of the applicable minimum wage 19 rate, except that the amount of the increase on account of 20 tips determined by the employer may not exceed the value 21 of tips actually received by the employee. The previous 22 sentence shall not apply with respect to any tipped employee 23 unless (1) such employee has been informed by the employer 24 of the provisions of this section, and (2) all tips received 25 by such employee have been retained by the employee, ex

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1 cept that nothing herein shall prohibit the pooling of tips 2 among employees who customarily and regularly receive 3 tips."

4 (e) (1) The first sentence of section 3 (r) of such Act 5 is amended by inserting after the word "whether", the words 6 "public or private or conducted for profit or not for profit, 7 or whether".

8 (2) The second sentence of such subsection is amended 9 to read as follows: "For purposes of this subsection, the ac10 tivities performed by any person in connection with the 11 activities of the Government of the United States or any 12 State or political subdivision shall be deemed to be activities 13 performed for a business purpose.”.

14 (f) The first sentence of section 3 (s) of such Act is 15 amended by inserting after the words "means an enter16 prise", the parenthetical clause "(whether public or private 17 or operated for profit or not for profit and including activities

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18 of the Government of the United States or of any State or 19 political subdivision of any State)".

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(g) Section 4 of such Act is amended by adding at the

21 end thereof the following new subsection:

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"(f) The Secretary is authorized to enter into an agree23 ment with the Librarian of Congress with respect to any indi

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24 vidual employed in the Library of Congress, to provide for 25 the carrying out of his functions under this Act with respect

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1 to such individuals. Notwithstanding any other provision of 2 this Act, or any other law, the Civil Service Commission is 3 responsible for administering the provisions of this Act with 4 respect to any individual employed by the United States 5 (other than an individual employed in the United States 6 Postal Service and Postal Rate Commission). Nothing in 7 this subsection shall be construed to affect the right of an em8 ployee to bring an action for unpaid minimum wages, or 9 unpaid overtime compensation, and liquidated damages under 10 section 16 (b) of this Act.".

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(h) Section 13 (b) of such Act is amended by striking 12 out the period at the end of paragraph (19) and inserting in 13 lieu thereof a semicolon and the word "or" and by adding at 14 the end thereof the following new paragraph:

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"(20) any employee employed by the United States 16 (A) as a civilian in the military departments as defined in 17 section 102 of title 5, United States Code, (B) in executive 18 agencies as defined in section 105 of title 5, United States 19 Code (including employees who are paid from nonappropri20 ated funds), (C) in the United States Postal Service and 21 the Postal Rate Commission, (D) in those units of the legis22 lative and judicial branches of the Federal Government hav23 ing positions in the competitive service, and (E) in the Li24 brary of Congress; and any employee employed by any State or a political subdivision of any State and any agency or

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