I 
118TH CONGRESS 
1ST SESSION H. R. 2612 
To require the Securities and Exchange Commission to extend exemptions 
for securities offered as part of employee pay to other individuals pro-
viding goods for sale, labor, or services for remuneration, to preempt 
certain provisions of State law with respect to wage rates and benefits, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 13, 2023 
Mr. MCHENRY introduced the following bill; which was referred to the Com-
mittee on Financial Services, and in addition to the Committee on Edu-
cation and the Workforce, for a period to be subsequently determined by 
the Speaker, in each case for consideration of such provisions as fall with-
in the jurisdiction of the committee concerned 
A BILL 
To require the Securities and Exchange Commission to ex-
tend exemptions for securities offered as part of employee 
pay to other individuals providing goods for sale, labor, 
or services for remuneration, to preempt certain provi-
sions of State law with respect to wage rates and bene-
fits, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Gig Worker Equity 
Compensation Act’’. 
SEC. 2. EXTENSION OF RULE 701. 
(a) IN GENERAL.—The exemption provided under 
section 230.701 of title 17, Code of Federal Regulations, 
shall apply to individuals (other than employees) providing 
goods for sale, labor, or services for remuneration to either 
an issuer or to customers of an issuer to the same extent 
as such exemptions apply to employees of the issuer. For 
purposes of the previous sentence, the term ‘‘customers’’ 
may, at the election of an issuer, include users of the 
issuer’s platform. 
(b) ADJUSTMENT FOR INFLATION.—The Securities 
and Exchange Commission shall annually adjust the dollar 
figure under section 230.701(e) of title 17, Code of Fed-
eral Regulations, to reflect the percentage change in the 
Consumer Price Index for All Urban Consumers published 
by the Bureau of Labor Statistics of the Department of 
Labor. 
(c) RULEMAKING.—The Securities and Exchange 
Commission— 
(1) shall revise section 230.701 of title 17, 
Code of Federal Regulations, to reflect the require-
ments of this section; and 
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(2) may not revise such section 230.701 in any 
manner that would have the effect of restricting ac-
cess to equity compensation for employees or individ-
uals described under subsection (a). 
SEC. 3. PREEMPTION OF CERTAIN PROVISIONS OF STATE 
LAW. 
Any provision of a State law with respect to wage 
rates or benefits that creates a presumption that an indi-
vidual providing goods for sale, labor, or services for remu-
neration for a person is an employee of such person under 
such law is preempted. 
SEC. 4. GAO STUDY. 
Not later than the end of the 3-year period beginning 
on the date of enactment of this Act, the Comptroller Gen-
eral of the United States shall carry out a study on the 
effects of this Act and submit a report on such study to 
the Congress. 
Æ 
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