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Union Calendar No. 313
105th CONGRESS
2d Session
H. R. 2888
[Report No. 105-558]
To amend the Fair Labor Standards Act of 1938 to exempt from the
minimum wage recordkeeping and overtime compensation requirements
certain specialized employees.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 7, 1997
Mr. Fawell (for himself and Mr. Andrews) introduced the following bill;
which was referred to the Committee on Education and the Workforce
June 3, 1998
Additional sponsors: Mr. Stenholm, Mr. Boehner, Mr. Canady of Florida,
Mr. Paul, Mr. Bliley, Mr. Knollenberg, Mr. Kind, Mrs. McCarthy of New
York, Mr. Roemer, Mr. Bob Schaffer of Colorado, Mr. Manzullo, Mr.
Collins, Ms. Rivers, Mrs. Myrick, Mr. Castle, Mr. Inglis of South
Carolina, Mr. Bereuter, Mr. Goode, Ms. Stabenow, Mrs. Johnson of
Connecticut, Mr. Pappas, Mr. Peterson of Pennsylvania, Mr. Sam Johnson
of Texas, Mr. Sandlin, Mr. McHugh, Mr. Hall of Texas, Mr. Graham, Mr.
Hoekstra, Mr. Shaw, Mr. Talent, Mr. Davis of Florida, Mr. Boyd, Mr.
McIntosh, Mr. Lewis of California, Mr. Upton, Mr. Dooley of California,
Mr. McKeon, Mr. Solomon, Mr. Burr of North Carolina, Mr. Pitts, Mr.
Holden, Mr. Doolittle, Mr. Watts of Oklahoma, Mrs. Fowler, Mr.
Sessions, Mr. Cunningham, Mr. Norwood, Mr. Barrett of Nebraska, Mr.
Saxton, Mr. Deal of Georgia, and Mr. Cramer
June 3, 1998
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed
in italic]
_______________________________________________________________________
A BILL
To amend the Fair Labor Standards Act of 1938 to exempt from the
minimum wage recordkeeping and overtime compensation requirements
certain specialized employees.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``Sales Incentive
Compensation Act''.</DELETED>
<DELETED>SEC. 2. EXEMPTION.</DELETED>
<DELETED> Section 13(a) of the Fair Labor Standards Act of 1938 (29
U.S.C. 213(a)) is amended by striking the period at the end of
paragraph (17) and inserting a semicolon and by adding at the end the
following:</DELETED>
<DELETED> ``(18) any employee employed in a sales position
if--</DELETED>
<DELETED> ``(A) the employee's position requires
specialized or technical knowledge related to products
or services being sold;</DELETED>
<DELETED> ``(B) the employee's sales are
predominantly to persons or entities to whom the
employee has made previous sales or the employee's
position does not involve initiating sales
contacts;</DELETED>
<DELETED> ``(C) the employee receives--</DELETED>
<DELETED> ``(i) base compensation,
determined without regard to the number of
hours worked by the employee, of not less than
an amount equal to 1</DELETED>\<DELETED>1/
2</DELETED>\ <DELETED>times the minimum wage
multiplied by 2,080; and</DELETED>
<DELETED> ``(ii) in addition to the
employee's base compensation, compensation
based upon each sale attributable to the
employee;</DELETED>
<DELETED> ``(D) the employee's aggregate
compensation based upon sales attributable to the
employee is not less than 40 percent of the amount
specified in subparagraph (C)(i);</DELETED>
<DELETED> ``(E) the employee receives a rate of
compensation based upon each sale attributable to the
employee which is beyond sales required to reach the
compensation required by subparagraph (D) which rate is
not less than the rate on which the compensation
required by subparagraph (D) is determined;
and</DELETED>
<DELETED> ``(F) the rate of annual compensation or
base compensation for any employee who did not work for
an employer for an entire calendar year is prorated to
reflect annual compensation which would have been
earned if the employee had been compensated at the same
rate for the entire calendar year.''.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Sales Incentive Compensation Act''.
SEC. 2. EXEMPTION.
Section 13(a) of the Fair Labor Standards Act of 1938 (29 U.S.C.
213(a)) is amended by striking the period at the end of paragraph (17)
and inserting a semicolon and by adding at the end the following:
``(18) any employee employed in a sales position if--
``(A) the employee has specialized or technical
knowledge related to products or services being sold;
``(B) the employee's--
``(i) sales are predominantly to persons
who are entities to whom the employee's
position has made previous sales; or
``(ii) position does not involve making
sales contacts;
``(C) the employee's position requires a detailed
understanding of the needs of those to whom the
employee is selling;
``(D) the employee's position requires the employee
to exercise discretion in offering a variety of
products and services;
``(E) the employee receives--
``(i) base compensation, determined without
regard to the number of hours worked by the
employee, of not less than an amount equal to
one and one-half times the minimum wage in
effect under section 6(a)(1) multiplied by
2,080; and
``(ii) in addition to the employee's base
compensation, compensation based upon each sale
attributable to the employee;
``(F) the employee's aggregate compensation based
upon sales attributable to the employee is not less
than 40 percent of one and one-half times the minimum
wage multiplied by 2,080;
``(G) the employee receives a rate of compensation
based upon each sale attributable to the employee which
is beyond sales required to reach the compensation
required by subparagraph (F) which rate is not less
than the rate on which the compensation required by
subparagraph (F) is determined; and
``(H) the rate of annual compensation or base
compensation for any employee who did not work for an
employer for an entire calendar year is prorated to
reflect annual compensation which would have been
earned if the employee had been compensated at the same
rate for the entire calendar year.''.
SEC. 3. CONSTRUCTION.
The amendment made by section 2 may not be construed to apply to
individuals who are employed as route sales drivers.
Union Calendar No. 313
105th CONGRESS
2d Session
H. R. 2888
[Report No. 105-558]
_______________________________________________________________________
A BILL
To amend the Fair Labor Standards Act of 1938 to exempt from the
minimum wage recordkeeping and overtime compensation requirements
certain specialized employees.
_______________________________________________________________________
June 3, 1998
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
Pages: 1 Other Popular 105th Congressional Bills Documents:
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