Page 99 TITLE 29—LABOR § 252

Sec.

258. Reliance on past administrative rulings, etc.

259. Reliance in future on administrative rulings,

etc.

260. Liquidated damages.

261. Applicability of ‘‘area of production’’ regulations.

262. Definitions.

§ 251. Congressional findings and declaration of

policy

(a) The Congress finds that the Fair Labor

Standards Act of 1938, as amended [29 U.S.C. 201

et seq.], has been interpreted judicially in disregard of long-established customs, practices,

and contracts between employers and employees, thereby creating wholly unexpected liabilities, immense in amount and retroactive in operation, upon employers with the results that, if

said Act as so interpreted or claims arising

under such interpretations were permitted to

stand, (1) the payment of such liabilities would

bring about financial ruin of many employers

and seriously impair the capital resources of

many others, thereby resulting in the reduction

of industrial operations, halting of expansion

and development, curtailing employment, and

the earning power of employees; (2) the credit of

many employers would be seriously impaired; (3)

there would be created both an extended and

continuous uncertainty on the part of industry,

both employer and employee, as to the financial

condition of productive establishments and a

gross inequality of competitive conditions between employers and between industries; (4) employees would receive windfall payments, including liquidated damages, of sums for activities performed by them without any expectation

of reward beyond that included in their agreed

rates of pay; (5) there would occur the promotion of increasing demands for payment to

employees for engaging in activities no compensation for which had been contemplated by

either the employer or employee at the time

they were engaged in; (6) voluntary collective

bargaining would be interfered with and industrial disputes between employees and employers

and between employees and employees would be

created; (7) the courts of the country would be

burdened with excessive and needless litigation

and champertous practices would be encouraged;

(8) the Public Treasury would be deprived of

large sums of revenues and public finances

would be seriously deranged by claims against

the Public Treasury for refunds of taxes already

paid; (9) the cost to the Government of goods

and services heretofore and hereafter purchased

by its various departments and agencies would

be unreasonably increased and the Public Treasury would be seriously affected by consequent

increased cost of war contracts; and (10) serious

and adverse effects upon the revenues of Federal, State, and local governments would occur.

The Congress further finds that all of the foregoing constitutes a substantial burden on commerce and a substantial obstruction to the free

flow of goods in commerce.

The Congress, therefore, further finds and declares that it is in the national public interest

and for the general welfare, essential to national

defense, and necessary to aid, protect, and foster

commerce, that this chapter be enacted.

The Congress further finds that the varying

and extended periods of time for which, under

the laws of the several States, potential retroactive liability may be imposed upon employers,

have given and will give rise to great difficulties

in the sound and orderly conduct of business and

industry.

The Congress further finds and declares that

all of the results which have arisen or may arise

under the Fair Labor Standards Act of 1938, as

amended, as aforesaid, may (except as to liability for liquidated damages) arise with respect to

the Walsh-Healey [41 U.S.C. 35 et seq.] and

Bacon-Davis [40 U.S.C. 276a et seq.] Acts and

that it is, therefore, in the national public interest and for the general welfare, essential to national defense, and necessary to aid, protect,

and foster commerce, that this chapter shall

apply to the Walsh-Healey Act and the BaconDavis Act.

(b) It is declared to be the policy of the Congress in order to meet the existing emergency

and to correct existing evils (1) to relieve and

protect interstate commerce from practices

which burden and obstruct it; (2) to protect the

right of collective bargaining; and (3) to define

and limit the jurisdiction of the courts.

(May 14, 1947, ch. 52, §1, 61 Stat. 84.)

REFERENCES IN TEXT

The Fair Labor Standards Act of 1938, as amended, referred to in subsec. (a), is act June 25, 1938, ch. 676, 52

Stat. 1060, as amended, which is classified generally to

chapter 8 (§201 et seq.) of this title. For complete classification of this Act to the Code, see section 201 of this

title and Tables.

This chapter, referred to in subsec. (a), was in the

original ‘‘this Act’’, meaning act May 14, 1947, ch. 52, 61

Stat. 84, as amended, known as the Portal-to-Portal

Act of 1947, which enacted this chapter and amended

section 216 of this title. For complete classification of

this Act to the Code, see Short Title note set out below

and Tables.

The Walsh-Healey and Bacon-Davis Acts, referred to

in subsec. (a), are defined for purposes of this chapter

in section 262 of this title.

SHORT TITLE OF 1996 AMENDMENT

Pub. L. 104–188, [title II], §2101, Aug. 20, 1996, 110 Stat.

1928, provided that: ‘‘This section and sections 2102

[amending section 254 of this title] and 2103 [enacting

provisions set out as a note under section 254 of this

title] may be cited as the ‘Employee Commuting Flexibility Act of 1996’.’’

SHORT TITLE

Section 15 of act May 14, 1947, provided that: ‘‘This

Act [enacting this chapter and amending section 216 of

this title] may be cited as the ‘Portal-to-Portal Act of

1947’.’’

SEPARABILITY

Section 14 of act May 14, 1947, provided: ‘‘If any provision of this Act [see Short Title note above] or the application of such provision to any person or circumstance is held invalid, the remainder of this Act and

the application of such provision to other persons or

circumstances shall not be affected thereby.’’

§ 252. Relief from certain existing claims under

the Fair Labor Standards Act of 1938, as

amended, the Walsh-Healey Act, and the

Bacon-Davis Act

(a) Liability of employer

No employer shall be subject to any liability

or punishment under the Fair Labor Standards