Title: Restoring Overtime Pay Act of 2019
Policy area: Labor and Employment

Summary:
Restoring Overtime Pay Act of 2019
This bill requires the Department of Labor to update the salary threshold applicable to bona fide executive, administrative, and professional employees for purposes of determining eligibility for overtime pay. The bill adopts rulemaking promulgated by Labor in 2016 that established the threshold for exempting such employees from overtime requirements at the 40th percentile of earnings for full-time salaried employees in the lowest-wage census region. The bill also requires updates to the threshold amount every three years.
In addition, the Bureau of Labor Statistics shall publish quarterly on its public website data on the weekly earnings of nonhourly, full-time salaried workers by census region.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3197 Introduced in House (IH)]

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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. Barragan, 
 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. Garcia 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.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Restoring Overtime Pay Act of 
2019''.

SEC. 2. MINIMUM SALARY THRESHOLD FOR BONA FIDE EXECUTIVE, 
              ADMINISTRATIVE, AND PROFESSIONAL EMPLOYEES EXEMPT FROM 
              FEDERAL OVERTIME COMPENSATION REQUIREMENTS.

    (a) In General.--Section 13 of the Fair Labor Standards Act of 1938 
(29 U.S.C. 213) is amended--
            (1) in subsection (a)(1)--
                    (A) by inserting ``subsection (k) and'' after 
                ``subject to''; and
                    (B) by inserting ``(except as provided under 
                subsection (k)(2)(C))'' after ``Administrative 
                Procedure Act''; and
            (2) by adding at the end the following:
    ``(k) Minimum Salary Threshold.--
            ``(1) In general.--Beginning on the effective date of the 
        Restoring Overtime Pay Act of 2019, the Secretary shall require 
        that an employee described in subsection (a)(1), as a 
        requirement for exemption under such subsection, be compensated 
        on a salary basis, or equivalent fee basis, within the meaning 
        of such terms in subpart G of part 541 of title 29, Code of 
        Federal Regulations (or any successor regulation), at a rate 
        per week that is not less than the salary threshold under 
        paragraph (2).
            ``(2) Salary threshold.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C), the salary threshold shall be an amount that is 
                equal to the 40th percentile of earnings of full-time 
                salaried workers in the lowest-wage census region, as 
                determined by the Bureau of Labor Statistics based on 
                data from the second quarter of the calendar year 
                preceding the calendar year in which such amount takes 
                effect.
                    ``(B) Increased threshold.--The Secretary may 
                establish, through notice and comment rulemaking under 
                section 553 of title 5, United States Code, a salary 
                threshold that is an amount that--
                            ``(i) is greater than the 40th percentile 
                        of earnings of the full-time salaried workers 
                        described in subparagraph (A); and
                            ``(ii) is calculated based on a data set 
                        and methodology established by the Secretary 
                        that are capable of being updated in accordance 
                        with subparagraph (C).
                    ``(C) Automatic updates.--
                            ``(i) In general.--Not later than 3 years 
                        after the salary threshold first takes effect 
                        under subparagraph (A), and every 3 years 
                        thereafter, or, in the case in which the 
                        Secretary establishes an increased salary 
                        threshold under subparagraph (B), every 3 years 
                        after establishing such increased salary 
                        threshold, the Secretary shall update the 
                        amount of the salary threshold in effect under 
                        subparagraph (A) or (B), as applicable, so that 
                        such amount is equal to--
                                    ``(I) in the case in which the 
                                Secretary does not establish an 
                                increased salary threshold under 
                                subparagraph (B), the 40th percentile 
                                of earnings of full-time salaried 
                                workers in the lowest-wage census 
                                region, as determined by the Bureau of 
                                Labor Statistics based on data from the 
                                second quarter of the calendar year 
                                preceding the calendar year in which 
                                such updated amount is to take effect; 
                                and
                                    ``(II) in the case in which the 
                                Secretary establishes an increased 
                                salary threshold under subparagraph 
                                (B), the greater of--
                                            ``(aa) the 40th percentile 
                                        described in subclause (I); and
                                            ``(bb) the increased salary 
                                        threshold established under 
                                        subparagraph (B), as updated in 
                                        accordance with the data set 
                                        and methodology established by 
                                        the Secretary under 
                                        subparagraph (B)(ii).
                            ``(ii) Nonapplicability of rulemaking.--Any 
                        update described in this subparagraph shall not 
                        be subject to the requirements of notice and 
                        comment rulemaking under section 553 of title 
                        5, United States Code.
                    ``(D) Notice requirement.--Not later than 60 days 
                before a revised salary threshold under this paragraph 
                takes effect, the Secretary shall publish a notice 
                announcing the amount in the Federal Register and on 
                the internet website of the Department of Labor.
            ``(3) Duties test.--The Secretary shall, in addition to the 
        requirement under paragraph (1), continue to require employees 
        to satisfy a duties test, as prescribed by the Secretary, in 
        defining and delimiting the terms described in subsection 
        (a)(1).''.
    (b) Publication of Earnings.--Not later than 21 days after the end 
of each calendar quarter, the Bureau of Labor Statistics shall publish 
on its public website, for each week of such quarter, data on the 
weekly earnings of nonhourly, full-time salaried workers by census 
region (as designated by the Bureau of the Census).
    (c) Effective Date.--This Act, and the amendments made by this Act, 
shall take effect on the first day of the third month that begins after 
the date of enactment of this Act.
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