sale, on a continuous basis, a variety of foods in 
each of the following categories of staple foods, in-
cluding perishable foods in at least two of the cat-
egories: 
(A) Meat, poultry, or fish. 
(B) Breads and cereals. 
(C) Vegetables and fruits. 
(D) Dairy products. 
(5) GROCERY
STORE
EMPLOYEE.—The term 
‘‘grocery store employee’’ means an employee who is 
employed by a grocery store. 
(6) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Labor. 
(7) STATE.—The term ‘‘State’’ has the mean-
ing given such term in section 3 of the Fair Labor 
Standards Act of 1938 (29 U.S.C. 203). 
SEC. 3. PROHIBITION ON COVENANTS NOT TO COMPETE 
AND OTHER AGREEMENTS RESTRICTING THE 
MOBILITY OF GROCERY STORE EMPLOYEES. 
(a) COVENANT NOT TO COMPETE.— 
(1) IN GENERAL.—No employer shall enter into 
a covenant not to compete with any grocery store 
employee of such employer, who in any workweek is 
engaged in commerce or in the production of goods 
for commerce (or is employed in an enterprise en-
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gaged in commerce or in the production of goods for 
commerce). 
(2) NOTICE.—An employer subject to sub-
section (a) shall post, in a conspicuous place on the 
premises of such employer, a notice of the prohibi-
tion set forth in such subsection. 
(b) PURCHASE AGREEMENTS.—No employer who 
owns or operates at least one grocery store may, in con-
junction with the purchase of one or more grocery stores 
owned or operated by another employer, include in any 
agreement between such employers any provision that re-
stricts either employer from hiring a grocery store em-
ployee of the other employer. 
SEC. 4. GROCERY STORE EMPLOYEE RETENTION OF SE-
NIORITY AND BENEFITS AFTER ACQUISITION 
OR MERGER. 
An employer who acquires the operations of another 
employer (hereafter referred to as the former employer) 
and retains in employment a grocery store employee of the 
former employer at the same grocery store of the former 
employer shall continue to recognize, for all employment 
purposes, the seniority of such grocery store employee, 
and, to the extent practicable, make available to such em-
ployees any benefits made available by the former em-
ployer. 
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SEC. 5. ENFORCEMENT. 
(a) IN GENERAL.—The Secretary shall receive, inves-
tigate, attempt to resolve, and enforce a complaint of a 
violation of section 3 or 4 in the same manner that the 
Secretary receives, investigates, and attempts to resolve 
a complaint of a violation of section 6 or 7 of the Fair 
Labor Standards Act of 1938 (29 U.S.C. 206 and 207), 
subject to subsection (b). 
(b) CIVIL FINE.— 
(1) MAXIMUM FINE.—The Secretary shall im-
pose a civil fine— 
(A) with respect to any employer who vio-
lates section 3(a) or 4, an amount not to exceed 
$5,000 for each employee who was the subject 
of such violation; and 
(B) with respect to any employer who vio-
lates section 3(b), an amount not to exceed 
$5,000. 
(2) 
CONSIDERATION.—In 
determining 
the 
amount of any civil fine under this subsection, the 
Secretary shall consider the appropriateness of the 
fine to the size of the employer subject to such fine 
and the gravity of the applicable violation. 
Æ 
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