IB
Union Calendar No. 461
103D CONGRESS
2D SESSION
H. R. 1517
[Report No. 103–818]
To extend the coverage of certain Federal labor laws to foreign documented
vessels, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 30, 1993
Mr. CLAY (for himself, Mr. FORD of Michigan, Mr. MURPHY, Mr. WILLIAMS,
Mrs. BENTLEY, Mr. BONIOR, Mr. DELLUMS, Mr. EVANS, Mr.
FALEOMAVAEGA, Mr. HOLDEN, Mr. KOPETSKI, Mr. TOWNS, and Mr.
WILSON) introduced the following bill; which was referred to the Commit-
tee on Education and Labor
OCTOBER 3, 1994
Additional sponsors: Mr. PASTOR, Mr. BARLOW, Mr. BORSKI, Mr. SANDERS,
Mr. MILLER of California, Mr. TRAFICANT, Mr. HOYER, Mr. FRANK of
Massachusetts, Ms. NORTON, Mr. KILDEE, Mr. ANDREWS of New Jersey,
Mr. OLVER, Mr. HOCHBRUECKNER, Mr. MANTON, Mr. REED, Mr. DIN-
GELL, Mr. JEFFERSON, Miss COLLINS of Michigan, Mr. FIELDS of
Texas, Mr. TUCKER, Mr. WALSH, Mr. QUILLEN, Mr. MARTINEZ, Mr.
STRICKLAND, Mr. LIPINSKI, Mr. FILNER, Mr. OWENS, Ms. WOOLSEY,
Mr. ROMERO-BARCELO´, Mr. CONYERS, Mr. GENE GREEN of Texas, Mr.
ROEMER, Mr. MINETA, and Mr. MCCLOSKEY
OCTOBER 3, 1994
Committed to the Committee of the Whole House on the State of the Union
and ordered to be printed
A BILL
To extend the coverage of certain Federal labor laws to
foreign documented vessels, 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. COVERAGE OF FOREIGN VESSELS UNDER FED-
ERAL LABOR LAWS.
(a) NATIONAL LABOR RELATIONS.—Section 2(2) of
the National Labor Relations Act (29 U.S.C. 152(2)) is
amended—
(1) by inserting ‘‘(A)’’ after the paragraph des-
ignation; and
(2) by adding at the end thereof the following
new subparagraph:
‘‘(B)(i) The term ‘employer’ also includes—
‘‘(I) a foreign documented vessel, if such vessel
is regularly engaged in transporting passengers from
and to a port or place in the United States, with or
without an intervening stop or stops at a foreign
port or ports, and such term also includes a foreign
documented vessel that is regularly engaged in
transporting passengers only from or to a port or
place in the United States if the Board determines
that such transport is so arranged for the purposes
of avoiding being considered an employer for pur-
poses of this Act;
‘‘(II) a foreign documented nonliner vessel reg-
ularly engaged in transporting cargo in the foreign
trade of the United States; and
‘‘(III) a foreign documented vessel on which oc-
curs the production or processing of goods or serv-
ices for sale or distribution in the United States, and
a foreign documented vessel that engages in trans-
porting cargo between vessels in international waters
and a vessel, port, or place in the United States re-
gardless of the ownership or control of the vessel.
‘‘(ii) For purposes of this section and except as pro-
vided in clause (i)(III), such term shall not include any
foreign documented vessel that can demonstrate—
‘‘(I) that at least 50 percent of its crew is com-
posed of citizens of the country of registry; and
‘‘(II) that legal title to such vessel is held by
citizens of the country of registry, and beneficial
ownership and control, direct or indirect, are held by
citizens of the country of registry.
‘‘(iii) As used in this subparagraph, the term ‘citizen’
shall include—
‘‘(I) natural persons who are citizens of the
country of registry;
‘‘(II) a corporation, if its equity is at least 51
percent owned and controlled by citizens of the
country of registry;
‘‘(III) a partnership, if all the general partners
are citizens of the country of registry and at least
51 percent of the partnership is owned and con-
trolled by citizens of the country of registry.’’.
(b) FAIR LABOR STANDARDS ACT OF 1938.—
(1) DEFINITION.—Section 3(d) of the Fair
Labor Standards Act of 1938 (29 U.S.C. 203(d)) is
amended—
(A) by inserting ‘‘(1)’’ after the subsection
designation; and
(B) by adding at the end thereof the fol-
lowing new paragraph:
‘‘(2)(A) The term ‘employer’ also includes—
‘‘(i) a foreign documented vessel, if such vessel
is regularly engaged in transporting passengers from
and to a port or place in the United States, with or
without an intervening stop or stops at a foreign
port or ports, and such term also includes a foreign
documented vessel that is regularly engaged in
transporting passengers only from or to a port or
place in the United States if the Secretary deter-
mines that such transport is so arranged for the
purposes of avoiding being considered an employer
for purposes of this Act;
‘‘(ii) a foreign documented nonliner vessel regu-
larly engaged in transporting cargo in the foreign
trade of the United States; and
‘‘(iii) a foreign documented vessel on which oc-
curs the production or processing of goods or serv-
ices for sale or distribution in the United States, and
a foreign documented vessel that engages in trans-
porting cargo between vessels in international waters
and a vessel, port, or place in the United States re-
gardless of the ownership or control of the vessel.
‘‘(B) For purposes of this section and except as pro-
vided in subparagraph (A)(iii), such term shall not include
any foreign documented vessel that can demonstrate—
‘‘(i) that at least 50 percent of its crew is com-
posed of citizens of the country of registry; and
‘‘(ii) that legal title to such vessel is held by
citizens of the country of registry, and beneficial
ownership and control, direct or indirect, are held by
citizens of the country of registry.
‘‘(C) As used in this paragraph, the term ‘citizen’
shall include—
‘‘(i) natural persons who are citizens of the
country of registry;
‘‘(ii) a corporation, if its equity is at least 51
percent owned and controlled by citizens of the
country of registry;
‘‘(iii) a partnership, if all the general partners
are citizens of the country of registry and at least
51 percent of the partnership is owned and con-
trolled by citizens of the country of registry.’’.
(2) MINIMUM
WAGE.—Section 6(a)(4) of the
Fair Labor Standards Act of 1938 (29 U.S.C.
206(a)(4)) is amended by inserting ‘‘or a foreign
documented vessel described in section 3(d)(2)(A)’’
after ‘‘an American Vessel’’.
(3) EXEMPTION.—Section 13(a)(12) of the Fair
Labor 
Standards 
Act 
of 
1938 
(29 
U.S.C.
213(a)(12)) is amended by inserting ‘‘or a foreign
documented vessel described in section 3(d)(2)(A)’’
after ‘‘an American Vessel’’.