Fair Labor Standards Act

New FLSA Regulations (effective August 23, 2004)

TITLE 29-LABOR  
CHAPTER 8  
   
FAIR LABOR STANDARDS ACT OF 1938  

section
201.      Short title.
202.      Congressional Finding and Declaration of Policy.
203.      Definitions.
204.      Administration.

(a)      Creation of Wage and Hour Division in Department of Labor; Administrator.

(b)      Appointment, Selection, Classification, and Promotion of Employees by Administrator.

(c)      Principal Office of Administrator; Jurisdiction.

(d)      Annual Report to Congress: Studies of exemptions to Hour and Wage Provisions and Means to Prevent Curtailment of Employment Opportunities.

(e)      Study of Effects of Foreign Production on Unemployment; Report to President and Congress.

(f)      Employees of Library of Congress; Administration of Provisions by Office of Personnel Management.

205.      Special Industry Committees for American Samoa.

(a)      Establishment; Residents as Members of Committees.

(b)      Appointment of Committee without Regard to other Laws Pertaining to the Appointment and Compensation of Employees of the United States; Composition of Committees.

(c)      Quorum; Compensation; Employees.

(d)      Submission of Data to Committees.

206.      Minimum Wage.

(a)      Employees Engaged in Commerce Home Workers in Puerto Rico and Virgin Islands; Employees in American Samoa; Seamen on American Vessels; Agricultural Employees.

(b)      Additional Applicability to Employees Pursuant to Subsequent Amendatory Provisions.

(c)      Employees in Puerto Rico.

(d)      Prohibition of Sex Discrimination.

(e)      Employees of Employers Providing Contract Services to United States.

(f)      Employees in Domestic Service.

207.      Maximum Hours.  

(a)      Employees Engaged in Interstate Commerce; Additional Applicability to Employees Pursuant to Subsequent Amendatory Provisions.

(b)      Employment Pursuant to Collective Bargaining Agreement; Employment by Independently Owned and Controlled Local Enterprise Engaged in Distribution of Petroleum Products.

(c)      (d) Repealed.

(e)      "Regular Rate" Defined.

(f)      Employment Necessitating Irregular Hours of Work.

(g)      Employment at Piece Rates.

(h)      Extra Compensation Creditable Toward Overtime Compensation.

(i)      Employment by Retail or Service Establishment.

(j)      Employment in Hospital or Establishment Engaged in Care of Sick, Aged, or Mentally Ill.

(k)      Employment by Public Agency Engaged in Fire Protection or Law Enforcement Activities.

(I)      Employment in Domestic Service in One or More Households.

(m)      Employment in Tobacco Industry.

(n)      Employment by Street, Suburban, or Interurban Electric Railway, or Local Trolley or Motorbus Carrier.

(o)      Compensatory Time.

(p)      Special Detail Work for Fire Protection and Law Enforcement Employees; Occasional or Sporadic Employment; Substitution.

(q)      Maximum Hour Exemption for Employees Receiving Remedial Education.

208.      Wage Orders in American Samoa.

(a)      Congressional Policy; Recommendation of Wage Rate by Industry Committee.

(b)      Investigation of Industry Condition by Industry Committee; Matters Considered.

(c)      Classifications Within Industry; Recommendation of Wage Rate.

(d)      Report by Industry Committee; Publication in Federal Register.

(e)      Orders.

(f)      Due Notice of Hearings by Publication in Federal Register.

209.      Attendance of Witnesses.
210.      Court Review of Wage Orders in Puerto Rico and the Virgin Islands.
 
211.      Collection of Data.

(a)      Investigations and Inspections.

(b)      State and Local Agencies and Employees.

(c)      Records.

(d)      Homework Regulations.

212.      Child Labor Provisions.

(a)      Restrictions on Shipment of Goods; Prosecution; Conviction.

(b)      Investigations and Inspections.

(c)      Oppressive Child Labor.

(d)      Proof of Age.

213.      Exemptions.

(a)      Minimum Wage and Maximum Hour Requirements.

(b)      Maximum Hour Requirements.

(c)      Child Labor Requirements.

(d)      Delivery of Newspapers and Wreath Making.

(e)      Maximum Hour Requirements and Minimum Wage Employees.

(f)      Employment in Foreign Countries and Certain United States Territories.

(g)      Certain Employment in Retail or Service Establishments, Agriculture.

(h)      Maximum Hour Requirement: Fourteen Workweek Limitation.

(i)      Cotton Ginning.

(j)      Processing of Sugar Beets, sugar Beet Molasses, or Sugar Cane.

214.      Employment Under Special Certificates.

(a)      Learners, Apprentices, Messengers.

(b)      Students.

(c)      Handicapped Workers.

(d)      Employment by Schools.

215.      Prohibited Acts; Prima Facie Evidence.
 
216.      Penalties.

(a)      Fines and Imprisonment.

(b)      Damages; Right of Action; Attorney's Fees and Costs; Termination of Right of Action.

(c)      Payment of Wages and Compensation; Waiver of Claims; Actions by the Secretary; Limitation of Actions.

(d)      Savings Provisions.

(e)      Civil Penalties for Child Labor Violations.

216a.      Repealed.
216b.      Liability for Overtime Work Performed Prior to July 20, 1949.
217.      Injunction Proceedings.
218.      Relation to Other Laws.
219.      Separability.
 
CHAPTER REFERRED TO IN OTHER SECTIONS.
This chapter is referred to in Sections 251 to 262, 795, 1802 of this Title; Title 2 Section 60k; Title 5 Section 2105; Title 7 Sections 2015, 2026. 2029; Title 15 Sections.
 
SECTION 201. Short Title.
This chapter may be cited as the "Fair Labor Standards Act of 1938". (June 25, 1938, ch. 676, ~ 1, 52 Stat. 1060.)
 
SHORT TITLE OF 1989 AMENDMENT.
Pub. L. 101-157, 5 1(a), Nov. 17, 1989, 103 Stat. 938, provided that: "This Act "enacting section 60k of Title 2 The Congress, amending Sections 203, 205 to 208, 213, 214, and 216 of this Title, and enacting provisions set out as notes under Sections 203 and 206 of this title) may be cited as the 'Fair Labor Standards Amendments of 1989'."
 
SHORT TITLE OF 1985 AMENDMENT.
Pub. L. 99-150, 5 l(a), Nov. 13, 1985, 99 Stat. 787, provided that: "This Act (amending Sections 203, 207, and 211 of this Title and enacting provisions set out as notes under Sections 203, 207, 215, and 216 of this Title) may be cited as the 'Fair Labor Standards Amendments of 1985'."
 
SHORT TITLE OF 1977 AMENDMENT.
Pub. L. 95-151. 5 1(a), Nov. 1, .1977, 91 Stat. 1245, provided that: "This Act (amending Sections 203, 206, 208, 213, 214, and 216 of this Title and enacting provisions set out as notes under Sections 203, 204, and 213 of this Title) may be cited as the 'Fair Labor Standards Amendments of 1977'."
 
SHORT TITLE OF 1974 AMENDMENT.
Pub. L. 93-259, 5 l(a), Apr. 8. 1974, 88 Stat. 55, provided that: "This Act (enacting Section 633a of this Title, amending Sections 202 to 208, 210, 212 to 214, 216, 255, 260, 630, and 634 of this Title, and enacting provisions set out as notes under this Section and Sections 202, 206, 207, 213, and 621 of this Title) may be cited as the 'Fair Labor Standards Amendments of 1974'."
 
SHORT TITLE OF 1966 AMENDMENT.
Pub. L 89-601, Section 1, Sept. 23, 1966, 80 Stat. 830, provided: "That this Act "amending Sections 203, 206, 207 213, 214, 216, 218, and 255 of this Title, and enacting provisions set out as notes under sections 207 and 214 of this title, Section 1082 of former Title 5, Executive Departments and Government Officers and Employees, and Section 2000e-14 of Title 42, The Public Health and Welfare may be cited as the 'Fair Labor Standards Amendments of 1966'."
 
SHORT TITLE OF 1963 AMENDMENT.
Pub. L. 88-38. 5 1, June 10, 1963, 77 Stat. 56, provided: "That this Act "amending Section 206 of this Title and enacting provisions set out as notes under Section 206 of this Title) may be cited as the 'Equal Pay Act of 1963'."
 
SHORT TITLE OF 1961 AMENDMENT.
Pub. L. 87-30, 5 1, May 5, 1961, 75 Stat. 65, provided
:
     "That this Act (amending Sections 203 to 208, 212 to 214, 216, and 217 of this Title and enacting provisions set out as a note under Section 213 of this title) may be cited as the 'Fair Labor Standards Amendments of 1961'."
 
SHORT TITLE OF 1956 AMENDMENT.
Act Aug. 8, 1956, ch. 1035, 5 1, 70 Stat. 1118, provided: "That this Act (amending Sections 206, 213, and 216 of this Title) may be cited as the 'American Samoa Labor Standards Amendments of 1956'."
 
SHORT TITLE OF 1955 AMENDMENT.
Act Aug. 12, 1955, ch. 867. 5 1, 69 Stat. 711, provided:
 
     "That this Act "amending Sections 204-206, 208, and § 202-210 of this title and enacting provisions set out as notes under Sections 204, 206, and 208 of this Title) may be cited as the 'Fair Labor Standards Amendments of 1955'."
 
SHORT TITLE OF 1949 AMENDMENT.
Act Oct. 26, 1949, ch. 736, 5 1, 63 Stat. 910, provided: "That this Act (enacting Section 216b of this Title amending Sections 202 to 208, 211 to 216, and 217 of this Title, and repealing Section 216a of this title) may be cited as the 'Fair Labor Standards Amendments of 1949'."
 
Sec. 202. Congressional finding and declaration of policy.
(a)      The Congress finds that the existence, in industries engaged in commerce or in the production of goods for commerce, of labor conditions detrimental to the maintenance of the minimum standard of living necessary for health, efficiency, and general well-being of workers

(1)      causes commerce and the channels and instrumentalities of commerce to be used to spread and perpetuate such labor conditions among the workers of the several States;

(2)      burdens commerce and the free flow of goods in commerce;

(3)      constitutes an unfair method of competition in commerce;

(4)      leads to labor disputes burdening and obstructing commerce and the free flow of goods in commerce; and

(5)      interferes with the orderly and fair marketing of goods in commerce. That Congress further finds that the employment of persons in domestic service in households affects commerce.

(b)      It is declared to be the policy of this chapter, through the exercise by Congress of its power to regulate commerce among the several States and with foreign nations, to correct and as rapidly as practicable to eliminate the conditions above referred to in such industries without substantially curtailing employment or earning power.
 
(June 25, 1938, ch, 676, Section 2, 52 Stat. 1060; Oct. 26, 1949, ch. 736, Section 2, 63 Stat. 910; Apr. 8, 1974, Pub. L. 93-259, Section 7(a), 88 Stat. 62.)
 
AMENDMENTS.
1974 Subsection (a). Pub. L. 93-259 inserted finding of Congress that employment of persons in domestic service in households affects commerce. 1949 Subsection (b). Act Oct. 26, 1949, inserted reference to regulation of commerce with foreign nations.
 
EFFECTIVE DATE OF 1974 AMENDMENT.
Section 29(a) of Pub. L. 93-259 provided that: "Except as otherwise specifically provided the amendments made by this Act (See Short Title of 1974 Amendment note set out under Section 201 of this Title) shall take effect on May 1, 1974."
 
EFFECTIVE DATE OF 1949 AMENDMENT.
Section 16(a) of act Oct. 26, 1949, provided that: "The amendments made by this Act (enacting Section 216b of this Title, amending this Section and Sections 203 to 208, 211 to 216. and 217 of this Title, and repealing Section 216a of this Title) shall take effect upon the expiration of ninety days from the date of its enactment (Oct. 26, 19471, except that the amendment made by Section 4 (amending section 204 of this title) shall take effect on the date of its enactment (Oct. 26, 1949)."
 
RULES, REGULATIONS, AND ORDERS WITH REGARD TO FAIR LABOR STANDARDS AMENDMENTS OF 1974.
Section Z9(b) of Pub. L 93-2ss provided that: "Notwithstanding subsection (a) (set out as an Effective Date of 1974 Amendment note above), on and after the date of the enactment of this Act (Apr. 8, 1974) the Secretary of Labor is authorized to prescribe necessary rules, regulations, and orders with regard to the amendments made by this Act (See Short Title of 1974 Amendment note set out under Section 201 of this Title).''
 
SECTION 203. Definitions.
As used in this chapter
(a)      "Person" means an individual, partnership, association, corporation, business trust, legal representative, or any organized group of persons.
 
(b)      "Commerce" means trade, commerce, transportation, transmission, or communication among the several States or between any State and any place outside thereof.
 
(c)      "State" means any State of the United States or the District of Columbia or any Territory or possession of the United States.
 
(d)      "Employer" includes any person acting directly or indirectly in the interest of an employer in relation to an employee and includes a public agency, but does not include any labor organization (other than when acting as an employer) or anyone acting in the capacity of officer or agent of such labor organization.
 
(e)      (1)      Except as provided in paragraphs (2), (3), and (4), the term "employee" means any individual employed by an employer.
 

(2)      In the case of an individual employed by a public agency, such term means

(A)      any individual employed by the Government of the United States

(i)      as a civilian in the military departments (as defined in section 102 of title 5),

(ii)      in any executive agency (as defined in section 105 of such title),

(iii)      in any unit of the legislative or judicial branch of the Government which has positions in the competitive service,

(iv)      in a nonappropriated fund instrumentality under the jurisdiction of the Armed Forces, or

(v)      in the Library of Congress;

(B)      any individual employed by the United States Postal Service; and

(C)      any individual employed by a State, political subdivision of a State, or an interstate

governmental agency, other than such an individual

(i)      who is not subject to the civil service laws of the State, political subdivision, or agency which employee him; and

(ii)      who

(I)      holds a public elective office of that State, political subdivision, or agency,

(II)      is selected by the holder of such an office to be a member of his personal staff

(III)      is appointed by such an officeholder to serve on a policy making level,

(IV)      is an immediate adviser to such an officeholder with respect to the constitutional or legal powers of his office, or

(V)      is an employee in the legislative branch or legislative body of that State, political subdivision, or agency and is not employed by the legislative library of such State, political subdivision, or agency.

(3)      For purposes of subsection (u) of this section, such term does not include any individual employed by an employer engaged in agriculture if such individual is the parent, spouse, child, or other member of the employer's immediate family.

(4)      (A)      The term "employee" does not include any individual who volunteers to perform services for a public agency which is a State, a political subdivision of a State, or an interstate governmental agency, if

(i)      the individual receives no compensation or is paid expenses, reasonable benefits, or a nominal fee to perform the services for which the individual volunteered; and

(ii)      such services are not the same type of services which the individual is employed to perform for such public agency.

 

(B)      An employee of a public agency which is a State, political subdivision of a State, or an interstate governmental agency may volunteer to perform services for any other State, political subdivision, or interstate governmental agency, including a State, political subdivision or agency with which the employing State, political subdivision, or agency has a mutual aid agreement.

 
(f)      "Agriculture" includes farming in all its branches and among other things includes the cultivation and tillage of the soil, dairying, the production, cultivation, growing, and harvesting of any agricultural or horticultural commodities (including commodities defined as agricultural commodities in section 1141j(g) of title 12), the raising of livestock, bees, fur-bearing animals, or poultry, and any practices (including any forestry or lumbering operations) performed by a farmer or on a farm as an incident to or in conjunction with such farming operations, including preparation for market, delivery to storage or to market or to carriers for transportation to market.
 
(g)      "Employ" includes to suffer or permit to work.
 
(h)      "Industry" means a trade, business, industry, or other activity, or branch or group thereof, in which individuals are gainfully employed.
 
(i)      "Goods" means goods (including ships and marine equipment), wares, products, commodities, merchandise, or articles or subjects of commerce of any character, or any part or ingredient thereof, but does not include goods after their delivery into the actual physical possession of the ultimate consumer thereof other than a producer, manufacturer, or processor thereof.
 
(j)      "Produced" means produced, manufactured, mined, handled, or in any other manner worked on in any State; and for the purposes of this chapter an employee shall be deemed to have been engaged in the production of goods if such employee was employed in producing, manufacturing, mining, handling, transporting, or in any other manner working on such goods or in any closely related process or occupation directly essential to the production thereof, in any State,
 
(k)      "Sale" or "sell" includes any sale, exchange, contract to sell, consignment for sale shipment for sale, or other disposition.
 
(l)      "Oppressive child labor" means a condition of employment under which (1) any employee under the age of sixteen years is employed by an employer (other than a parent or a person standing in place of a parent employing his own child or a child in his custody under the age of sixteen years in an occupation other than manufacturing or mining or an occupation found by the Secretary of Labor to be particularly hazardous for the employment of children between the ages of sixteen and eighteen years or detrimental to their health or well-being) in any occupation, or (2) any employee between the ages of sixteen and eighteen years is employed by an employer in any occupation which the Secretary of Labor shall find and by order declare to be particularly hazardous for the employment of children between such ages or detrimental to their health or well-being; but oppressive child labor shall not be deemed to exist by virtue of the employment in any occupation of any person with respect to whom the employer shall have on file an unexpired certificate issued and held pursuant to regulations of the Secretary of Labor certifying that such person is above the oppressive child-labor age. The Secretary of Labor shall provide by regulation or by order that the employment of employees between the ages of fourteen and sixteen years in occupations other than manufacturing and mining shall not be deemed to constitute oppressive child labor if and to the extent that the Secretary of Labor determines that such employment is confined to periods which win not interfere with their schooling and to conditions which will not interfere with their health and well-being.
 
(m)      "Wage" paid to any employee includes the reasonable cost, as determined by the Administrator, to the employer of furnishing such employee with board, lodging, or other facilities, if such board, lodging or other facilities are customarily furnished by such employer to his employees: Provided, that the cost of board, lodging, or other facilities shall not be included as a part of the wage paid to any employee to the extent it is excluded therefrom under the terms of a bona fide collective-bargaining agreement applicable to the particular employee: Provided further, That the Secretary is authorized to determine the fair value of such board, lodging, or other facilities for defined classes of employees and in defined areas, based on average cost to the employer or to groups of employers similarly situated, or average value to groups of employees, or other appropriate measures of fair value. Such evaluations. where applicable and pertinent, shall be used in lieu of actual measure of cost in determining the wage paid to any employee. In determining the wage of a tipped employee, the amount paid such employee by his employer shall be deemed to be increased on account of tips by an amount determined by the employer, but not by an amount in excess of (1) 45 percent of the applicable minimum wage rate during the year beginning April 1, 1990, and (2) 50 percent of the applicable minimum wage rate after March 31, 1991, except that the amount of the increase on account of tips determined by the employer may not exceed the value of tips actually received by the employee. The previous sentence shall not apply with respect to any tipped employee unless (1) such employee has been informed by the employer of the provisions of this subsection, and (2) an tips received by such employee have been retained by the employee, except that this subsection shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips.
 
(n)      "Resale" shall not include the sale of goods to be used in residential or farm building construction, repair, or maintenance: Provided, that the sale is recognized as a bona fide retail sale in the industry.
 
(o)      Hours Worked. In determining for the purposes of sections 206 and 207 of this title the hours for which an employee is employed, there shall be excluded any time spent in changing clothes or washing at the beginning or end of each workday which was excluded from measured working time during the week involved by the express terms of or by custom or practice under a bona fide collective-bargaining agreement applicable to the particular employee.
 
(p)      "American vessel" includes any vessel which is documented or numbered under the laws of the United States.
 
(q)      "Secretary" means the Secretary of Labor.
 
(r)      (1)      "Enterprise" means the related activities performed (either through unified operation or common control) by any person or persons for a common business purpose, and includes an such activities whether performed in one or more establishments or by one or more corporate or other organizational units including departments of an establishment operated through leasing arrangements, but shall not include the related activities performed for such enterprise by an independent contractor. Within the meaning of this subsection, a retail or service establishment which is under independent ownership shall not be deemed to be so operated or controlled as to be other than a separate and distinct enterprise by reason of any arrangement, which includes, but is not necessarily limited to, and agreement, (A) that it will sell, or sell only, certain goods specified by a particular manufacturer, distributor, or advertiser, or (B) that it will join with other such establishments in the same industry for the purpose of collective purchasing, or (C) that it will have the exclusive right to sell the goods or use the brand name of a manufacturer, distributor, or advertiser within a specified area, or by reason of the fact that it occupies premises leased to it by a person who also leases premises to other retail or service establishments.
 

(2)      For purposes of paragraph (1), the activities performed by any person or persons

(A)      in connection with the operation of a hospital, an institution primarily engaged in the care of the sick, the aged, the mentally ill or defective who reside on the premises of such institution, a school for mentally or physically handicapped or gifted children, a preschool, elementary or secondary school, or an institution of higher education (regardless of whether or not such hospital, institution, or school is operated for profit or not for profit), or

(B)      in connection with the operation of a street, suburban or interurban electric railway, or local trolley or motorbus carrier, if the rates and services of such railway or carrier are subject to regulation by a State or local agency (regardless of whether or not such railway or carrier is public or private or operated for profit or not for profit), or

(C)      in connection with the activities of a public agency, shall be deemed to be activities performed for a business purpose.

 
(s)      (1)      "Enterprise engaged in commerce or in the production of goods for commerce" means an enterprise that

(A)      (i)      has employees engaged in commerce or in the production of goods for commerce, or that has employees handling, selling, or otherwise working on goods or materials that have been moved in or produced for commerce by any person: and

 

(ii)      is an enterprise whose annual gross volume of sales made or business done is not less than $500 000 (exclusive of excise taxes at the retail level that are separately stated);

(B)      is engaged in the operation of a hospital, an institution primarily engaged in the care of the sick, the aged, or the mentally ill or defective who reside on the premises of such institution a school for mentally or physically handicapped or gifted children, a preschool, elementary or secondary school, or an institution of higher education (regardless of whether or not such hospital, institution, or school is public or private or operated for profit or not for profit); or

(C)      is an activity of a public agency.

(2)      Any establishment that has as its only regular employees the owner thereof or the parent, spouse, child, or other member of the immediate family of such owner shall not be considered to be an enterprise engaged in commerce or in the production of goods for commerce or a part of such an enterprise. The sales of such an establishment shall not be included for the purpose of determining the annual gross volume of sales of any enterprise for the purpose of this subsection.

 
(t)      "Tipped employee" means any employee engaged in an occupation in which he customarily and regularly receives more than $30 a month in tips.
 
(u)      "Man-day" means any day during which an employee performs any agricultural labor for not less than one hour.
 
(v)      "Elementary school" means a day or residential school which provides elementary education, as determined under State law.
 
(w)      "Secondary school" means a day or residential school which provides secondary education, as determined under State law.
 
(x)      "Public agency" means the Government of the United States the government of a State or political subdivision thereof; any agency of the United States (including the United States Postal Service and Postal Rate Commission), a State, or a political subdivision of a State; or any interstate governmental agency.
 
(June 25, 1938, ch. 676, Section 3, 52 Stat. 1060; 1946 Reorg. Plan No. 2, Section l(b), off. July 16, 1946 11 F.R. 7873, 60 Stat. 1095; Oct. 26, 1949, 136, Section 3, 63 Stat. 911; May 5, 1961, Pub. L. 87-30, Section 2, 75 Stat. 65; Sept. 23, 1966, Pub. L 89-601, Title I, Sections 101-103, Title II, Section 215(a), 80 Stat. 830-832, 837; June 23, 1972, Pub. L. 92-318, Title IX, Section 906(b)(2), (3), 86 Stat. 375; Apr. 8, 1974, Pub. L. 93-259, Sections 6(a), 13(e), 88 Stat. 58, 64; Nov. 1, 1977, Pub. L. 95-151, §§ 3(a), (b), 9(a)-(c), 91 Stat. 1249, 1251; Nov. 13, 1985, Pub. L. 99-150, Sections 4(a), 5, 99 Stat. 790; Nov. 17, 1989, Pub. L. 101-157, Sections 3(a), (d), 5, 103 Stat. 938, 939, 941.)
 
AMENDMENTS.
1989 Subsection (m). Pub. 101-157, substituted. In excess of (1) 4s percent of the applicable minimum wage rate during the year beginning April 1, 1990, and (2) so percent of the applicable minimum wage rate after March 31, 1991, for in excess of 40 per centum of the applicable minimum wage rate".
 
Subsection (r). Pub. 101-157, Section 8(d), designated first sentence as paragraph (1), made a separate sentence out of the existing proviso and re-designated clause (1), (2), and (3) as (A), (B), and (C), respectively designated second sentence as paragraph (2), in paragraph (2) as so designated, re-designated existing paragraphs (1), (2), and (3) as subparagraphs (A), (B), and (C), respectively. and, in subparagraphs (A) as so re-designated. substituted 'school is operated" for "school is public or private or operated".
 
Subsection (s). Pub. L. 101-157, 3(a), amended Subsection (s) generally, completely revising definition of "enterprise engaged in commerce or in the production of goods for commerce".1985 Subsection (e)(1). Pub. L 99-150, ~ 4(a)(1), substituted "paragraphs (2), (3), and (4)" for "paragraphs (2) and (3)".
 
Subsection (e)(2)(C)(ii). Pub. L 99-150, Section 5, struck out "or" at end of subclause (III), struck out "who" in subclause (IV) before "is an", substituted ", or" for period at end of subclause (IV), and added subclause (V).
 
Subsection (e)(4). Pub. L 99-150, 5 4(a)(2), added paragraph (4). 1977 Subsection (m). Pub. L. 95-151, 5 3(b), substituted "45 per centum" for "50 per centum", effective Jan. 1, 1979, and "40 per centum" for "45 per centum", effective Jan. 1, 1980.
 
Subsection (a). Pub. L. 95-151, 5 9(a(c), in paragraph (1) inserted exception for enterprises comprised exclusively of retail or service establishments and described in paragraph (2), added Paragraph (2), re-designated former paragraphs (2) to (5) as (3) to (6), respectively, and in text following paragraph (6), as so re-designated. inserted provisions relating to coverage of retail or service establishments subject to Section 20ff(a)(1) of this
Title on June 30, 1978, and provisions relating to violations of such coverage requirements.
 
Subsection (t). Pub. L. 95-151, 3(a), substituted "$30" for "$20". 1974 Subsection (d). Pub. L 93-25g, 5 6(a)(1), redefined "employer" to include a public agency and struck out text which excluded from such term the United States or any State or political subdivision of a State (except with respect to employees of a State, or a political subdivision thereof, employed (1) in a hospital, institution, or school referred to in last sentence of Subsection (r) of this section, or (2) in the operation of a railway or carrier referred to in such sentence).
 
Subsection (e). Pub. L. 93-259, 5 6(a)(2), in revising definition of "employee", incorporated existing introductory text in-provisions designated as paragraph (1), inserting exception provision; added paragraph (2); incorporated existing clause (1) in provisions designated as paragraph (3); and struck out former clause (2) excepting from "employee", "any individual who is employed by an employer engaged in agriculture if such individual (A) is employed as a hand harvest laborer and is paid on a piece rate basis in an operation which has been, and is customarily and generally recognized as having been, paid on a piece rate basis in the region of employment, (B) commutes daily from his permanent residence to the farm on which he is so employed, and (C) has been engaged in agriculture less than thirteen weeks during the preceding calendar year".
 
Subsection (h). Pub. L. 93-259, 5 6(a)(3), substituted "other activity, or branch or group thereof" for "branch thereof or group of industries".
 
Subsection (m). Pub. L. 93-259, 513(e), substituted in provision respecting wage of tipped employee "the amount of the increase on account of tips determined by the employer may not exceed the value of tips actually received by the employee" for "in the case of an employee who (either himself or acting through his representative) shows to the satisfaction of the Secretary that the actual amount of tips received by him was less than the amount determined by the employer as the amount by which the wage paid him was deemed to be increased under this sentence, the amount paid such employee by his employer shall be deemed to have been increased by such lesser amount" and inserted "The previous sentence shall not apply with respect to any tipped employee unless (1) such employee has been informed by the employer of the provisions of this subsection, and (2) all tips receded by such employee have been retained by the employee, except that this subsection shall not be construed to prohibit the pooling of tips among employees who customarily and regularly receive tips."
 
Subsection (r)(3). Pub. L. 93-259, 5 6(a)(4), added paragraph (3).
 
Subsection (s). Pub. L. 93-259, Section 6(a)(5), in first sentence substituted preceding paragraph (1) "or employees handling selling, or otherwise working on goods or materials" for "including employees handling, selling, or otherwise working on goods" and added paragraph (5), and inserted third sentence deeming employees of an enterprise which is a public agency to be employees engaged in commerce, or in production of goods for commerce, or employees handling, selling, or otherwise working on goods or materials that have been moved in or produced for commerce.
 
Subsection (x). Pub. L. 93-259, Section 6(a)(6), added Subsection (x). 1972 Subsecs. (r)(l), (s)(4). Pub. L. 92-318, Section 906(b)(2), (3), inserted reference to a preschool. 1966 Subsection (d). Pub. L. 89-601, Section 102(b), expanded definition of employer to include a State or a political subdivision thereof with respect to employees in a hospital, institution, or school referred to in last sentence of Subsection (r) of this section. or in the operation of a railway or carrier referred to in such sentence.
 
Subsection (e). Pub. L. 89-601. Section 103(a), excluded from definition of "employee," when that term is used in definition of "man-day," any agricultural employee who is the parent, spouse, child. or other member of his employer's immediate family and any agricultural hand harvest laborer, paid on a piece rate basis, who commutes daily from his permanent residence to the farm on which he is so employed and who has been employed in agriculture less than is weeks during the preceding calendar year.
 
Subsection (m). Pub. L 89-601, Section l0l(a) inserted provisions for determining the wage of a tipped employee.
 
Subsection (n). Pub. L. 89-601. 215(a). struck out provision which directed that definition of "trestle" was not applicable when "resale" was used in subsection (s)(1) of this Section.
 
Subsection (r). Pub. L. 89-601, 5 102(a), extended activities performed for a business purpose to include activities in the operation of hospitals, institutions for the sick, aged, or mentally ill or defective, schools for the handicapped, elementary and secondary schools, institutions of higher learning, or street, suburban, or interurban electric railway or local trolley or motorbus carriers if subject to regulation by a State or local agency regardless of whether public or private or whether operated for profit or not for profit.
 
Subsection (s). Pub. L 89-601, 102(c), removed gross annual business level tests of $1,000,000 for retail and service enterprises, street, suburban, or interurban electric railways or local trolley or motorbus carriers and brought within the coverage of the gross annual business test all enterprises having employees engaged in commerce in the production of goods for commerce, including employees handling, seeing, or otherwise working on goods that have been moved in or produced for commerce, lowered the minimum gross annual volume test for covered enterprises from $1,000,000 to $500,000 for the period from Feb. 1, 1967 through Jan. 31, 1969, and to $250,000 for the period after Jan. 31, 1969, retained the $250,000 annual gross volume test for coverage of gasoline service establishments, and expanded coverage to include laundering or cleaning services, construction or reconstruction activities, or operation of hospitals. certain institutions for the care of the sick, aged. or mentally in, certain special schools, and institutions of higher learning regardless of annual gross volume.
 
Subsection (t). Pub. L. 89-601, l0l(b). added Subsection (t).
 
Subsection (u). Pub. L. 89-601, Section 103(b). added Subsection (u).
 
Subsecs. (v), (w). Pub. L. 89-601, Section 102(d), added subsecs. (v) and (w).
 
1961 Subsection (m). Pub. L. 87-30. 2(a), provided for exclusion from wages under a collective-bargaining agreement the cost of board, lodging, or other facilities and authorized the Secretary to determine the fair value of board, lodging, or other facilities for defined classes of employees in defined areas to be used in lieu of actual cost.
 
Subsection (n). Pub. L. 87-30. 2(b), inserted ", except as used in subsection (s)(l) of this section,".
 
Subsecs. (p) to (s). Pub. L. 87-30, Section 2(c), added subsecs. (p) to (s).
 
1949 Subsection (b). Act Oct. 26, 1949, Section 3(a), substituted "between" for "from" after "States or", and "and" for "to" before "any place".
 
Subsection (j). Act Oct. 26, 1949, Section 3(b), inserted "closely related" before "process" and substituted "directly essential" for "necessary" after "occupation".
 
Subsection (1)(1). Act Oct. 26, 1949, Section 3(c), included parental employment of a child under 16 years of age in an occupation found by the Secretary of Labor to be hazardous for children between the ages of 16 and 18 years, in definition of oppressive child labor.
 
Subsecs. (n), (o). Act Oct. 26, 1949, Section 3(d), added Subsecs. (n) and (o).
 
EFFECTIVE DATE OF 1989 AMENDMENT.
Section 3(e) of Pub. L. 101-157 provided that: "The amendments made by this Section (amending this Section and Section 213 of this title) shall become effective on April 1, 1990."
 
Section 5 of Pub. L. 101-157 provided that the amendment made by that section is effective Apr. 1, 1990.
 
EFFECTIVE DATE OF 1985 AMENDMENT; PROMULGATION OF REGULATIONS.
Section 6 of Pub. L 99-150 provided that: "The amendments made by this Act (amending this Section and Sections 207 and 211 of this Title and enacting provisions set out as notes under this Section and Sections 201, 207, 215, and 216 of this Title) shall take effect April 15, 1986. The Secretary of Labor shall before such date promulgate such regulations as may be required to implement such amendments."
 
EFFECTIVE DATE OF 1977 AMENDMENT.
Section 3(a) of Pub. L. 95-151 provided that the amendment made by that section is effective Jan. 1, 1978.
 
Section 3(b)(1) of Pub. L 95-151 provided that the amendment made by that section, reducing the maximum percentage of the minimum wage used in determining tips as wages from 50 to 45 per centum, is effective Jan. 1, 1979.
 
Section 3(b)(2) of Pub. L. 95-151 provided that the amendment made by that section, reducing the maximum percentage of the minimum wage used in determining tips as wages from 45 to 40 per centum, is effective Jan. 1. 1980.
 
Section 15(a), (b) of Pub. L. 95-151 provided that:
 

"(a) Except as provided in Sections 3, 14, and subsection (b) of this Section. the amendments made by this Act "amending Sections 206, 208, 213, and 216 of this title and enacting provisions set out as a note under Section 204 of this Title) shall take effect January 1, 1978.

"(b) The amendments made by Sections 8, 9, 11, 12, and 13 "amending this Section and Sections 213 and 214 of this title) shall take effect on the date of the enactment of this Act (Nov. 1. 1977)."

 
EFFECTIVE DATE OF 1974 AMENDMENT.
Amendment by Pub. L. 93-259 effective May 1, 1974, see Section 29(a) of Pub. L. 93-259, set out as a note under Section 202 of this Title.
 
EFFECTIVE DATE OF 1966 AMENDMENT.
Section 602 of Pub. L. 89-601 provided in part that: "Except as otherwise provided in this Act. the amendments made by this Act (amending this Section and Sections 206, 207, 213, 214, 216. 218. and 255 of this Title) shall take effect on February 1, 1967."
 
EFFECTIVE DATE OF 1961 AMENDMENT.
Section 14 of Pub. L. 87-30 provided that: "The amendments made by this Act "amending this Section and Sections 204 to 208. 212 to 214, 216, and 217 of this title) shall take effect upon the expiration of one hundred and twenty days after the date of its enactment (May 5, 1961), except as otherwise provided in such amendments and except that the authority to promulgate necessary rules, regulations, or orders with regard to amendments made by this Act, under the Fair Labor Standards Act of 1938 and amendments thereto (this chapter), including amendments made by this Act, may be exercised by the Secretary on and after the date of enactment of this Act May 5, 1961)."
 
EFFECTIVE DATE OF 1949 AMENDMENT.
Amendment by act Oct. 26, 1949, effective ninety days after Oct. 26. 1949, see Section 16(a) of Act Oct. 26, 1949, set out as a note under Section 202 of this Title.
 
TRANSFER OF FUNCTIONS.
In Subsection (I), "Secretary of Labor" substituted for "Chief of the Children's Bureau in the Department of Labor" and for "Chief of the Children's Bureau" pursuant to Reorg. Plan No. 2 of 1946, Section l(b), eff. July 16. 1946, 11 F.R. 7873, 60 Stat. 1095, set out in the Appendix to Title 5, Government Organization and Employees, which transferred functions of Children's Bureau and its Chief under Sections 201 to 216 and 217 to 219 of this Title to Secretary of Labor to be performed under his direction and control by such officers and employees of Department of Labor as he designates.
 
PRESERVATION OF COVERAGE.
Section 3(b) of Pub. L. 101-157 provided that:

(1)      In General. Any enterprise that on March 31, 1990, was subject to Section 6(a)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 206(a)(1)) and that because of the amendment made by Subsection (a) "amending this Section) is not subject to such section shall

"(A)      pay its employees not less than the minimum wage in effect under such section on March 31. 1990;

"(B)      pay its employees in accordance with Section 7 of such Act (29 U.S.C. 207); and

"(C)      remain subject to Section 12 of such Act (29 U.S.C. 212).

(2)      Violations. A violation of paragraph (1) shall be considered a violation of Section 6, 7, or 12 of the Fair Labor Standards Act of 1938 29 U.S.C. 206, 207. 212), as the case may be."

VOLUNTEERS; PROMULGATION OF REGULATIONS.
Section 4(b) of Pub. L. 99-150 provided that: "Not later than March 15, 1986, the Secretary of Labor shall issue regulations to carry out paragraph (4) of Section 3(e) (as amended by Subsection (a) of this Section) 29 U.S.C. 203(e)(4)).'
 
PRACTICE OF PUBLIC AGENCY IN TREATING CERTAIN INDIVIDUALS AS VOLUNTEERS PRIOR TO APRIL 15, 1986; LIABILITY.
Section 4(c) of Pub. L. 99-150 provided that: "If, before April 15, 1986, the practice of a public agency was to treat certain individuals as volunteers, such individuals shall until April 15, 1986. be considered, for purposes of the Fair Labor Standards Act of 1938, as volunteers and not as employees. No public agency which is a State, a political subdivision of a State, or an interstate governmental agency shall be liable for a violation of section 6 (29 U.S.C. 206) occurring before April 15, 1986, with respect to services deemed by that agency to have been performed for it by an individual on a voluntary basis."
 
STATUS OF BAGGERS AT COMMISSARY OF MILITARY DEPARTMENT.
Pub. L. 95-485, title VIII, ~ 819, Oct. 20, 1978, 92 Stat. 1626. provided that: "Notwithstanding any other provision of law, an individual who performs bagger or carryout service for patrons of a commissary of a military department may not be considered to be an employee for purposes of the Fair Labor Standards Act of 1938 by virtue of such service if the sole compensation of such individual for such service is derived from tips."
 
ADMINISTRATIVE ACTION BY SECRETARY OF LABOR WITH REGARD TO IMPLEMENTATION OF FAIR LABOR STANDARDS AMENDMENTS OF 1977.
Section 15(c) of Pub. Is 95-151 provided that: "On and after the date of the enactment of this Act (Nov. 1. 1977), the Secretary of Labor shall take such administrative action as may be necessary for the implementation of the amendments made by this Act (See Short Title of 1977 Amendment note set out under Section 201 of this Title)."
 
RULES, REGULATIONS. AND ORDERS PROMULGATED WITH REGARD TO 1966 AMENDMENTS.
Section 602 of Pub. L. 89-601 provided in part that: "On and after the date of the enactment of this Act (Sept. 23, 1966) the Secretary is authorized to promulgate necessary rules, regulations, or orders with regard to the amendments made by this Act (See Short Title of 1966 Amendment note set out under Section 201 of this Title),"
 
CROSS REFERENCES.
Portal-to-Portal Act of 1947, Sections 251 to 262 of this Title, as affected by Subsection (o), see Section 216 note of this Title.
 
SECTION REFERRED TO IN OTHER SECTIONS.
This Section is referred to in Sections 1802, 2001, 2611 of this Title; Title 8 Sections 1101, 1186; Title 26 Section 45B; Title 49 Sections 3101, 31501.
 
Section 204. Administration.
(a)      Creation of Wage and Hour Division in Department of Labor; Administrator.

There is created in the Department of Labor a Wage and Hour Division which shall be under the direction of an Administrator, to be known as the Administrator of the Wage and Hour Division (in this chapter referred to as the "Administrator"). The Administrator shall be appointed by the President, by and with the advice and consent of the Senate.

 
(b)      Appointment, Selection, Classification, and Promotion of Employees by Administrator.

The Administrator may, subject to the civil service laws, appoint such employees as he deems necessary to carry out his functions and duties under this chapter and shall fix their compensation in accordance with Chapter 51 and Subchapter III of Chapter 53 of Title 5. The Administrator may establish and utilize such regional, local, or other agencies, and utilize such voluntary and uncompensated services, as may from time to time be needed. Attorneys appointed under this section may appear for and represent the Administrator in any litigation, but all such litigation shall be subject to the direction and control of the Attorney General. In the appointment, selection, classification, and promotion of officers and employees of the Administrator, no political test or qualification shall be permitted or given consideration, but all such appointments and promotions shall be given and made on the basis of merit and efficiency.

 
(c)      Principal Office of Administrator; Jurisdiction.

The principal office of the Administrator shall be in the District of Columbia, but he or his duly authorized representative may exercise any or all of his powers in any place.

 
(d)      Annual Report to Congress; Studies of exemptions to hour and wage provisions and means to prevent curtailment of employment opportunities.

(1)      The Secretary shall submit annually in January a report to the Congress covering his activities for the preceding year and including such information, data, and recommendations for further legislation in connection with the matters covered by this chapter as he may find advisable. Such report shall contain an evaluation and appraisal by the Secretary of the minimum wages and overtime coverage established by this chapter, together with his recommendations to the Congress. In making such evaluation and appraisal, the Secretary shall take into consideration any changes which may have occurred in the cost-of-living and in productivity and the level of wages in manufacturing, the ability of employers to absorb wage increases, and such other factors as he may deem pertinent. Such report shall also include a summary of the special certificates issued under Section 214(b) of this Title.

(2)      The Secretary shall conduct studies on the justification or lack thereof for each of the special exemptions set forth in section 213 of this title, and the extent to which such exemptions apply to employees of establishments described in subsection (g) of such section and the economic effects of the application of such exemptions to such employees. The Secretary shall submit a report of his findings and recommendations to the Congress with respect to the studies conducted under this paragraph not later than January 1, 1976.

(3)      The Secretary shall conduct a continuing study on means to prevent curtailment of employment opportunities for manpower groups which have had historically high incidences of unemployment (such as disadvantaged minorities, youth, elderly, and such other groups as the Secretary may designate). The first report of the results of such study shall be transmitted to the Congress not later than one year after the effective date of the Fair Labor Standards Amendments of 1974. Subsequent reports on such study shall be transmitted to the Congress at two-year intervals after such effective date. Each such report shall include suggestions respecting the Secretary's authority under Section 214 of this Title.

 
(e)      Study of effects of foreign production on unemployment; report to President and Congress.

Whenever the Secretary has reason to believe that in any industry under this chapter the competition of foreign producers in United States markets or in markets abroad, or both, has resulted, or is likely to result, in increased unemployment in the United States, he shall undertake an investigation to gain full information with respect to the matter. If he determines such increased unemployment has in fact resulted, or is in fact likely to result, from such competition, he shall make a full and complete report of his findings and determinations to the President and to the Congress: Provided, that he may also include in such report information on the increased employment resulting from additional exports in any industry under this chapter as he may determine to be pertinent to such report.

 
(f)      Employees of Library of Congress; administration of provisions by Office of Personnel Management.

The Secretary is authorized to enter into an agreement with the Librarian of Congress with respect to individuals employed in the Library of Congress to provide for the carrying out of the Secretary's functions under this chapter with respect to such individuals. Notwithstanding any other provision of this chapter, or any other law, the Director of the Office of Personnel Management is authorized to administer the provisions of this chapter with respect to any individual employed by the United States (other than an individual employed in the Library of Congress, United States Postal Service, Postal Rate Commission, or the Tennessee Valley Authority). Nothing in this subsection shall be construed to affect the right of an employee to bring an action for unpaid minimum wages, or unpaid overtime compensation, and liquidated damages under Section 216(b) of this Title.

 
 (June 25, 1938, ch. 676, Section 4, 52 Stat. 1061; Oct. 26, 1949, ch. 736, g 4, 63 Stat. 911; Oct. 28, 1949, ch. 782, Title I, g 1106(a), 63 Stat. 972; Aug. 12, 1955, oh. 867, ~ 2, 69 Stat. 711; May 5, 1961, Pub. L. 87-30, g 3, 75 Stat. 66; Apr. 8, 1974, Pub. L. 93-259, g6(b), 24(c), 27, 88 Stat. 60, 72, 73; 1978 Reorg. Plan No. 2, Section 102, eff. Jan. 1, 1979, 43 F.R. 36037, 92 Stat. 3783.)
 
REFERENCES IN TEXT.
The civil service laws, referred to in Subsection (b), are set forth in Title 5, Government Organization and Employees. See, particularly, Section 3301 et seq. of Title 5.
 
The effective date of the Fair Labor Standards Amendments of 1974. referred to in Subsection (d)(3). is the effective date of Pub. L. 93-259, which is May 1, 1974, except as otherwise specifically provided. See Section 29(a) of Pub. L. 93-259, set out as an Effective Date of 1974 Amendment note under section 202 of this Title.
 
CODIFICATI ON.
In Subsection (a), provisions that prescribed the compensation of the Administrator were omitted to conform to the provisions of the Executive Schedule. See Section 5316 of Title 5, Government Organization and Employees.
 
In Subsection (b), "chapter 51 and subchapter III of chapter 53 of title 5" substituted for "the Classification Act of 1949, as amended" on authority of Pub. L. 89-554, Section 7(b), Sept. 6, 1966, 80 Stat. 631, the first Section of which enacted Title 5.
 
AMENDMENTS.
1974 Subsection (d)(1). Pub. h 93-259, IS 24(c), 27(1). (2), inserted provision at end of Subsection (d) requiring the report to Congress to include a summary of the special certificates issued under Section 214(b) of this Title, designated Subsection (d) provisions as Subsection (d)(1), and required the report to contain an evaluation and appraisal of overtime coverage established by this chapter, respectively.
 
Subsection (d)(2), (3). Pub. L. 93-259, Section 27(3), added paragraphs (2) and (3).
 
Subsection (I). Pub. L. 93-259, § 6(b), added Subsection (I).
 
1961 Subsection (e). Pub. L. 87-30 added Subsection (e).
 
1955 Subsection (d). Act Aug. 12, 1955, required an evaluation and appraisal by the Secretary of the minimum wages, together with his recommendations to Congress, to be included in the annual report.
 
1949 Subsection (b). Act Oct. 28, 1949, substituted "Classification Act of 1949" for "Classification Act of 1923".
 
Subsection (a). Act Oct. 26, 1949, increased compensation of Administrator to $15,000.
 
EFFECTIVE DATE OF 1974 AMENDMENT
Amendment by Pub. L. 93-259 effective May 1, 1974, see Section 29(a) of Pub. L. 93-259, set out as a note under Section 202 of this Title.
 
EFFECTIVE DATE OF 1961 AMENDMENT.
Amendment by Pub. L. 87-30 effective upon expiration of one hundred and twenty days after May 5, 1961, except as otherwise provided, see Section 14 of Pub. L. 87-30, set out as a note under Section 203 of this Title.
 
EFFECTIVE DATE OF 1949 AMENDMENT.
Amendment by Act Oct. 26, 1949, effective Oct. 26, 1949, see Section 16(a) of Act Oct. 26, 1949, set out as a note under Section 202 of this Title.
 
REPEALS.
Acts Oct. 26, 1949, ch. 736, Section 4, 63 Stat. 911, and Oct. 28, 1949, ch. 782, cited as a credit to this Section, were repealed (subject to a savings clause) by Pub. L. 89-554, Sept. 6, 1966, ~ 8, 80 Stat. 632, 655.
 
TRANSFER OF FUNCTIONS.
Functions relating to enforcement and administration of equal pay provisions vested by subsecs. (d)(1) and (f) of this section in Secretary of Labor and Civil Service Commission transferred to Equal Employment Opportunity Commission by Reorg. Plan No. 1 of 1978, ~ 1, 43 F.R. 19807, 92 Stat. 3781, set out in the Appendix to Title 5, Government Organization and Employees, effective Jan. 1, 1979, as provided by section 1-101 of Ex. Ord. No. 12106, Dec. 28, 1978, 44 F.R. 1053.
 
"Director of the Office of Personnel Management" substituted for "Civil Service Commission" in Subsection (I), pursuant to Reorg. Plan No. 2 of 1978, I 102, 43 F.R. 36037, 92 Stat. 3783, set out under Section 1101 of Title 5, Government Organization and Employees, which transferred an functions vested by statute in United States Civil Service Commission to Director of the Office of Personnel Management (except as otherwise specified), effective Jan. 1, 1979, as provided by Section 1-102 of Ex. Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055, set out under Section 1101 of Title 5.
 
Functions of all other officers of Department of Labor and functions of all agencies and employees of that Department, with exception of functions vested by Administrative Procedure Act (now covered by Sections 551 et seq. and 701 et seq. of Title 5, Government Organization and Employees) in hearing examiners employed by Department, transferred to Secretary of Labor, with power vested in him to authorize their performance or performance of any of his functions by any of those officers, agencies, and employees, by Reorg. Plan No. 6 of 1950, I 1, 2, 15 F.R. 3174, 64 Stat. 1263, set out in the Appendix to Title 5.
 
MINIMUM WAGE STUDY COMMISSION; ESTABLISHMENT, PURPOSES, COMPOSITION, ETC.
Pub. L. 95-151, Section 2(e), Nov. 1, 1977, 91 Stat. 1246, provided for the establishment, purposes, composition, etc., of the Minimum Wage Study Commission, the submission of reports, with the latest report being submitted to the President and Congress thirty six months after the date of the appointment of the members of the Commission and such appointments being made within 180 days after Nov. 1, 1977, and the Commission to cease to exist thirty days after submission of the report.
 
SECRETARY OF LABOR.
Section 6 of Act Aug. 12, 1955, provided that: "The term 'Secretary' as used in this Act and in amendments made by this Act "amending this Section and Sections 205, 206, 208, and 210 of this Title means the Secretary of Labor."
 
SECTION 205. Special Industry Committees for American Samoa.
a)      Establishment; Residents as Members of Committees.

The Administrator shall as soon as practicable appoint a special industry committee to recommend the minimum rate or rates of wages to be paid under section 206 of this title to employees in American Samoa engaged in commerce or in the production of goods for commerce or employed in any enterprise engaged in commerce or in the production of goods for commerce or the Administrator may appoint separate industry committees to recommend the minimum rate or rates of wages to be paid under said section to employees therein engaged in commerce or in the production of goods for commerce or employed in any enterprise engaged in commerce or in the production of goods for commerce in particular industries. An industry committee appointed under this subsection shall be composed of residents of American Samoa where the employees with respect to whom such committee was appointed are employed and residents of the United States outside of American Samoa. In determining the minimum rate or rates of wages to be paid, and in determining classifications, such industry committees shall be subject to the provisions of section 208 of this title.

 
(b)      Appointment of Committee without Regard to other Laws Pertaining to the Appointment and Compensation of Employees of the United States; Composition of Committees.

An industry committee shall be appointed by the Administrator without regard to any other provisions of law regarding the appointment and compensation of employees of the United States. It shall include a number of disinterested persons representing the public, one of whom the Administrator shall designate as chairman, a like number of persons representing employees in the industry, and a like number representing employers in the industry. In the appointment of the persons representing each group, the Administrator shall give due regard to the geographical regions in which the industry is carried on.

(c)            Quorum; Compensation; Employees.  

Two-thirds of the members of an industry committee shall constitute a quorum, and the decision of the committee shall require a vote of not less than a majority of all its members. Members of an industry committee shall receive as compensation for their services a reasonable per diem, which the Administrator shall by rules and regulations prescribe, for each day actually spent in the work of the committee, and shall in addition be reimbursed for their necessary traveling and other expenses. The Administrator shall furnish the committee with adequate legal, stenographic, clerical, and other assistance, and shall by rules and regulations prescribe the procedure to be followed by the committee.

 
(d)            Submission of Data to Committees.  

The Administrator shall submit to an industry committee from time to time such data as he may have available on the matters referred to it, and shall cause to be brought before it in connection with such matters any witnesses whom he deems material. An industry committee may summon other witnesses or call upon the Administrator to furnish additional information to aid it in its deliberations.

 
(June 25, 1938, ch. 676, ~ 5, 52 Stat. 1062; June 26 1940. ch. 432, Section 3(c), 54 Stat. 615 Oct. 26, l819, ch. 736, ~ 5, 63 Stat. 911; Aug. 12 1955, ch. 867, Section 5(a), 69 Stat. 711: May 5, 1961, Pub. L. 87-30, Section 4, 75 Stat. 67, Apr. 8, 1974, Pub. L. 93-259. Section 5(a), 88 Stat. 56; Nov. 17, 1989, Pub. L. 101-157, Section 4(a), 103 Stat. 939.)
 
AMENDMENTS
1989 Pub. L. 101-157, Section 4(a)(4), substituted "American Samoa," for "Puerto Rico" and the "Virgin Islands," in Section catchline.
 
Subsection (a). Pub. L. 101-157, Section 4(a)(1), (2), substituted "American Samoa engaged," for Puerto Rico or the Virgin Islands, or in Puerto Rico and the Virgin Islands, engaged American Samoa wherein for such island or islands where'', and "American Samoa." for "Puerto Rico and the Virgin Islands."
 
Subsection (e). Pub. L. 101-157, Section 4(a)(3), struck out Subsection (e) which related to the application of Sections 206 and 208 to employees in Puerto Rico or the Virgin Islands.
 
1974 Subsection (e). Pub. L. 93-259 added Subsection (e).
 
1961 Subsection (a). Pub. L. 87-30 inserted ."or employed in any enterprise engaged in commerce or in the production of goods for commerce" after "production of goods for commerce" in two places.
 
1955 Subsection (a). Act Aug. 12, 1955, struck out Provisions which subjected the Administrator to provisions of Section 208 of this title in determination of minimum rates of wages and classifications.
 
1949 Act Oct. 26, 1949, amended section generally, making it applicable only to Puerto Rico and the Virgin Islands.
 
1940 Subsection (e). Joint Res. June 26, 1940, added Subsection (e).
 
EFFECTIVE DATE OF 1974 AMENDMENT
Amendment by Pub. L. 93-259 effective May 1, 1974, see Section 29(a) of Pub. L. 93-259, set out as a note under Section 202 of this Title.
 
EFFECTIVE DATE OF 1961 AMENDMENT
  Amendment by Pub. L. 87-30 effective upon expiration of one hundred and twenty days after May 5, 1961, except as otherwise provided, see Section 14 of Pub. h 87-30, set out as a note under Section 203 of this Title.
 
EFFECTIVE DATE OF 1949 AMENDMENT
Amendment by act Oct. 26, 1949, effective ninety days after Oct. 26, 1949, see Section 16(a) of act Oct. 26. 1949, set out as a note under Section 202 of this Title.
 
TRANSFER OF FUNCTIONS
Functions of Department of Labor and functions of all agencies and employees of that Department, with exception of functions vested by Administrative Procedure Act (now covered by sections 551 et seq. and 701 et seq. of Title 5, Government Organization and Employees) in hearing examiners employed by Department, transferred to Secretary of Labor, with power vested in him to authorize their performance or performance of any of his functions by any of those officers, agencies and employees, by Reorg. Plan No. 6 of 1950, Sections 1, 2, is F.R. 3174, 64 Stat. 1263, set out in the Appendix to Title 5.
 
SECRETARY OF LABOR
The term "Secretary" as meaning the Secretary of Labor, see section 6 of act Aug. 12, 1955, set out as a note under Section 204 of this Title.
 
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 206, 208 of this Title.
 
Section 206. Minimum Wage.
(a)      Employees engaged in commerce; home workers in Puerto Rico and Virgin Islands; employees in American Samoa, seamen on American vessels; agricultural employees.
 

Every employer shall pay to each of his employees who in any workweek is engaged in commerce or in the production of goods for commerce, or is employed in an enterprise engaged in commerce or in the production of goods for commerce, wages at the following rates:

 

(1)      except as otherwise provided in this section, not less than $3.35 an hour during the period ending March 31, 1990, not less than $3.80 an hour during the year beginning April 1, 1990, and not less than $4.25 an hour after March 31, 1991;

(2)      if such employee is a home worker in Puerto Rico or the Virgin Islands, not less than the minimum piece rate prescribed by - regulation or order: or, if no such minimum piece rate is in effect, any piece rate adopted by such employer which shall yield, to the proportion or class of employees prescribed by regulation or order, not less than the applicable minimum hourly wage rate. Such minimum piece rates or employer piece rates shall be commensurate with, and shall be paid in lieu of, the minimum hourly wage rate applicable under the provisions of this section. The Administrator, or his authorized representative, shall have power to make such regulations or orders as are necessary or appropriate to carry out any of the provisions of this paragraph, including the power without limiting the generality of the foregoing, to define any operation or occupation which is performed by such home work employees in Puerto Rico or the Virgin Islands; to establish minimum piece rates for any operation or occupation so defined; to prescribe the method and procedure for ascertaining and promulgating minimum piece rates; to prescribe standards for employer piece rates, including the proportion or class of employees who shall receive not less than the minimum hourly wage rate; to define the term "home worker"; and to prescribe the conditions under which employers, agents, contractors, and subcontractors shall cause goods to be produced by home workers;

(3)      if such employee is employed in American Samoa, in lieu of the rate or rates provided by this subsection or subsection (b) of this section, not less than the applicable rate established by the Secretary of Labor in accordance with recommendations of a special industry committee or committees which he shall appoint pursuant to sections 205 and 208 of this title. The minimum wage rate thus established shall not exceed the rate prescribed in paragraph (1) of this subsection;

(4)      if such employee is employed as a seaman on an American vessel, not less than the rate which will provide to the employee, for the period covered by the wage payment, wages equal to compensation at the hourly rate prescribed by paragraph (1) of this subsection for all hours during such period when he was actually on duty (including periods aboard ship when the employee was on watch or was, at the direction of a superior officer, performing work or standing by, but not including off-duty periods which are provided pursuant to the employment agreement); or

(5)      if such employee is employed in agriculture, not less than the minimum wage rate in effect under paragraph (1) after December 31, 1977.

 
(b)      Additional Applicability to Employees Pursuant to Subsequent Amendatory Provisions.
 

Every employer shall pay to each of his employees (other than an employee to whom subsection (a)(5) of this section applies) who in any workweek is engaged in commerce or in the production of goods for commerce, or is employed in an enterprise engaged in commerce or in the production of goods for commerce, and who in such workweek is brought within the purview of this section by the amendments made to this chapter by the Fair Labor Standards Amendments of 1966, title IX of the Education Amendments of 1972 (20 U.S.C. 1681 et seq.), or the Fair Labor Standards Amendments of 1974, wages at the following rate: Effective after December 31, 1977, not less than the minimum wage rate in effect under subsection (a)(l) of this section.

 
(c)      Employees in Puerto Rico.

(1)      The rate or rates provided by subsection (a)(l) of this section shall be applicable in the case of any employee in Puerto Rico who is employed by

(A)      the United States,

(B)      an establishment that is a hotel, motel or restaurant,

(C)      any other retail or service establishment that employs such employee primarily in connection with the preparation or offering of food or beverages for human consumption, either on the premises, or by such services as catering, banquet, box lunch, or curb or counter service, to the public, to employees or to members or guests of members of clubs, or

(D)      any other industry in which the average hourly wage is greater than or equal to $4.65 an hour.

(2)      In the case of any employee in Puerto Rico who is employed in an industry in which the average hourly wage is not less than $4.00 but not more than $4.64. the minimum wage rate applicable to such employee shall be increased on April 1, 1990, and each April 1 thereafter through April 1, 1994, by equal amounts (rounded to the nearest 5 cents) so that the highest minimum wage rate prescribed in Subsection (a)(1) of this Section shall apply on April 1, 1994.

(3)      In the case of an employee in Puerto Rico who is employed in an industry in which the average hourly wage is less than $4.00, except as provided in paragraph (4), the minimum wage rate applicable to such employee shall be increased on April 1, 1990, and each April 1 thereafter through April 1, 1995, by equal amounts (rounded to the nearest 5 cents) so that the highest minimum wage rate prescribed in Subsection (a)(1) of this Section shall apply on April 1, 1995.

(4)      In the case of any employee of the Commonwealth of Puerto Rico, or a municipality or other governmental entity of the Commonwealth, in which the average hourly wage is less than $4.00 an hour and who was brought under the coverage of this section pursuant to an amendment made by the Fair Labor Standards Amendments of 1985 (Public Law 99-150), the minimum wage rate applicable to such employee shall be increased on April 1, 1990, and each April 1 thereafter through April 1, 1996, by equal amounts (rounded to the nearest 5 cents) so that the highest minimum wage rate prescribed in Subsection (a)(1) of this Section shall apply on April 1, 1996.

 
(d)      Prohibition of Sex Discrimination.

(1)      No employer having employees subject to any provisions of this section shall discriminate, within any establishment in which such employees are employed, between employees on the basis of sex by paying wages to employees in such establishment at a rate less than the rate at which he pays wages to employees of the opposite sex in such establishment for equal work on jobs the performance of which requires equal skill, effort, and responsibility, and which are performed under similar working conditions, except where such payment is made pursuant to (i) a seniority system; (ii) a merit system; (iii) a system which measures earnings by quantity or quality of production; or (iv) a differential based on any other factor other than sex: Provided, that an employer who is paying a wage rate differential in violation of this subsection shall not, in order to comply with the provisions of this subsection, reduce the wage rate of any employee.

(2)      No labor organization, or its agents, representing employees of an employer having employees subject to any provisions of this section shall cause or attempt to cause such an employer to discriminate against an employee in violation of paragraph (1) of this Subsection.

(3)      For purposes of administration and enforcement, any amounts owing to any employee which have been withheld in violation of this subsection shall be deemed to be unpaid minimum wages or unpaid overtime compensation under this chapter.

(4)      As used in this subsection, the term "labor organization" means any organization of any kind, or any agency or employee representation committee or plan, in which employees participate and which exists for the purpose, in whole or in part, of dealing with employers concerning grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work.

 
(e)      Employees of Employers Providing Contract Services to United States.

(1)      Notwithstanding the provisions of Section 213 of this Title (except subsections (a)(1) and (I) thereof), every employer providing any contract services (other than linen supply services) under a contract with the United States or any subcontract thereunder shall pay to each of his employees whose rate of pay is not governed by the Service Contract Act of 1965 (41 U.S.C. 351-357) or to whom subsection (a)(l) of this Section is not applicable, wages at rates not less than the rates provided for in Subsection (b) of this Section.

(2)      Notwithstanding the provisions of Section 213 of this Title (except subsections (a)(l) and (I) thereof) and the provisions of the Service Contract Act of 1965 (41 U.S.C. 351 et seq.) every employer in an establishment providing linen supply services to the United States under a contract with the United States or any subcontract thereunder shall pay to each of his employees in such establishment wages at rates not less than those prescribed in subsection (b) of this section, except that if more than 50 per centum of the gross annual dollar volume of sales made or business done by such establishment is derived from providing such linen supply services under any such contracts or subcontracts, such employer shall pay to each of his employees in such establishment wages at rates not less than those prescribed in Subsection (a)(l) of this Section.

(f)      Employees in Domestic Service.

Any employee

(1)      who in any workweek is employed in domestic service in a household shall be paid wages at a rate not less than the wage rate in effect under subsection (b) of this section unless such employee's compensation for such- service would not because of Section 209(a)(6) of the Social Security Act (42 U.S.C 4091a)(6)) constitute wages for the purposes of Title II of such Act (42 U.S.C. 401 et seq.), or

(2)      who in any workweek

(A)      is employed in domestic service in one or more households, and

(B)      is so employed for more than 8 hours in the aggregate, shall be paid wages for such employment in such workweek at a rate not less than the wage rate in effect under subsection (b) of this Section.

 
(June 25, 1938, ch. 676, Section 6, 52 Stat. 1062; June 26, 1940, ch. 432, Section 3(e), (I), 54 Stat. 616; Oct. 2B, 1949, ch. 736, Section 6, 63 Stat. 912 Aug. 12, 1955, ch 867, Section 3, 69 Stat. 711; Aug. 8, 1956, ch. 1035, 2, 70 Stat. 1118; May 5, 1961, Pub. L. 87-30, 5, 75 Stat. 67, June 10, 1963, Pub. L. 88-38, Section 3, 77 Stat. 56, Sept. 23, 1966, Pub. L. 89-601, Title III, Sections 301-305, 80 Stat. 838, 839, 841; Apr. 8, 1974, Pub. L. 93-259 Sections 2-4, 5(b), 7(b)(1), 88 Stat. 55, 56, 62; Nov. 1, 1977, Pub. L. 95-151, Section 2(a)-(d)(2), 31 Stat. 1215, 1246; Nov. 17, 1989, Pub. L 101-157, Sections 2, 4(b), 103 Stat. 938, 940; Dec. 19, 1989, Pub. L. 101-239, Title Section 10208(d)(2)(B)(i), 103 Stat. 2481.)
 
REFERENCES IN TEXT
The Fair Labor Standards Amendments of 1968, referred to in Subsection (b), is Pub. L. 89-601, Sept. 23, 1966, 80 Stat. 830. For complete classification of this Act to the Code, see Short Title of 1966 Amendment note set out under Section 201 of this Title and Tables.
 
The Education Amendments of 1972 referred to in subset. (b), is Pub. L. 92-318, June 23, 1972, 86 Stat. 235, as amended, Title IX of the Education Amendments of 1972 is classified principally to chapter 38 (1681 et seq.) of Title 20, Education. For complete classification of this Act to the Code, see Short Title of 1972 Amendment note set out under Section 1001 of Title 20 and Tables.
 
The Fair Labor Standards Amendments of 1974, referred to in Subsection (b), is Pub. L. 93-259, Apr. 8, 1974, 88 Stat. 55. For complete classification of this Act to the Code, see Short Title of 1974 Amendment note set out under Section 201 of this Title and Tables.
 
The Fair Labor Standards Amendments of 1985, referred to in Subsection (c)(4), is Pub. 99-150, Nov. 13, 1985, 99 Stat. 787, which amended Sections 203, 207.

Last updated: 08-04