I 
114TH CONGRESS 
2D SESSION 
H. R. 4376 
To amend the Fair Labor Standards Act of 1938 to require certain 
disclosures be included on employee pay stubs, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 13, 2016 
Mr. SCOTT of Virginia introduced the following bill; which was referred to the 
Committee on Education and the Workforce 
A BILL 
To amend the Fair Labor Standards Act of 1938 to require 
certain disclosures be included on employee pay stubs, 
and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Pay Stub Disclosure 
Act’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) The lack of a Federal requirement to pro-
vide employees with pay stubs indicating how their 
pay is calculated or to allow employee inspections of 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
employers’ payroll records significantly impedes ef-
forts to identify and challenge wage and hour viola-
tions. 
(2) In a survey of 4,387 low-wage workers in 
New York, Los Angeles, and Chicago, more than a 
quarter of workers were paid less than the minimum 
wage and among those who worked more than 40 
hours per week, more than three-quarters were not 
paid overtime. Fifty-seven percent of these workers 
reported that they did not receive a pay stub in the 
previous week. 
(3) Some employers are increasingly engaging 
in practices that make it extremely difficult for 
workers to calculate their pay, including paying 
workers in cash or by personal checks. 
(4) While the Fair Labor Standards Act of 
1938 and the regulations of the Department of 
Labor require employers to keep records of employ-
ees’ pay, the lack of remedies diminishes the effec-
tiveness of this requirement. 
(5) The Supreme Court held in Anderson v. Mt. 
Clemens Pottery Co. (328 U.S. 680 (1946)) that 
where an employer fails to keep records that are re-
quired under the Fair Labor Standards Act of 1938, 
when an employee presents sufficient evidence of the 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
‘‘amount and extent of that work’’, for which the 
employee was ‘‘improperly compensated’’ the burden 
shifts to the employer to disprove the employee’s tes-
timony and evidence of the hours the employee 
worked and how much he or she was paid. 
(6) Far too many courts have failed to shift the 
burden to the employer, where the employer has 
failed to keep records or has kept inadequate 
records, instead giving the employer’s testimony 
equal weight to credible evidence produced by the 
employee. 
SEC. 3. PAY STUB REQUIREMENTS. 
(a) DISCLOSURE REQUIREMENTS.—Section 11 of the 
Fair Labor Standards Act of 1938 (29 U.S.C. 211) is 
amended by adding at the end the following: 
‘‘(e) INFORMATION TO BE DISCLOSED TO CERTAIN 
EMPLOYEES.— 
‘‘(1) INITIAL
DISCLOSURE.—Each employer 
shall provide an initial disclosure to each employee 
who is not subject to the exemptions set forth in sec-
tion 13 within 15 days of the date such employee is 
hired or any of the information in subparagraphs 
(A) through (C) changes with respect to that em-
ployee. Such disclosure shall include— 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
‘‘(A) the rate or rates of pay and whether 
the employee is paid by the hour, shift, day, 
week, or job, or by salary, piece rate, commis-
sion, or other form of compensation; 
‘‘(B) the name of the employer and any 
other name used by the employer to conduct 
business; and 
‘‘(C) the physical address and telephone 
number of the employer’s main office or prin-
cipal place of business, and a mailing address 
if such mailing address is different from the ad-
dress of the main office or principal place of 
business. 
‘‘(2) DISCLOSURES REQUIRED
IN EACH PAY 
STUB.—Each employer shall disclose to each em-
ployee who is not subject to the exemptions set forth 
in section 13 in a pay stub provided each pay pe-
riod— 
‘‘(A) the pay period covered; 
‘‘(B) the name of the employee and the 
last four digits of the employee’s Social Security 
number; 
‘‘(C) the total hours worked by the em-
ployee, including the number of hours worked 
per workweek in the pay period; 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
‘‘(D)(i) in the case of an employee who is 
paid an hourly wage, the total gross and net 
wages paid, and the rate of pay for each hour 
worked; 
‘‘(ii) in the case of an employee who is 
paid a salary in lieu of an hourly wage, the 
amount of salary paid during the pay period; 
‘‘(iii) in the case of an employee employed 
at piece rate, the number of piece-rate units 
earned, the applicable piece rate, and total 
amount paid in accordance with such piece rate; 
and 
‘‘(iv) in the case of an employee who re-
ceives commission or is paid on the basis of any 
other type of rate, the total amount paid in 
commission or in accordance with such rate and 
any additional information relating to such pay 
as determined by the Secretary; 
‘‘(E) the number of overtime hours worked 
during each workweek of the pay period and the 
hourly rate of pay for each such overtime hour, 
or, in the case of an employee employed at piece 
rate, the piece rate paid for each such overtime 
hour; 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
‘‘(F) any additional compensation paid or 
benefits provided, including an explanation of 
each type of compensation or benefit; and 
‘‘(G) any deductions, with an explanation 
of each deduction, and any allowances or reim-
bursements, with an explanation of each allow-
ance or reimbursement. 
‘‘(3) REQUIREMENTS RELATED TO DISCLOSURE OF 
COMPENSATION, BENEFITS, ALLOWANCES, AND REIM-
BURSEMENTS.—In disclosing the information required to 
be disclosed pursuant to subparagraphs (F) and (G) of 
paragraph (2)— 
‘‘(A) the compensation and benefits required to 
be disclosed include— 
‘‘(i) any bonus, paid leave (including paid 
vacation or personal time, paid sick leave, or 
any other paid leave), or other compensation; 
‘‘(ii) any employer contributions to health 
care coverage or to a retirement account for the 
employee and any transit or other benefits pro-
vided by the employer; and 
‘‘(iii) any additional form of pay that is re-
quired under State or local law, or for which 
records are required to be kept pursuant to 
State or local law, such as reporting time pay, 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
split shift pay, paid sick leave, or paid family 
or medical leave. 
‘‘(B) the allowances and reimbursements re-
quired to be disclosed include any amounts paid to 
or reimbursed to an employee for meals, clothing, 
lodging, or any other item for which the employer 
makes an allowance or provides a reimbursement; 
and 
‘‘(C) the explanation for any additional com-
pensation, benefits, allowances, or reimbursements 
shall be itemized and may not be described as ‘mis-
cellaneous’. 
‘‘(4) FORM OF DISCLOSURE REQUIRED.—The pay 
stub required by paragraph (2) shall be provided to an 
employee each pay period and may be provided— 
‘‘(A) as a separate document, accompanying an 
employee’s pay; 
‘‘(B) as a detachable part of a paycheck for em-
ployees receiving a paycheck; or 
‘‘(C) electronically, at the election of the em-
ployee, if the employee receives his or her pay 
through electronic deposit.’’. 
(b) RECORDKEEPING REQUIREMENTS.—Section 11 
of such Act is further amended by adding at the end of 
subsection (c) the following: ‘‘An employer shall keep 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
records of the information disclosed in an employee’s pay 
stub, as required by subsection (e), for a period of three 
years from the date of issuance of each pay stub.’’. 
(c) INVESTIGATIONS AND INSPECTIONS.—Section 11 
of such Act is further amended by adding at the end of 
subsection (a) the following: ‘‘In the event that an em-
ployee requests an inspection of such employee’s records 
described in subsection (c), the employer shall provide cop-
ies of such records for a period of up to three years prior 
to such request. An employer shall comply with an employ-
ee’s requests to inspect records within 21 days of such 
request.’’. 
(d) NOTICE AND POSTING REQUIREMENT.—Section 
11 of such Act is further amended by inserting after sub-
section (e) (as added by subsection (a)) the following: 
‘‘(f)(1) Every employer subject to any provision of 
this Act or of any order issued under this Act shall provide 
a notice to each employee within 15 days of the date of 
hire that includes— 
‘‘(A) a description of the employee’s right 
to receive a pay stub and the information which 
the pay stub must contain; 
‘‘(B) the address and telephone number for 
the applicable local office of the Department of 
Labor; and 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
‘‘(C) such additional information as the 
Secretary shall require by regulation. 
‘‘(2) In the case of employees employed by an em-
ployer on the date of enactment of this Act, the employer 
shall provide the notice described in paragraph (1) within 
15 days of the effective date of the Pay Stub Disclosure 
Act.’’. 
(e) CONFORMING AMENDMENT.—The section head-
ing of section 11 of such Act is amended by inserting 
‘‘PAY STUB DISCLOSURES,’’ after ‘‘RECORDS,’’. 
SEC. 4. ENFORCEMENT. 
(a) IN GENERAL.—Section 16 of the Fair Labor 
Standards Act of 1938 is further amended— 
(1) in subsection (b)— 
(A) by inserting after the second sentence 
the following: ‘‘An employer who violates sub-
sections (e) or (f) of section 11 shall be liable 
to the affected employee for $50 for the initial 
pay period in which such a violation occurs and 
$100 per employee for each violation in a sub-
sequent pay period, not to exceed an aggregate 
of $4,000 per employee.’’; and 
(B) by striking ‘‘either of the preceding 
sentences’’ and inserting ‘‘any of the preceding 
sentences’’; 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
(2) in subsection (e)— 
(A) 
by 
redesignating 
paragraphs 
(3) 
through (5) as paragraphs (4) through (6), re-
spectively; and 
(B) by inserting after paragraph (2) the 
following: 
‘‘(3) An employer who fails to make, keep, and pre-
serve records as required by section 11(c), or fails to per-
mit a current or former employee to inspect or copy 
records as required by section 11(a), shall be subject to 
a civil penalty of $750 per violation.’’; and 
(3) by adding at the end the following: 
‘‘(f) The Secretary shall have the authority, in ac-
cordance with inflation, to periodically increase the 
amounts provided for in this section as penalties or recov-
erable in an action described in subsection (b).’’. 
(b) EVIDENTIARY STANDARDS.—Section 15 of such 
Act (29 U.S.C. 215) is amended by adding at the end the 
following: 
‘‘(c) In the event that an employer fails to keep suffi-
cient records as required by section 11(c) and any related 
regulations, the employee’s production of credible evidence 
and testimony regarding the amount and extent of the 
work for which the employee was improperly compensated 
shall be sufficient to create a rebuttable presumption that 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
the employee’s records are accurate, consistent with the 
Supreme Court’s decision in Anderson v. Mt. Clemens 
Pottery Co. (328 U.S. 680 (1946)).’’. 
SEC. 5. DEFINITIONS. 
Section 3 of the Fair Labor Standards Act of 1938 
29 U.S.C. 203) is amended by adding at the end the fol-
lowing: 
‘‘(z) ‘Pay stub’ means a paper that itemizes in writ-
ing all wages and deductions paid to an employee each 
pay period.’’. 
SEC. 6. REGULATIONS AND TECHNICAL ASSISTANCE. 
(a) REGULATIONS.—Not later than 1 year after the 
date of enactment of this Act, the Secretary of Labor shall 
prescribe such regulations as are necessary to carry out 
this Act, including a list of State and local laws— 
(1) with requirements that are substantially 
similar to the requirements of this Act; and 
(2) compliance with which the Secretary may 
determine satisfies the requirements of this Act. 
(b) GUIDANCE
AND TECHNICAL ASSISTANCE.—In 
order to achieve the objectives of this Act, the Secretary 
of Labor— 
(1) acting through the Administrator of the 
Wage and Hour Division of the Department of 
Labor, shall issue guidance on compliance with this 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS
Act regarding providing the disclosures required 
pursuant to this Act; and 
(2) shall provide technical assistance to employ-
ers, labor organizations, professional associations, 
and other interested persons on means of achieving 
and maintaining compliance with the provisions of 
this Act. 
SEC. 7. EFFECTIVE DATE. 
The amendments made by this Act shall take effect 
on the date that is 6 months after final regulations are 
issued by the Secretary of Labor and not later than 18 
months after the date of enactment of this Act. 
Æ 
VerDate Sep 11 2014 
21:33 Jan 13, 2016
Jkt 059200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6301
E:\BILLS\H4376.IH
H4376
mstockstill on DSK4VPTVN1PROD with BILLS