[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2888 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 2888

   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

_______________________________________________________________________

                                 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,

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's position requires specialized 
                or technical knowledge related to products or services 
                being sold;
                    ``(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;
                    ``(C) 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 
                        1\1/2\ times the minimum wage multiplied by 
                        2,080; and
                            ``(ii) in addition to the employee's base 
                        compensation, compensation based upon each sale 
                        attributable to the employee;
                    ``(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);
                    ``(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
                    ``(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.''.
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