Title: Gig Worker Equity Compensation Act
Policy area: Finance and Financial Sector

Summary:
Gig Worker Equity Compensation Act
This bill expands the existing Securities and Exchange Commission registration exemption for securities that are part of an employee-compensation package. Specifically, the bill applies this exemption to securities provided to independent contractors performing work for the issuer and to customers of the issuer.
The bill also requires the corresponding aggregate sales amount to be indexed for inflation annually instead of every 5 years as under current law.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 3931 Introduced in Senate (IS)]

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117th CONGRESS
  2d Session
                                S. 3931

To require the Securities and Exchange Commission to extend exemptions 
  for securities offered as part of employee pay to other individuals 
providing goods for sale, labor, or services for remuneration, and for 
                            other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 24, 2022

  Ms. Lummis introduced the following bill; which was read twice and 
    referred to the Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
To require the Securities and Exchange Commission to extend exemptions 
  for securities offered as part of employee pay to other individuals 
providing goods for sale, labor, or services for remuneration, and for 
                            other purposes.

    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 ``Gig Worker Equity Compensation 
Act''.

SEC. 2. EXTENSION OF RULE 701.

    (a) In General.--
            (1) Definition.--For purposes of this subsection, the term 
        ``customers'', with respect to an issuer, may, at the election 
        of the issuer, include users of a platform of the issuer.
            (2) Application.--The exemption provided under section 
        230.701 of title 17, Code of Federal Regulations, or any 
        successor regulation, shall apply to individuals (other than 
        employees) providing goods for sale, labor, or services for 
        remuneration to an issuer, or to customers of an issuer, to the 
        same extent as that exemption applies to employees of the 
        issuer.
    (b) Adjustment for Inflation.--Section 507 of the Economic Growth, 
Regulatory Relief, and Consumer Protection Act (15 U.S.C. 77e note) is 
amended, in the second sentence, by striking ``every 5 years'' and 
inserting ``annually''.
    (c) Rulemaking.--
            (1) Proposed rules.--Not later than 270 days after the date 
        of enactment of this Act, the Commission shall issue proposed 
        revisions to section 230.701 of title 17, Code of Federal 
        Regulations, or any successor regulation--
                    (A) to reflect the requirements of this section; 
                and
                    (B) that do not revise such section 230.701 in any 
                manner that would have the effect of restricting access 
                to equity compensation for employees or individuals 
                described in subsection (a).
            (2) Final rules.--Not later than 270 days after the date on 
        which the Commission issues the proposed revisions required 
        under paragraph (1), the Commission shall issue a final version 
        of those revisions.
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