[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1115 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 1115
To amend the Fair Labor Standards Act of 1938 to provide more effective
remedies to victims of discrimination in the payment of wages on the
basis of sex, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 25, 2025
Mrs. Murray (for herself, Mr. Sanders, Ms. Alsobrooks, Ms. Baldwin, Mr.
Bennet, Mr. Blumenthal, Ms. Blunt Rochester, Mr. Booker, Ms. Cantwell,
Mr. Coons, Ms. Cortez Masto, Ms. Duckworth, Mr. Durbin, Mr. Fetterman,
Mr. Gallego, Mrs. Gillibrand, Ms. Hassan, Mr. Heinrich, Mr.
Hickenlooper, Ms. Hirono, Mr. Kaine, Mr. Kelly, Mr. Kim, Mr. King, Ms.
Klobuchar, Mr. Lujan, Mr. Markey, Mr. Merkley, Mr. Murphy, Mr. Ossoff,
Mr. Padilla, Mr. Peters, Mr. Reed, Ms. Rosen, Mr. Schatz, Mr. Schiff,
Mr. Schumer, Mrs. Shaheen, Ms. Slotkin, Ms. Smith, Mr. Van Hollen, Mr.
Warner, Mr. Warnock, Ms. Warren, Mr. Welch, Mr. Whitehouse, and Mr.
Wyden) introduced the following bill; which was read twice and referred
to the Committee on Health, Education, Labor, and Pensions
_______________________________________________________________________
A BILL
To amend the Fair Labor Standards Act of 1938 to provide more effective
remedies to victims of discrimination in the payment of wages on the
basis of sex, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Paycheck Fairness Act''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) Women have entered the workforce in record numbers over
the past 50 years.
(2) Despite the enactment of the Equal Pay Act of 1963
(Public Law 88-38), many women continue to earn significantly
lower pay than men for equal work. These pay disparities exist
in both the private and governmental sectors. Pay disparities
are especially severe for women and girls of color.
(3) In many instances, the pay disparities can only be due
to continued intentional discrimination or the lingering
effects of past discrimination. After controlling for
educational attainment, occupation, industry, union status,
race, ethnicity, and labor force experience roughly 40 percent
of the pay gap remains unexplained.
(4) The existence of such pay disparities--
(A) depresses the wages of working families who
rely on the wages of all members of the family to make
ends meet;
(B) undermines women's retirement security, which
is often based on earnings while in the workforce;
(C) prevents women from realizing their full
economic potential, particularly in terms of labor
force participation and attachment;
(D) has been spread and perpetuated, through
commerce and the channels and instrumentalities of
commerce, among the workers of the several States;
(E) burdens commerce and the free flow of goods in
commerce;
(F) constitutes an unfair method of competition in
commerce;
(G) tends to cause labor disputes, as evidenced by
the tens of thousands of charges filed with the Equal
Employment Opportunity Commission against employers
between 2010 and 2016;
(H) interferes with the orderly and fair marketing
of goods in commerce; and
(I) in many instances, may deprive workers of equal
protection on the basis of sex in violation of the
Fifth and 14th Amendments to the Constitution of the
United States.
(5)(A) Artificial barriers to the elimination of
discrimination in the payment of wages on the basis of sex
continue to exist decades after the enactment of the Fair Labor
Standards Act of 1938 (29 U.S.C. 201 et seq.) and the Civil
Rights Act of 1964 (42 U.S.C. 2000a et seq.).
(B) These barriers have resulted, in significant part,
because the Equal Pay Act of 1963 has not worked as Congress
originally intended. Improvements and modifications to the law
are necessary to ensure that the Act provides effective
protection to those subject to pay discrimination on the basis
of their sex.
(C) Elimination of such barriers would have positive
effects, including--
(i) providing a solution to problems in the economy
created by unfair pay disparities;
(ii) substantially reducing the number of working
women earning unfairly low wages, thereby reducing the
dependence on public assistance;
(iii) promoting stable families by enabling all
family members to earn a fair rate of pay;
(iv) remedying the effects of past discrimination
on the basis of sex and ensuring that in the future
workers are afforded equal protection on the basis of
sex; and
(v) ensuring equal protection pursuant to Congress'
power to enforce the Fifth and 14th Amendments to the
Constitution of the United States.
(6) The Department of Labor and the Equal Employment
Opportunity Commission carry out functions to help ensure that
women receive equal pay for equal work.
(7) The Department of Labor is responsible for--
(A) collecting and making publicly available
information about women's pay;
(B) disseminating information about women's rights
in the workplace;
(C) helping women who have been victims of pay
discrimination obtain a remedy; and
(D) investigating and prosecuting systemic gender
based pay discrimination involving government
contractors.
(8) The Equal Employment Opportunity Commission is the
primary enforcement agency for claims made under the Equal Pay
Act of 1963, and issues regulations and guidance on appropriate
interpretations of the law.
(9) Vigorous implementation by the Department of Labor and
the Equal Employment Opportunity Commission, increased
information as a result of the amendments made by this Act,
wage data, and more effective remedies, will ensure that women
are better able to recognize and enforce their rights.
(10) Certain employers have already made great strides in
eradicating unfair pay disparities in the workplace and their
achievements should be recognized.
SEC. 3. ENHANCED ENFORCEMENT OF EQUAL PAY REQUIREMENTS.
(a) Bona Fide Factor Defense and Modification of Same Establishment
Requirement.--Section 6(d)(1) of the Fair Labor Standards Act of 1938
(29 U.S.C. 206(d)(1)) is amended--
(1) by striking ``No employer having'' and inserting ``(A)
No employer having'';
(2) by striking ``any other factor other than sex'' and
inserting ``a bona fide factor other than sex, such as
education, training, or experience''; and
(3) by adding at the end the following:
``(B) The bona fide factor defense described in subparagraph
(A)(iv) shall apply only if the employer demonstrates that such factor
(i) is not based upon or derived from a sex-based differential in
compensation; (ii) is job-related with respect to the position in
question; (iii) is consistent with business necessity; and (iv)
accounts for the entire differential in compensation at issue. Such
defense shall not apply where the employee demonstrates that an
alternative employment practice exists that would serve the same
business purpose without producing such differential and that the
employer has refused to adopt such alternative practice.
``(C) For purposes of subparagraph (A), employees shall be deemed
to work in the same establishment if the employees work for the same
employer at workplaces located in the same county or similar political
subdivision of a State. The preceding sentence shall not be construed
as limiting broader applications of the term `establishment' consistent
with rules prescribed or guidance issued by the Equal Employment
Opportunity Commission.''.
(b) Nonretaliation Provision.--Section 15 of the Fair Labor
Standards Act of 1938 (29 U.S.C. 215) is amended--
(1) in subsection (a)--
(A) in paragraph (3), by striking ``employee has
filed'' and all that follows and inserting ``employee--
``(A) has made a charge or filed any complaint or
instituted or caused to be instituted any
investigation, proceeding, hearing, or action under or
related to this Act, including an investigation
conducted by the employer, or has testified or is
planning to testify or has assisted or participated in
any manner in any such investigation, proceeding,
hearing or action, or has served or is planning to
serve on an industry committee; or
``(B) has inquired about, discussed, or disclosed
the wages of the employee or another employee (such as
by inquiring or discussing with the employer why the
wages of the employee involved are set at a certain
rate or salary);'';
(B) in paragraph (5), by striking ``and'' at the
end;
(C) in paragraph (6), by striking the period at the
end and inserting ``; and''; and
(D) by adding at the end the following:
``(7) to require an employee to sign a contract or waiver
that would prohibit the employee from disclosing information
about the employee's wages.''; and
(2) by adding at the end the following:
``(c) Subsection (a)(3)(B) shall not apply to instances in which an
employee who has access to the wage information of other employees as a
part of such employee's essential job functions discloses the wages of
such other employees to individuals who do not otherwise have access to
such information, unless such disclosure is in response to a complaint
or charge or in furtherance of an investigation, proceeding, hearing,
or action under section 6(d), including an investigation conducted by
the employer. Nothing in this subsection shall be construed to limit
the rights of an employee provided under any other provision of law.''.
(c) Enhanced Penalties.--Section 16(b) of the Fair Labor Standards
Act of 1938 (29 U.S.C. 216(b)) is amended--
(1) by inserting after the first sentence the following:
``Any employer who violates section 6(d) shall additionally be
liable for such compensatory damages, or, if the employee
demonstrates that the employer acted with malice or reckless
indifference, punitive damages as may be appropriate, except
that the United States shall not be liable for punitive
damages.'';
(2) in the sentence beginning ``An action to'', by striking
``the preceding sentences'' and inserting ``any of the
preceding sentences of this subsection'';
(3) in the sentence beginning ``No employees shall'', by
striking ``No employees'' and inserting ``Except with respect
to class actions brought to enforce section 6(d), no
employee'';
(4) by inserting after the sentence referred to in
paragraph (3), the following: ``Notwithstanding any other
provision of Federal law, any action brought to enforce section
6(d) may be maintained as a class action as provided by the
Federal Rules of Civil Procedure.''; and
(5) in the sentence beginning ``The court in''--
(A) by striking ``in such action'' and inserting
``in any action brought to recover the liability
prescribed in any of the preceding sentences of this
subsection''; and
(B) by inserting before the period the following:
``, including expert fees''.
(d) Action by the Secretary.--Section 16(c) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 216(c)) is amended--
(1) in the first sentence--
(A) by inserting ``or, in the case of a violation
of section 6(d), additional compensatory or punitive
damages, as described in subsection (b),'' before ``and
the agreement''; and
(B) by inserting before the period the following:
``, or such compensatory or punitive damages, as
appropriate'';
(2) in the second sentence, by inserting before the period
the following: ``and, in the case of a violation of section
6(d), additional compensatory or punitive damages, as described
in subsection (b)'';
(3) in the third sentence, by striking ``the first
sentence'' and inserting ``the first or second sentence''; and
(4) in the sixth sentence--
(A) by striking ``commenced in the case'' and
inserting ``commenced--
``(1) in the case'';
(B) by striking the period and inserting ``; or'';
and
(C) by adding at the end the following:
``(2) in the case of a class action brought to enforce
section 6(d), on the date on which the individual becomes a
party plaintiff to the class action.''.
SEC. 4. TRAINING.
The Equal Employment Opportunity Commission and the Office of
Federal Contract Compliance Programs, subject to the availability of
funds appropriated under section 11, shall provide training to
Commission employees and affected individuals and entities on matters
involving discrimination in the payment of wages.
SEC. 5. NEGOTIATION SKILLS TRAINING.
(a) Program Authorized.--
(1) In general.--The Secretary of Labor, after consultation
with the Secretary of Education, is authorized to establish and
carry out a grant program.
(2) Grants.--In carrying out the program, the Secretary of
Labor may make grants on a competitive basis to eligible
entities to carry out negotiation skills training programs for
the purposes of addressing pay disparities, including through
outreach to women and girls.
(3) Eligible entities.--To be eligible to receive a grant
under this subsection, an entity shall be a public agency, such
as a State, a local government in a metropolitan statistical
area (as defined by the Office of Management and Budget), a
State educational agency, or a local educational agency, a
private nonprofit organization, or a community-based
organization.
(4) Application.--To be eligible to receive a grant under
this subsection, an entity shall submit an application to the
Secretary of Labor at such time, in such manner, and containing
such information as the Secretary of Labor may require.
(5) Use of funds.--An entity that receives a grant under
this subsection shall use the funds made available through the
grant to carry out an effective negotiation skills training
program for the purposes described in paragraph (2).
(b) Incorporating Training Into Existing Programs.--The Secretary
of Labor and the Secretary of Education shall issue regulations or
policy guidance that provides for integrating the negotiation skills
training, to the extent practicable, into programs authorized under--
(1) in the case of the Secretary of Education, the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301
et seq.), the Carl D. Perkins Career and Technical Education
Act of 2006 (20 U.S.C. 2301 et seq.), the Higher Education Act
of 1965 (20 U.S.C. 1001 et seq.), and other programs carried
out by the Department of Education that the Secretary of
Education determines to be appropriate; and
(2) in the case of the Secretary of Labor, the Workforce
Innovation and Opportunity Act (29 U.S.C. 3101 et seq.), and
other programs carried out by the Department of Labor that the
Secretary of Labor determines to be appropriate.
(c) Report.--Not later than 18 months after the date of enactment
of this Act, and annually thereafter, the Secretary of Labor, in
consultation with the Secretary of Education, shall prepare and submit
to Congress a report describing the activities conducted under this
section and evaluating the effectiveness of such activities in
achieving the purposes of this section.
SEC. 6. RESEARCH, EDUCATION, AND OUTREACH.
(a) In General.--Not later than 18 months after the date of
enactment of this Act, and periodically thereafter, the Secretary of
Labor shall conduct studies and provide information to employers, labor
organizations, and the general public concerning the means available to
eliminate pay disparities between men and women (including women who
are Asian American, Black or African American, Hispanic American or
Latino, Native American or Alaska Native, Native Hawaiian or Pacific
Islander, and White American), including--
(1) conducting and promoting research to develop the means
to correct expeditiously the conditions leading to the pay
disparities, with specific attention paid to women and girls
from historically underrepresented and minority groups;
(2) publishing and otherwise making available to employers,
labor organizations, professional associations, educational
institutions, the media, and the general public the findings
resulting from studies and other materials, relating to
eliminating the pay disparities;
(3) sponsoring and assisting State, local, and community
informational and educational programs;
(4) providing information to employers, labor
organizations, professional associations, and other interested
persons on the means of eliminating the pay disparities; and
(5) recognizing and promoting the achievements of
employers, labor organizations, and professional associations
that have worked to eliminate the pay disparities.
(b) Report on Gender Pay Gap in Teenage Labor Force.--
(1) Report required.--Not later than one year after the
date of the enactment of this Act, the Secretary of Labor,
acting through the Director of the Women's Bureau and in
coordination with the Commissioner of Labor Statistics, shall--
(A) submit to Congress a report on the gender pay
gap in the teenage labor force; and
(B) make the report available on a publicly
accessible website of the Department of Labor.
(2) Elements.--The report under paragraph (1) shall include
the following:
(A) An examination of trends and potential
solutions relating to the teenage gender pay gap.
(B) An examination of how the teenage gender pay
gap potentially translates into greater wage gaps in
the overall labor force.
(C) An examination of overall lifetime earnings and
losses for informal and formal jobs for women,
including women of color.
(D) An examination of the teenage gender pay gap,
including a comparison of the average amount earned by
males and females, respectively, in informal jobs, such
as babysitting and other freelance jobs, as well as
formal jobs, such as retail, restaurant, and customer
service.
(E) A comparison of--
(i) the types of tasks typically performed
by women from the teenage years through
adulthood within certain informal jobs, such as
babysitting and other freelance jobs, and
formal jobs, such as retail, restaurant, and
customer service; and
(ii) the types of tasks performed by
younger males in such positions.
(F) Interviews and surveys with workers and
employers relating to early gender-based pay
discrepancies.
(G) Recommendations for--
(i) addressing pay inequality for women
from the teenage years through adulthood,
including such women of color;
(ii) addressing any disadvantages
experienced by young women with respect to work
experience and professional development;
(iii) the development of standards and best
practices for workers and employees to ensure
better pay for young women and the prevention
of early inequalities in the workplace; and
(iv) expanding awareness for teenage girls
on pay rates and employment rights in order to
reduce greater inequalities in the overall
labor force.
SEC. 7. ESTABLISHMENT OF THE NATIONAL AWARD FOR PAY EQUITY IN THE
WORKPLACE.
(a) In General.--There is established the Secretary of Labor's
National Award for Pay Equity in the Workplace, which shall be awarded,
on an annual basis, to an employer to encourage proactive efforts to
comply with section 6(d) of the Fair Labor Standards Act of 1938 (29
U.S.C. 206(d)), as amended by this Act.
(b) Criteria for Qualification.--The Secretary of Labor shall set
criteria for receipt of the award, including a requirement that an
employer has made substantial effort to eliminate pay disparities
between men and women, and deserves special recognition as a
consequence of such effort. The Secretary shall establish procedures
for the application and presentation of the award.
(c) Business.--In this section, the term ``employer'' includes--
(1)(A) a corporation, including a nonprofit corporation;
(B) a partnership;
(C) a professional association;
(D) a labor organization; and
(E) a business entity similar to an entity described in any
of subparagraphs (A) through (D);
(2) an entity carrying out an education referral program, a
training program, such as an apprenticeship or management
training program, or a similar program; and
(3) an entity carrying out a joint program, formed by a
combination of any entities described in paragraph (1) or (2).
SEC. 8. COLLECTION OF PAY INFORMATION BY THE EQUAL EMPLOYMENT
OPPORTUNITY COMMISSION.
Section 709 of the Civil Rights Act of 1964 (42 U.S.C. 2000e-8) is
amended by adding at the end the following:
``(f)(1) Not later than 18 months after the date of enactment of
this subsection, the Commission shall provide for the collection from
employers of compensation data and other employment-related data
(including hiring, termination, and promotion data) disaggregated by
the sex, race, and ethnic identity of employees.
``(2) In carrying out paragraph (1), the Commission shall have as
its primary consideration the most effective and efficient means for
enhancing the enforcement of Federal laws prohibiting pay
discrimination. For this purpose, the Commission shall consider factors
including the imposition of burdens on employers, the frequency of
required reports (including the size of employers required to prepare
reports), appropriate protections for maintaining data confidentiality,
and the most effective format to report such data.
``(3)(A) For each 12-month reporting period for an employer, the
compensation data collected under paragraph (1) shall include, for each
range of taxable compensation described in subparagraph (B),
disaggregated by the categories described in subparagraph (E)--
``(i) the number of employees of the employer who earn
taxable compensation in an amount that falls within such
taxable compensation range; and
``(ii) the total number of hours worked by such employees.
``(B) Subject to adjustment under subparagraph (C), the taxable
compensation ranges described in this subparagraph are as follows:
``(i) Not more than $19,239.
``(ii) Not less than $19,240 and not more than $24,439.
``(iii) Not less than $24,440 and not more than $30,679.
``(iv) Not less than $30,680 and not more than $38,999.
``(v) Not less than $39,000 and not more than $49,919.
``(vi) Not less than $49,920 and not more than $62,919.
``(vii) Not less than $62,920 and not more than $80,079.
``(viii) Not less than $80,080 and not more than $101,919.
``(ix) Not less than $101,920 and not more than $128,959.
``(x) Not less than $128,960 and not more than $163,799.
``(xi) Not less than $163,800 and not more than $207,999.
``(xii) Not less than $208,000.
``(C) The Commission may adjust the taxable compensation ranges
under subparagraph (B)--
``(i) if the Commission determines that such adjustment is
necessary to enhance enforcement of Federal laws prohibiting
pay discrimination; or
``(ii) for inflation, in consultation with the Bureau of
Labor Statistics.
``(D) In collecting data described in subparagraph (A)(ii), the
Commission shall provide that, with respect to an employee who the
employer is not required to compensate for overtime employment under
section 7 of the Fair Labor Standards Act of 1938 (29 U.S.C. 207), an
employer may report--
``(i) in the case of a full-time employee, that such
employee works 40 hours per week, and in the case of a part-
time employee, that such employee works 20 hours per week; or
``(ii) the actual number of hours worked by such employee.
``(E) The categories described in this subparagraph shall be
determined by the Commission and shall include--
``(i) race;
``(ii) ethnic identity;
``(iii) sex; and
``(iv) job categories, including the job categories
described in the instructions for the Equal Employment
Opportunity Employer Information Report EEO-1, as in effect on
the date of the enactment of this subsection.
``(F) The Commission shall use the compensation data collected
under paragraph (1)--
``(i) to enhance--
``(I) the investigation of charges filed under
section 706 or section 6(d) of the Fair Labor Standards
Act of 1938 (29 U.S.C. 206(d)); and
``(II) the allocation of resources to investigate
such charges; and
``(ii) for any other purpose that the Commission determines
appropriate.
``(G) The Commission shall annually make publicly available
aggregate compensation data collected under paragraph (1) for the
categories described in subparagraph (E), disaggregated by industry,
occupation, and core based statistical area (as defined by the Office
of Management and Budget).
``(4) The compensation data under paragraph (1) shall be collected
from each employer that--
``(A) is a private employer that has 100 or more employees,
including such an employer that is a contractor with the
Federal Government, or a subcontractor at any tier thereof; or
``(B) the Commission determines appropriate.''.
SEC. 9. REINSTATEMENT OF PAY EQUITY PROGRAMS AND PAY EQUITY DATA
COLLECTION.
(a) Bureau of Labor Statistics Data Collection.--The Commissioner
of Labor Statistics shall continue to collect data on women workers in
the Current Employment Statistics survey.
(b) Office of Federal Contract Compliance Programs Initiatives.--
The Director of the Office of Federal Contract Compliance Programs
shall ensure that employees of the Office--
(1)(A) shall use the full range of investigatory tools at
the Office's disposal, including pay grade methodology;
(B) in considering evidence of possible compensation
discrimination--
(i) shall not limit its consideration to a small
number of types of evidence; and
(ii) shall not limit its evaluation of the evidence
to a small number of methods of evaluating the
evidence; and
(C) shall not require a multiple regression analysis or
anecdotal evidence for a compensation discrimination case;
(2) for purposes of its investigative, compliance, and
enforcement activities, shall define ``similarly situated
employees'' in a way that is consistent with and not more
stringent than the definition provided in item 1 of subsection
A of section 10-III of the Equal Employment Opportunity
Commission Compliance Manual (2000), and shall consider only
factors that the Office's investigation reveals were used in
making compensation decisions; and
(3) shall implement a survey to collect compensation data
and other employment-related data (including hiring,
termination, and promotion data) and designate not less than
half of all nonconstruction contractor establishments each year
to prepare and file such survey, and shall review and utilize
the responses to such survey to identify contractor
establishments for further evaluation and for other enforcement
purposes as appropriate.
(c) Department of Labor Distribution of Wage Discrimination
Information.--The Secretary of Labor shall make readily available (in
print, on the Department of Labor website, and through any other forum
that the Department may use to distribute compensation discrimination
information), accurate information on compensation discrimination,
including statistics, explanations of employee rights, historical
analyses of such discrimination, instructions for employers on
compliance, and any other information that will assist the public in
understanding and addressing such discrimination.
SEC. 10. PROHIBITIONS RELATING TO PROSPECTIVE EMPLOYEES' SALARY AND
BENEFIT HISTORY.
(a) In General.--The Fair Labor Standards Act of 1938 (29 U.S.C.
201 et seq.) is amended by inserting after section 7 the following new
section:
``SEC. 8. REQUIREMENTS AND PROHIBITIONS RELATING TO WAGE, SALARY, AND
BENEFIT HISTORY.
``(a) In General.--It shall be an unlawful practice for an employer
to--
``(1) rely on the wage history of a prospective employee in
considering the prospective employee for employment in a
position as an employee 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, including requiring that a
prospective employee's prior wages satisfy minimum or maximum
criteria as a condition of being considered for such
employment;
``(2) rely on the wage history of a prospective employee in
determining the wages for such prospective employee for a
position described in paragraph (1) of the employer, except
that an employer may rely on wage history if it is voluntarily
provided by a prospective employee, after the employer makes an
offer of employment in such a position with an offer of
compensation to the prospective employee for such position, to
support a wage higher than the wage offered by the employer;
``(3) seek from a prospective employee for a position
described in paragraph (1) or any current or former employer of
such prospective employee the wage history of the prospective
employee, except that an employer may seek to confirm prior
wage information only after an offer of employment for such a
position with compensation has been made to the prospective
employee and the prospective employee responds to the offer by
providing prior wage information to support a wage higher than
that offered by the employer; or
``(4) discharge or in any other manner retaliate against
any employee or prospective employee for a position described
in paragraph (1) because the employee or prospective employee--
``(A) opposed any act or practice made unlawful by
this section; or
``(B) took an action for which discrimination is
forbidden under section 15(a)(3).
``(b) Definition.--In this section, the term `wage history' means
the wages paid to the prospective employee by the prospective
employee's current employer or previous employer.''.
(b) Penalties.--Section 16 of such Act (29 U.S.C. 216) is amended
by adding at the end the following new subsection:
``(f)(1) Any person who violates the provisions of section 8
shall--
``(A) be subject to a civil penalty of $5,000 for a first
offense, increased by an additional $1,000 for each subsequent
offense, not to exceed $10,000; and
``(B) be liable to each employee or prospective employee
who was the subject of the violation for special damages not to
exceed $10,000 plus attorneys' fees, and shall be subject to
such injunctive relief as may be appropriate.
``(2) An action to recover the liability described in paragraph
(1)(B) may be maintained against any employer (including a public
agency) in any Federal or State court of competent jurisdiction by any
one or more employees or prospective employees for and on behalf of--
``(A) the employees or prospective employees; and
``(B) other employees or prospective employees similarly
situated.''.
(c) Conforming Amendment.--Section 10 of the Fair Labor Standards
Act of 1938 (29 U.S.C. 210) is repealed.
SEC. 11. AUTHORIZATION OF APPROPRIATIONS.
(a) Authorization of Appropriations.--There are authorized to be
appropriated such sums as may be necessary to carry out this Act.
(b) Prohibition on Earmarks.--None of the funds appropriated
pursuant to subsection (a) for purposes of the grant program in section
5 of this Act may be used for a congressional earmark as defined in
clause 9(e) of rule XXI of the Rules of the House of Representatives.
SEC. 12. SMALL BUSINESS ASSISTANCE.
(a) Effective Date.--This Act and the amendments made by this Act
shall take effect on the date that is 6 months after the date of
enactment of this Act.
(b) Technical Assistance Materials.--The Secretary of Labor and the
Commissioner of the Equal Employment Opportunity Commission shall
jointly develop technical assistance material to assist small
enterprises in complying with the requirements of this Act and the
amendments made by this Act.
(c) Small Businesses.--A small enterprise shall be exempt from the
provisions of this Act, and the amendments made by this Act, to the
same extent that such enterprise is exempt from the requirements of the
Fair Labor Standards Act of 1938 (29 U.S.C. 201 et seq.) pursuant to
clauses (i) and (ii) of section 3(s)(1)(A) of such Act (29 U.S.C.
203(s)(1)(A)).
SEC. 13. RULE OF CONSTRUCTION.
Nothing in this Act, or in any amendments made by this Act, shall
affect the obligation of employers and employees to fully comply with
all applicable immigration laws, including being subject to any
penalties, fines, or other sanctions.
SEC. 14. SEVERABILITY.
If any provision of this Act, an amendment made by this Act, or the
application of that provision or amendment to particular persons or
circumstances is held invalid or found to be unconstitutional, the
remainder of this Act, the amendments made by this Act, or the
application of that provision to other persons or circumstances shall
not be affected.
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