[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2275 Introduced in House (IH)]
<DOC>
115th CONGRESS
1st Session
H. R. 2275
To require employers to provide pay stubs, codify the Executive order
relating to Government contracting, provide greater oversight of
executive compensation and restrictions on sales of stocks, clarify the
definition of a supervisor, and enhance penalties for violations of
workforce safety and standards.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 1, 2017
Mr. Polis introduced the following bill; which was referred to the
Committee on Education and the Workforce, and in addition to the
Committees on Financial Services, and Oversight and Government Reform,
for a period to be subsequently determined by the Speaker, in each case
for consideration of such provisions as fall within the jurisdiction of
the committee concerned
_______________________________________________________________________
A BILL
To require employers to provide pay stubs, codify the Executive order
relating to Government contracting, provide greater oversight of
executive compensation and restrictions on sales of stocks, clarify the
definition of a supervisor, and enhance penalties for violations of
workforce safety and standards.
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 ``Giving Workers a Fair Shot Act''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--EMPLOYER TRANSPARENCY
Sec. 101. Pay stub provision requirement.
Sec. 102. Enforcement.
Sec. 103. Effective date.
TITLE II--THE RE-EMPOWERMENT OF SKILLED AND PROFESSIONAL EMPLOYEES AND
CONSTRUCTION TRADEWORKERS
Sec. 201. Definition of supervisor.
TITLE III--ADEQUATE LABOR LAW PUNISHMENT AND PENALTIES
Sec. 301. Penalty enhancements.
TITLE IV--FIRST CONTRACT ARBITRATION
Sec. 401. Facilitating initial collective bargaining agreements.
TITLE V--SHAREHOLDER EMPOWERMENT AND EXECUTIVE RESPONSIBILITY
Sec. 501. Shareholder votes on executive compensation.
Sec. 502. CEO and chairman of the board of directors required to be
different individuals.
Sec. 503. Extension of certain requirements for directors and officers.
TITLE VI--PREVENTION OF TAXPAYER DOLLARS BEING USED FOR LABOR BUSTING
Sec. 601. Limitation on the allowability of costs.
TITLE I--EMPLOYER TRANSPARENCY
SEC. 101. PAY STUB PROVISION REQUIREMENT.
Section 11 of the Fair Labor Standards Act of 1938 (29 U.S.C. 211)
is amended by adding at the end the following new subsection:
``(e) Every employer subject to subsection (c) shall provide to
each employee, in conjunction with each payment of compensation to that
employee, a document itemizing--
``(1) the total hours worked during the pay period;
``(2) the total pay during the pay period;
``(3) the hourly rate of pay, or--
``(A) if the employee is paid a salary, the hourly
equivalent rate of pay;
``(B) if the employee is paid a piece rate, the
number of piece rate units earned, the applicable piece
rate, and total amount paid in accordance with such
piece rate; or
``(C) if the employee receives commissions or is
paid on the basis of any other type of rate, the total
amount paid in such commissions or in accordance with
such rate;
``(4) the total amount and rate of any overtime pay or, in
the case of an employee employed at piece rate, the piece rate
paid for each such overtime hour;
``(5) the total amounts of earned, used, and available paid
leave, and any expiration dates associated with such leave;
``(6) the source and amount of each deduction from total
pay, including an indication of whether such deduction is
taxable or non-taxable;
``(7) whether the employee is--
``(A) exempt from the minimum wage requirements
under section 6(a);
``(B) exempt from the overtime requirements under
section 7; and
``(C) if applicable, considered by the employer to
be an executive, administrative, professional, or
outside sales employee; and
``(8) such additional information relating to such
compensation that the Secretary may require.''.
SEC. 102. ENFORCEMENT.
Section 16(e)(2) of the Fair Labor Standards Act of 1938 (29 U.S.C.
216(e)(2)) is amended--
(1) by striking ``(2) Any person'' and inserting ``(2)(A)
Any person''; and
(2) by adding at the end the following new subparagraph:
``(B) Any person who violates the provisions of section 11(e) of
this Act shall be subject to a civil penalty of--
``(i) not more than $1,000 per day the document is not
provided to the employee; or
``(ii) not more than $100 per day the person fails to
provide a new document to the employee that--
``(I) contains any item or items described in
paragraphs (1) through (8) of that subsection that was
missing in the document as originally provided; or
``(II) corrects any such item or items that was
incorrect as originally provided.''.
SEC. 103. EFFECTIVE DATE.
The amendments made by this title shall take effect with respect to
compensation paid after the date that is 1 year after the date of the
enactment of this Act.
TITLE II--THE RE-EMPOWERMENT OF SKILLED AND PROFESSIONAL EMPLOYEES AND
CONSTRUCTION TRADEWORKERS
SEC. 201. DEFINITION OF SUPERVISOR.
Section 2(11) of the National Labor Relations Act (29 U.S.C.
152(11)) is amended--
(1) by inserting ``and for a majority of the individual's
worktime'' after ``interest of the employer'';
(2) by striking ``assign,''; and
(3) by striking ``or responsibility to direct them,''.
TITLE III--ADEQUATE LABOR LAW PUNISHMENT AND PENALTIES
SEC. 301. PENALTY ENHANCEMENTS.
(a) National Labor Relations Act.--
(1) Backpay.--Section 10(c) of the National Labor Relations
Act (29 U.S.C. 160(c)) is amended by striking ``And provided
further,'' and inserting ``Provided further, That if the Board
finds that an employer has committed a violation of section
8(a) that results in the discharge of an employee or other
serious economic loss to an employee, the Board shall award the
employee back pay and an additional amount as liquidated
damages equal to 2 times the amount of such back pay, without
any reduction (including any reduction based on the employee's
interim earnings or failure to earn interim earnings): Provided
further,''.
(2) Penalty for interfering with the national labor
relations board.--Section 12 of the National Labor Relations
Act (29 U.S.C. 162) is amended by striking all that follows
``shall be'' and inserting ``fined under title 18, United
States Code, or imprisoned for not more than three years, or
both.''.
(b) Fair Labor Standards Act.--Section 16(a) of the Fair Labor
Standards Act of 1938 (29 U.S.C. 216(a)) is amended--
(1) by striking ``not more than six months'' and inserting
``not more than three years''; and
(2) by striking ``except for an offense'' and inserting
``except for an offense: that denies an employee more than
$1,000 in minimum wages or overtime compensation, or both, in a
12-month period; that subjects such person to a civil penalty
under subsection (e)(1)(A)(ii); or that is''.
(c) Occupational Safety and Health Act.--
(1) Violation causing or significantly contributing to
serious illness, serious injury, or death to employee.--Section
17(e) of the Occupational Safety and Health Act of 1970 (29
U.S.C. 666(e)) is amended--
(A) by striking ``willfully'' and inserting
``knowingly'';
(B) by striking ``caused death to'' and inserting
``causes or significantly contributes to the serious
illness or serious injury (as those terms are defined
in section 519(b)(6) of the Federal Food, Drug, and
Cosmetic Act) or death, of'';
(C) by striking ``punished by a fine of not more
than $10,000 or by imprisonment for not more than six
months, or by both'' and inserting ``fined under title
18, United States Code, or imprisoned for not more than
10 years, or both''; and
(D) by striking ``such person, punishment shall be
by a fine of not more than $20,000 or by imprisonment
for not more than one year, or by both'' and inserting
``such employer, the employer shall be fined under
title 18, United States Code, or imprisoned for not
more than 20 years, or both''.
(2) Penalty for discharge or discrimination against
employee for exercise of rights.--Section 17 of the
Occupational Safety and Health Act of 1970 (29 U.S.C. 666) is
amended by adding at the end the following:
``(m) Penalties for Discharge or Discrimination Against Employee
for Exercise of Rights.--In addition to any disposition under section
11(c), any employer who violates section 11(c)(1) shall be punished as
follows:
``(1) First violation.--For the first such violation, the
employer shall be fined not more than $50,000.
``(2) Second or subsequent violation.--If the employer
commits such a violation after receiving a penalty under
paragraph (1), the employer shall be fined not less than
$20,000 and not more than $200,000.
``(3) Violation causing or significantly contributing to
serious illness, serious injury, or death.--Paragraphs 1 and 2
notwithstanding, if such violation causes or significantly
contributes to a serious illness or serious injury (as those
terms are defined in section 519(b)(6) of the Federal Food,
Drug, and Cosmetic Act (21 U.S.C. 360i)) or death, the employer
shall be fined under title 18, United States Code, or
imprisoned for not more than 10 years, or both.''.
(d) Migrant and Seasonal Agricultural Worker Protection Act.--
Section 501 of the Migrant and Seasonal Agricultural Worker Protection
Act (29 U.S.C. 1851) is amended--
(1) in subsection (a) by striking ``not more than $1,000 or
sentenced to prison for a term not to exceed one year, or
both'' and inserting ``under title 18, United States Code, or
imprisoned for not more than three years, or both''; and
(2) in subsection (b) by striking ``not more than $10,000
or sentenced to prison for a term not to exceed three years, or
both'' and inserting ``under title 18, United States Code, or
imprisoned for not more than six years, or both''.
(e) Federal Mine Safety and Health Act.--Section 110(d) of the
Federal Mine Safety and Health Act of 1977 (30 U.S.C. 820(d)) is
amended to read as follows:
``(d) Criminal Penalties.--
``(1) In general.--Whoever, being an operator, knowingly--
``(A) violates a mandatory health or safety
standard, or
``(B) violates or fails or refuses to comply with
any order issued under section 104 or section 107, or
any order incorporated in a final decision issued under
this Act (except an order incorporated in a decision
under subsection (a)(1) or section 105(c)),
shall, upon conviction, be fined not more than $250,000, or
imprisoned for not more than 1 year, or both, except that if
the operator commits the violation after having been previously
convicted of a violation under this paragraph and if, the
operator knows or has reason to know that such subsequent
violation has the potential to expose a miner to risk of
serious injury, serious illness, or death, the operator shall,
upon conviction, be fined not more than $1,000,000, or
imprisoned for not more than 5 years, or both.
``(2) Significant risk of serious injury, serious illness,
or death.--Whoever, being an operator, knowingly--
``(A) tampers with or disables a required safety
device (except with express authorization from the
Secretary),
``(B) violates a mandatory health or safety
standard, or
``(C) violates or fails or refuses to comply with
an order issued under section 104 or 107, or any order
incorporated in a final decision issued under this Act
(except an order incorporated in a decision under
subsection (a)(1) or section 105(c)),
and thereby recklessly exposes a miner to significant risk of
serious injury, serious illness, or death, shall, upon
conviction, be fined not more than $1,000,000 or imprisoned for
not more than 5 years, or both, except that if the operator
commits the violation after having been previously convicted of
a violation under this paragraph, the operator shall, upon
conviction, be fined not more than $2,000,000, or imprisoned
for not more than 10 years, or both.
``(3) Criminal penalties for retaliation.--Whoever
knowingly--
``(A) with the intent to retaliate, interferes with
the lawful employment or livelihood of a person, or the
spouse, sibling, child, or parent of a person, because
any of them provides information to an authorized
representative of the Secretary, to a State or local
mine safety or health officer or official, or to other
law enforcement officer, in reasonable belief that the
information is true and related to an apparent health
or safety violation, or to an apparent unhealthful or
unsafe condition, policy, or practice under this Act,
or
``(B) interferes, or threatens to interfere, with
the lawful employment or livelihood of a person, or the
spouse, sibling, child, or parent of a person, with the
intent to prevent any of them from so providing such
information,
shall be fined under title 18 or imprisoned for not more than 5
years, or both.''.
TITLE IV--FIRST CONTRACT ARBITRATION
SEC. 401. FACILITATING INITIAL COLLECTIVE BARGAINING AGREEMENTS.
Section 8 of the National Labor Relations Act (29 U.S.C. 158) is
amended by adding at the end the following:
``(h) Whenever collective bargaining is for the purpose of
establishing an initial agreement following certification or
recognition, in lieu of subsection (d), the following shall apply:
``(1) Not later than 10 days after receiving a written
request for collective bargaining from an individual or labor
organization that has been newly organized or certified as a
representative as described in section 9(a), or within such
further period as the parties agree upon, the parties shall
meet and commence to bargain collectively and shall make every
reasonable effort to conclude and sign a collective bargaining
agreement.
``(2) If after the expiration of the 90-day period
beginning on the date on which bargaining is commenced, or such
additional period as the parties may agree upon, the parties
have failed to reach an agreement, either party may notify the
Federal Mediation and Conciliation Service of the existence of
a dispute and request mediation. Whenever such a request is
received, it shall be the duty of the Service promptly to put
itself in communication with the parties and to use its best
efforts, by mediation and conciliation, to bring them to
agreement.
``(3) If after the expiration of the 30-day period
beginning on the date on which the request for mediation is
made under paragraph (2), or such additional period as the
parties may agree upon, the Service is not able to bring the
parties to agreement by conciliation, the Service shall refer
the dispute to an arbitration board established in accordance
with such regulations as may be prescribed by the Service. The
arbitration panel shall render a decision settling the dispute
and such decision shall be binding upon the parties for a
period of 2 years, unless amended during such period by written
consent of the parties.''.
TITLE V--SHAREHOLDER EMPOWERMENT AND EXECUTIVE RESPONSIBILITY
SEC. 501. SHAREHOLDER VOTES ON EXECUTIVE COMPENSATION.
(a) Additional Votes Required if Resolution on Compensation Not
Approved by Shareholders.--Section 14A(a) of the Securities Exchange
Act of 1934 (15 U.S.C. 78n-1(a)) is amended by adding at the end the
following:
``(4) Additional votes required if resolution on
compensation not approved by shareholders.--
``(A) In general.--If a resolution required by
paragraph (1) or this subparagraph is not approved by
vote of the shareholders, the issuer shall call a
meeting of the shareholders at which there shall be,
separately for each executive officer whose
compensation was not approved in the earlier vote, a
shareholder vote on a separate resolution to approve
the compensation disclosed under subparagraph (B) with
respect to such executive officer.
``(B) Disclosure.--The proxy or consent or
authorization for a meeting required by subparagraph
(A) shall disclose--
``(i) pursuant to section 229.402 of title
17, Code of Federal Regulations, or any
successor thereto, the compensation of each
executive officer whose compensation will be
subject to approval at such meeting; and
``(ii) in a clear and simple form in
accordance with regulations to be promulgated
by the Commission, any arrangements, whether or
not written, that each such executive officer
has with the issuer concerning the terms under
which any type of compensation may be earned by
or awarded to the executive officer, including
in the future, unless such arrangements are
disclosed under clause (i).
``(C) Timing of votes.--
``(i) Initial vote.--The vote on the
initial resolution required by subparagraph (A)
with respect to an executive officer shall
occur not later than the end of the third
quarter of the same fiscal year of the issuer
in which the vote on the resolution required by
paragraph (1) occurs.
``(ii) Second vote.--If the initial
resolution required by subparagraph (A) with
respect to an executive officer is not approved
by the shareholders, the vote on the second
resolution required by such subparagraph with
respect to such executive officer shall occur
not later than the date that is 90 days after
the vote on the initial resolution required by
such subparagraph with respect to such
executive officer.
``(iii) Subsequent votes.--If the second
resolution required by subparagraph (A) with
respect to an executive officer, or any
subsequent resolution required by such
subparagraph with respect to such executive
officer, is not approved by the shareholders,
the vote on the next resolution required by
such subparagraph with respect to such
executive officer shall occur not later than
the date that is 90 days after the vote on the
previous resolution required by such
subparagraph with respect to such executive
officer.
``(D) Inapplicability.--Subparagraph (A) does not
apply with respect to an individual who is no longer an
executive officer of the issuer.''.
(b) Binding Effect of Votes on Frequency.--Section 14A(a)(2) of the
Securities Exchange Act of 1934 (15 U.S.C. 78n-1(a)(2)) is amended by
adding at the end the following: ``Such votes shall occur not less
frequently than so determined.''.
(c) Rules of Construction.--Section 14A(c) of the Securities
Exchange Act of 1934 (15 U.S.C. 78n-1(c)) is amended--
(1) in paragraph (2), by striking the semicolon and
inserting ``; or'';
(2) in paragraph (3), by striking ``; or'' and inserting a
period;
(3) by redesignating paragraphs (1) through (3) as
subparagraphs (A) through (C), respectively, and moving the
margins of such subparagraphs 2 ems to the right;
(4) by striking ``Rule of Construction.--The shareholder
vote referred to in subsections (a) and (b)'' and inserting the
following: ``Rules of Construction.--
``(1) In general.--Except for the shareholder vote required
by paragraph (2) of subsection (a), and except for the
requirement of paragraph (4) of such subsection for a
shareholder vote on a subsequent resolution after failure of a
previous resolution to be approved by the shareholders, a
shareholder vote required by subsection (a) or (b)''; and
(5) by striking ``(4) to restrict or limit'' and inserting
the following:
``(2) No effect on ability of shareholders to make
proposals.--A shareholder vote required by subsection (a) or
(b) may not be construed to restrict or limit''.
(d) Effective Date.--The amendments made by this section shall
apply to an issuer--
(1) with respect to an additional shareholder vote under
paragraph (4) of section 14A(a) of the Securities Exchange Act
of 1934, as added by subsection (a) of this section, beginning
with the first shareholder vote under paragraph (1) of such
section 14A(a) that occurs on or after the date that is 1 year
after the date of the enactment of this Act; and
(2) with respect to a shareholder vote under paragraph (2)
of such section 14A(a), beginning with the first such vote that
occurs on or after the date that is 1 year after the date of
the enactment of this Act.
SEC. 502. CEO AND CHAIRMAN OF THE BOARD OF DIRECTORS REQUIRED TO BE
DIFFERENT INDIVIDUALS.
(a) In General.--The Securities Exchange Act of 1934 (15 U.S.C. 78a
et seq.) is amended by inserting after section 39 the following:
``SEC. 40. CEO AND CHAIRMAN OF THE BOARD OF DIRECTORS REQUIRED TO BE
DIFFERENT INDIVIDUALS.
``(a) In General.--Except as provided in subsection (b), an issuer
that is required to prepare a proxy statement under section 14(a) may
not have the same individual simultaneously serving in the position of
chief executive officer (or any equivalent position) of such issuer and
chairman of the board of directors (or any equivalent position) of such
issuer, and an individual may not simultaneously serve in both such
positions.
``(b) Treatment of Small Capitalization Companies.--Subsection (a)
shall not apply in the case of a small capitalization company (as
defined by the Commission by regulation) if, by shareholder vote, the
shareholders elect for such subsection not to apply.''.
(b) Conforming Amendment.--The Securities Exchange Act of 1934 is
further amended by striking section 14B.
(c) Effective Date.--The amendments made by this section shall
apply beginning on the date that is 2 years after the date of the
enactment of this Act.
SEC. 503. EXTENSION OF CERTAIN REQUIREMENTS FOR DIRECTORS AND OFFICERS.
(a) In General.--Section 16 of the Securities Exchange Act of 1934
(15 U.S.C. 78p) is amended by adding at the end the following:
``(h) Persons Ceasing To Be Directors or Officers.--
``(1) Continued applicability of requirements.--During the
period beginning on the date on which a person ceases to be a
director or officer described in subsection (a)(1) with respect
to an issuer and ending on the date that is 1 year thereafter,
such person shall continue to be subject to this section
(except as provided in paragraph (2)) in the same manner and to
the same extent as if such person had not so ceased.
``(2) Prohibition on selling more than 25 percent of stock
of issuer.--If a person ceases to be a director or officer
described in subsection (a)(1) with respect to an issuer, such
person may not, during the period that begins on the first day
of the last full fiscal quarter of the issuer in which such
person is such a director or officer and ends on the date that
is 1 year after the date on which such person so ceases, sell
more than 25 percent of the equity securities of such issuer
(other than an exempted security) that such person owns on the
first day of such period.''.
(b) Conforming Amendment.--Section 16(d) of the Securities Exchange
Act of 1934 (15 U.S.C. 78p(d)) is amended by striking ``subsection
(c)'' and inserting ``subsections (c) and (h)(2)''.
(c) Effective Date.--The amendments made by this section shall
apply to a person who ceases to be a director or officer described in
section 16(a)(1) of the Securities Exchange Act of 1934 after the date
that is 1 year after the date of the enactment of this Act.
TITLE VI--PREVENTION OF TAXPAYER DOLLARS BEING USED FOR LABOR BUSTING
SEC. 601. LIMITATION ON THE ALLOWABILITY OF COSTS.
(a) Amendment.--Chapter 43 of division C of subtitle I of title 41,
United States Code, is amended by adding at the end the following new
section:
``Sec. 4311. Limitation on the allowability of costs
``(a) In General.--Costs incurred by a contractor relating to any
covered activity are not allowable as reimbursable costs under a
contract entered into by an executive agency. Such unallowable costs
shall be excluded from any billing, claim, proposal, or disbursement
applicable to any such contract.
``(b) Covered Activities.--For purposes of subsection (a), a
covered activity, with respect to a contract entered into by an
executive agency, includes any activity undertaken to persuade
employees of the contractor to exercise or not to exercise, or
concerning the manner of exercising, rights to organize and bargain
collectively through representatives of the employees' own choosing,
and includes the following:
``(1) Preparing and distributing materials.
``(2) Hiring or consulting legal counsel or consultants.
``(3) Holding meetings (including paying the salaries of
the attendees at meetings held for this purpose).
``(4) Planning or conducting activities by managers,
supervisors, or union representatives during work hours.
``(c) Exception.--The costs described in subsection (a) do not
include costs of maintaining satisfactory relations between the
contractor and its employees, including costs of labor-management
committees, employee publications (other than those undertaken to
persuade employees to exercise or not to exercise, or concerning the
manner of exercising, the right to organize and bargain collectively),
and other related activities.''.
(b) Technical and Conforming Amendment.--The table of sections at
the beginning of chapter 43 of division C of subtitle I of title 41,
United States Code, is amended by adding after the item relating to
section 4310 the following new item:
``4311. Limitation on the allowability of costs.''.
(c) Existing FAR Application.--Section 31.205-21 of title 48, Code
of Federal Regulations (relating to labor relations costs), shall be
considered to implement the provisions of section 4311 of title 41,
United States Code, as added by subsection (a), and may be revised as
necessary.
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