I 

111TH CONGRESS 

1ST SESSION H. R. 1334 

To provide for livable wages for Federal Government workers and workers 

hired under Federal contracts. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 5, 2009 

Mr. GUTIERREZ (for himself, Ms. CORRINE BROWN of Florida, Ms. BALDWIN, 

and Mr. HINCHEY) introduced the following bill; which was referred to 

the Committee on Oversight and Government Reform, and in addition to 

the Committee on Education and Labor, 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 provide for livable wages for Federal Government workers 

and workers hired under Federal contracts. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Federal Living Wage 

5 Responsibility Act’’. 

6 SEC. 2. POVERTY-LEVEL WAGE. 

7 (a) GENERAL RULE.—Notwithstanding any other 

8 law that does not specifically exempt itself from this Act 


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1 and except as provided in subsection (b), the Federal Gov2 ernment and any employer under a Federal contract for 

3 an amount exceeding $10,000 (or a subcontract under 

4 such a contract) shall pay to each of their respective work5 ers— 

6 (1) an hourly wage (or salary equivalent) suffi7 cient for a worker to earn, while working 40 hours 

8 a week on a full-time basis, not less than the 

9 amount of the Federal poverty level for a family of 

10 four (as published in the Federal Register by the 

11 Department of Health and Human Services under 

12 the authority of section 673(2) of the Community 

13 Services Block Grant Act (42 U.S.C. 9902(2))); and 

14 (2) an additional amount, determined by the 

15 Secretary based on the locality in which a worker re16 sides, sufficient to cover the costs to such worker to 

17 obtain any fringe benefits not provided by the work18 er’s employer. 

19 (b) EXEMPTIONS.—Subsection (a) does not apply to 

20 the following: 

21 (1) A small-business concern (as that term is 

22 used in section 3 of the Small Business Act (15 

23 U.S.C. 632)). 

24 (2) A nonprofit organization exempt from Fed25 eral income tax under section 501(c) of the Internal 


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1 Revenue Code of 1986 (26 U.S.C. 501(c)), if the 

2 ratio of the total wages of the chief executive officer 

3 of such organization to the wages of the full-time 

4 equivalent of the lowest paid worker is not greater 

5 than 25 to 1. 

6 (c) RETALIATION PROHIBITED.—It shall be unlawful 

7 for any employer subject to subsection (a) to terminate 

8 or suspend the employment of a worker on the basis of 

9 such worker’s allegation of a violation of subsection (a). 

10 (d) CONTRACT REQUIREMENT.—Any contract sub11 ject to subsection (a) shall contain a provision requiring 

12 the Federal contractor to ensure that any worker hired 

13 under such contract (or a subcontract thereof) shall be 

14 paid in accordance with subsection (a). 

15 SEC. 3. ENFORCEMENT BY SECRETARY. 

16 (a) IN GENERAL.—If the Secretary determines (in a 

17 written finding setting forth a detailed explanation of such 

18 determination), after notice and an opportunity for a hear19 ing on the record, that a Federal contractor (or any sub20 contractor thereof) subject to section 2 has engaged in a 

21 pattern or practice of violations of section 2, the following 

22 shall apply to such Federal contractor: 

23 (1) CONTRACT CANCELLATION.—After final ad24 judication of a pattern or practice of violations, the 

25 United States may cancel any contract (or the reVerDate Nov 24 2008 22:43 Mar 06, 2009 Jkt 079200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1334.IH H1334

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1 mainder thereof) with the Federal contractor that is 

2 a part of the pattern or practice of violations. 

3 (2) RESTITUTION.—A Federal contractor whose 

4 contract is canceled under paragraph (1) shall be 

5 liable to the United States in an amount equal to 

6 the costs to the Government in obtaining a replace7 ment contractor to cover the remainder of any con8 tract canceled under paragraph (1). 

9 (3) CONTRACT INELIGIBILITY.—After final ad10 judication of a pattern or practice of violations, the 

11 Federal contractor shall be ineligible to enter into, 

12 extend, or renew a contract with the United States 

13 for a period of five years after the date of such adju14 dication. 

15 (4) PUBLICATION.—Not later than 90 days 

16 after final adjudication of a pattern or practice of 

17 violations, the Secretary shall publish in the Federal 

18 Register a notice describing the ineligibility of the 

19 Federal contractor under paragraph (3). 

20 (b) SAFE HARBOR.—Subsection (a) shall not apply 

21 if— 

22 (1) the Federal contractor has entered into a 

23 consent agreement with the Secretary with regard to 

24 a pattern or practice of violations of section 2 and 


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1 has paid to any aggrieved workers all wages due 

2 them, to the satisfaction of the Secretary; or 

3 (2) the Secretary determines, after consultation 

4 with the affected Government entity, that cancella5 tion or debarment under subsection (a) would not be 

6 in the best interests of the Nation or of such Gov7 ernment entity. 

8 (c) JUDICIAL REVIEW.—Any Federal contractor ag9 grieved by an adverse determination of the Secretary 

10 under subsection (a) may seek review of such determina11 tion in an appropriate court. 

12 SEC. 4. EMERGENCIES. 

13 The President may suspend the provisions of this Act 

14 in times of emergency. 

15 SEC. 5. PRIVATE RIGHT OF ACTION. 

16 (a) ACTION.—A worker aggrieved by a violation of 

17 section 2 may, in a civil action, recover appropriate relief. 

18 A civil action under this section shall be filed not later 

19 than 2 years after the commission of such violation. A civil 

20 action may not be brought under this section if an em21 ployer subject to section 2 has paid or reinstated the work22 er as a result of an administrative action under section 

23 3. 

24 (b) RELIEF.—In this section, the term ‘‘appropriate 

25 relief’’ means— 


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1 (1) injunction of a violation of section 2; 

2 (2) actual damages or, if the court finds that 

3 the employer willfully violated section 2, three times 

4 actual damages; 

5 (3) reasonable attorney fees and the costs of 

6 the action; and 

7 (4) any other relief the court deems appropriate 

8 in the circumstances of the case. 

9 SEC. 6. RULEMAKING. 

10 The Secretary shall make rules to carry out this Act, 

11 which shall take effect not later than 120 days after the 

12 date of enactment of this Act. 

13 SEC. 7. DEFINITIONS. 

14 In this Act— 

15 (1) the term ‘‘employer’’ means a person who 

16 has economic power to set a worker’s terms and con17 ditions of employment, regardless of the formality of 

18 an employment relationship; 

19 (2) the term ‘‘fringe benefits’’ means— 

20 (A) medical or hospital care or contribu21 tions to a health insurance plan; 

22 (B) contributions to a retirement plan; 

23 (C) life insurance; 

24 (D) disability insurance; and 

25 (E) vacation and holiday pay; and 


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1 (3) the term ‘‘Secretary’’ means the Secretary 

2 of Labor. 

Æ 


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