I 

116TH CONGRESS 

1ST SESSION H. R. 3197 

To amend the Fair Labor Standards Act of 1938 to establish a minimum 

salary threshold for bona fide executive, administrative, and professional 

employees exempt from Federal overtime compensation requirements, 

and automatically update such threshold every 3 years. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 11, 2019 

Mr. TAKANO (for himself, Mr. SCOTT of Virginia, Ms. ADAMS, Ms. WILSON

of Florida, Ms. KAPTUR, Ms. WASSERMAN SCHULTZ, Ms. SCHAKOWSKY, 

Mr. ESPAILLAT, Mr. RYAN, Ms. WATERS, Mr. PALLONE, Mr. PASCRELL, 

Mr. BRENDAN F. BOYLE of Pennsylvania, Ms. DELAURO, Mr. SERRANO, 

Mr. GRIJALVA, Ms. BONAMICI, Mr. CUMMINGS, Mr. DESAULNIER, Ms. 

OMAR, Mr. POCAN, Ms. NORTON, Ms. LEE of California, Mr. THOMPSON

of Mississippi, Ms. HAALAND, Ms. JAYAPAL, Mrs. WATSON COLEMAN, 

Mr. RASKIN, Ms. BARRAGA ́N, Mrs. DAVIS of California, Mr. DANNY K. 

DAVIS of Illinois, Mr. SIRES, Mr. LEVIN of Michigan, Mr. KHANNA, Mr. 

SMITH of Washington, Ms. TLAIB, Mr. BEYER, Ms. WILD, Ms. 

MUCARSEL-POWELL, Mr. KENNEDY, Mrs. NAPOLITANO, Mr. NADLER, 

Mr. COHEN, Mr. PAYNE, Mr. GARCI ́A of Illinois, Mr. NORCROSS, and Ms. 

PRESSLEY) introduced the following bill; which was referred to the Committee on Education and Labor 

A BILL 

To amend the Fair Labor Standards Act of 1938 to establish 

a minimum salary threshold for bona fide executive, administrative, and professional employees exempt from 

Federal overtime compensation requirements, and automatically update such threshold every 3 years. 


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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 ‘‘Restoring Overtime 

5 Pay Act of 2019’’. 

6 SEC. 2. MINIMUM SALARY THRESHOLD FOR BONA FIDE EX7 ECUTIVE, ADMINISTRATIVE, AND PROFES8 SIONAL EMPLOYEES EXEMPT FROM FEDERAL 

9 OVERTIME COMPENSATION REQUIREMENTS. 

10 (a) IN GENERAL.—Section 13 of the Fair Labor 

11 Standards Act of 1938 (29 U.S.C. 213) is amended— 

12 (1) in subsection (a)(1)— 

13 (A) by inserting ‘‘subsection (k) and’’ after 

14 ‘‘subject to’’; and 

15 (B) by inserting ‘‘(except as provided 

16 under subsection (k)(2)(C))’’ after ‘‘Administra17 tive Procedure Act’’; and 

18 (2) by adding at the end the following: 

19 ‘‘(k) MINIMUM SALARY THRESHOLD.— 

20 ‘‘(1) IN GENERAL.—Beginning on the effective 

21 date of the Restoring Overtime Pay Act of 2019, the 

22 Secretary shall require that an employee described in 

23 subsection (a)(1), as a requirement for exemption 

24 under such subsection, be compensated on a salary 

25 basis, or equivalent fee basis, within the meaning of 


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1 such terms in subpart G of part 541 of title 29, 

2 Code of Federal Regulations (or any successor regu3 lation), at a rate per week that is not less than the 

4 salary threshold under paragraph (2). 

5 ‘‘(2) SALARY THRESHOLD.— 

6 ‘‘(A) IN GENERAL.—Subject to subpara7 graphs (B) and (C), the salary threshold shall 

8 be an amount that is equal to the 40th per9 centile of earnings of full-time salaried workers 

10 in the lowest-wage census region, as determined 

11 by the Bureau of Labor Statistics based on 

12 data from the second quarter of the calendar 

13 year preceding the calendar year in which such 

14 amount takes effect. 

15 ‘‘(B) INCREASED THRESHOLD.—The Sec16 retary may establish, through notice and com17 ment rulemaking under section 553 of title 5, 

18 United States Code, a salary threshold that is 

19 an amount that— 

20 ‘‘(i) is greater than the 40th per21 centile of earnings of the full-time salaried 

22 workers described in subparagraph (A); 

23 and 

24 ‘‘(ii) is calculated based on a data set 

25 and methodology established by the SecVerDate Sep 11 2014 04:24 Jun 14, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3197.IH H3197

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1 retary that are capable of being updated in 

2 accordance with subparagraph (C). 

3 ‘‘(C) AUTOMATIC UPDATES.— 

4 ‘‘(i) IN GENERAL.—Not later than 3 

5 years after the salary threshold first takes 

6 effect under subparagraph (A), and every 

7 3 years thereafter, or, in the case in which 

8 the Secretary establishes an increased sal9 ary threshold under subparagraph (B), 

10 every 3 years after establishing such in11 creased salary threshold, the Secretary 

12 shall update the amount of the salary 

13 threshold in effect under subparagraph (A) 

14 or (B), as applicable, so that such amount 

15 is equal to— 

16 ‘‘(I) in the case in which the Sec17 retary does not establish an increased 

18 salary threshold under subparagraph 

19 (B), the 40th percentile of earnings of 

20 full-time salaried workers in the low21 est-wage census region, as determined 

22 by the Bureau of Labor Statistics 

23 based on data from the second quar24 ter of the calendar year preceding the 


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1 calendar year in which such updated 

2 amount is to take effect; and 

3 ‘‘(II) in the case in which the 

4 Secretary establishes an increased sal5 ary threshold under subparagraph 

6 (B), the greater of— 

7 ‘‘(aa) the 40th percentile de8 scribed in subclause (I); and 

9 ‘‘(bb) the increased salary 

10 threshold established under sub11 paragraph (B), as updated in ac12 cordance with the data set and 

13 methodology established by the 

14 Secretary under subparagraph 

15 (B)(ii). 

16 ‘‘(ii) NONAPPLICABILITY OF RULE17 MAKING.—Any update described in this 

18 subparagraph shall not be subject to the 

19 requirements of notice and comment rule20 making under section 553 of title 5, 

21 United States Code. 

22 ‘‘(D) NOTICE REQUIREMENT.—Not later 

23 than 60 days before a revised salary threshold 

24 under this paragraph takes effect, the Secretary 

25 shall publish a notice announcing the amount in 


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1 the Federal Register and on the internet 

2 website of the Department of Labor. 

3 ‘‘(3) DUTIES TEST.—The Secretary shall, in 

4 addition to the requirement under paragraph (1), 

5 continue to require employees to satisfy a duties 

6 test, as prescribed by the Secretary, in defining and 

7 delimiting the terms described in subsection (a)(1).’’. 

8 (b) PUBLICATION OF EARNINGS.—Not later than 21 

9 days after the end of each calendar quarter, the Bureau 

10 of Labor Statistics shall publish on its public website, for 

11 each week of such quarter, data on the weekly earnings 

12 of nonhourly, full-time salaried workers by census region 

13 (as designated by the Bureau of the Census). 

14 (c) EFFECTIVE DATE.—This Act, and the amend15 ments made by this Act, shall take effect on the first day 

16 of the third month that begins after the date of enactment 

17 of this Act. 

Æ 


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