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Mason, Walter J., American Federation of Labor and Congress of In-
dustrial Organizations; accompanied by Kenneth J. Meiklejohn,
International Ladies' Garment Workers' Union, AFL-CIO_.
Moore, William D., Jr., Van Camp Co., Terminal Island, Calif., and
Linton M. Collins, Washington, D. C‒‒‒‒‒

Nixon, Lt. Col. Perry E., Procurement Policy Division, Director of
Procurement Production, Headquarters, United States Air Force__
Parks, Rear Adm. Joel D., accompanied by William Sellman, counsel;
William Speck, assistant counsel, and T. L. Jones, Department of
the Navy..
113, 171, 266–279, 281

Yeomans, William L., United States Department of the Interior___. 82, 140

Bills, documents, letters, prepared statements, reports, tables, etc., submit-

ted for the record by-

Agreement for the trust territory under United States administration,

and related documents__

Ala'ilima, Vaiinupo J. (representing Tutuila, Samoa).

Antikickback regulations__.

43-81

Arnold, William A., Assistant Director for Insular Affairs.
Aspinall, Hon. Wayne, a Representative in Congress from the State
of Colorado_____

Appendixes to report (American Samoa, pursuant to H. Res. 89)_
Chart showing the ratio of cropland to population (American
Samoa).

Map, Samoa and Canton Islands..

Organizational and functional charts, Samoan local government 53, 54

Report, American Samoa, pursuant to House Resolution 89.

Barden, Hon. Graham A., a Representative in Congress from the State
of North Carolina.

Calingo, Mauro, Minister-Counselor, Philippine Islands__.

Chart showing agreements with respect to wages with principal coun-
tries__...

Cramer, Dwight, United States Department of State, agreement cover-
ing the trust territory..

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Keesing, Prof. Felix M., Stanford University...
Kelley, James W., American Law Division__

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Lausi, Anthony T., Department of the Interior, resolutions of the
Guam Legislature..

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Romulo, Carlos P., Ambassador, Philippines__-

Roosevelt, Hon. James, a Representative in Congress from the State
of California___

Seafarers International Union of North America___

Average rates paid by private firms in Guam---

Panama Canal Company and Canal Zone Government contract
awards and work___.

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MINIMUM WAGES IN CERTAIN TERRITORIES, POSSESSIONS, AND OVERSEA AREAS OF THE UNITED STATES

WEDNESDAY, FEBRUARY 15, 1956

HOUSE OF REPRESENTATIVES,
SUBCOMMITTEE OF THE COMMITTEE

ON EDUCATION AND LABOR,
Washington, D. C.

The subcommittee met at 10:30 a. m., pursuant to notice, in room 429 of the House Office Building, Hon. Carl Elliott (chairman of the subcommittee) presiding.

Present: Representatives Elliott, Landrum, Roosevelt, and Coon. Present also: Fred G. Hussey, chief clerk; John O. Graham, minority clerk; Kennedy W. Ward, assistant general counsel to the committee; and Russell C. Derrickson, chief investigator.

Mr. ELLIOTT. The subcommittee will be in order.

Gentlemen, we meet today pursuant to the appointment of the Honorable Graham A. Barden, chairman of the House Committee on Education and Labor, as evidenced by a letter from the Honorable Graham A. Barden addressed to me dated February 10, 1956, in which he said:

By virtue of the authority vested in me as chairman of the House Committee on Education and Labor, I hereby appoint you as chairman of a subcommittee to hold hearings and consider the bills, H. R. 209, H. R. 4478, H. R. 9129, and H. R. 9144, and such other bills as may come to the attention of the subcommittee dealing with the application of the Fair Labor Standards Act of 1938 to Guam, American Samoa, or Wake Island. After completion of your consideration of this matter, you should report your recommendations for consideration to the full committee.

The following members of the committee will serve with you on this subcommittee: Hon. Phil M. Landrum, Hon. Earl Chudoff, Hon. James Roosevelt, Hon. Joe Holt, Hon. Sam Coon, and Hon. Orvin B. Fjare.

Sincerely yours,

GRAHAM A. BARDEN, Chairman.

Now our subcommittee has met in executive session and in that executive session we have determined that the scope of our inquiry shall first be limited to American Samoa; and secondly, that we will hear witnesses beginning now who are interested in the subject of American Samoa; and thirdly, that our hearings will go over from today when we have finished today, to 10 o'clock on Friday, February 17. At that time there will be heard representatives of the Department of Defense, the Department of Interior, and the Department of Labor.

Now, it is contemplated that we may be in session a considerable portion of the day, Friday. We will begin at 10 o'clock. It depends on how long it takes us to finish.

(The bills referred to are as follows:)

[H. R. 209, 84th Cong., 1st sess.]

A BILL To amend the Fair Labor Standards Act of 1938, as amended

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Overseas Fair Labor Standards Amendments of 1954".

SEC. 2. Section 6 of the Fair Labor Standards Act of 1938, as amended, is amended by striking out the period at the end of paragraph (2) in subsection (a), and inserting in lieu thereof a semicolon and the following new paragraph: "(3) if such employee is employed in Guam, American Samoa, or Wake Island, not less than the applicable rate established by the Secretary of Labor as herein provided. The provisions of paragraph (1) of this subsection shall not apply to any employee specified in this paragraph (3), but when the Secretary of Labor finds that economic conditions in such possession, in a specific area or areas thereof, or in relation to particular work to be performed therein warrant, he shall determine and promulgate, following a public hearing on the matter, the minimum wage rate which he shall find appropriate for such geographical area or particular work in conformity with the policy of this Act. In making such a determination, the Secretary shall take into account the level of the economy of the area and its capacity to sustain the rate without causing substantial curtailment of employment, substantial hardship to business enterprise, or other disruptive effects; and he shall also take into account the reasonable relationship of such rate to wage rates paid in neighboring economies on which such area draws substantially for its labor supply. The minimum wage rate thus established by the Secretary shall not exceed the rate prescribed in paragraph (1) of this subsection."

SEC. 3. Section 13 of such Act is amended by adding at the end thereof the following new subsections (e) and (f):

"(e) The provisions of sections 6, 7, 11, and 12 shall not apply with respect to any employee whose services during the workweek are performed in a workplace within a foreign country or within United States territory other than the following: A State of the United States; the District of Columbia; Alaska; Hawaii; Puerto Rico; the Virgin Islands; outer Continental Shelf lands defined in the Outer Continental Shelf Lands Act (ch. 345, Stat. 462); and the possessions named in section 6 (a) (3).

"(f) The provisions of section 7 and section 12 shall not apply with respect to employees for whom the Secretary of Labor is authorized to establish minimum wage rates as provided in section 6 (a) (3), except with respect to employees for whom such rates are in effect; and with respect to such employees the Secretary may make rules and regulations providing reasonable limitations and allowing reasonable variations, tolerances, and exemptions to and from any or all of the provisions of sections 7 and 12 if he shall find, after a public hearing on the matter, and taking into account the factors set forth in section 6 (a) (3), that economic conditions warrant such action."

SEC. 4. Section 16 of such Act is amended by adding at the end thereof the following new subsection (d):

"(d) In any action or proceeding commenced prior to, on, or after the date of enactment of this subsection, no employer shall be subject to any liability or punishment under this Act or the Portal-to-Portal Act of 1947 on account of his failure to comply with any provision or provisions of such Acts with repect to work performed in a workplace to which the exemption in section 13 (e) is applicable, or with respect to work performed in a possession named in section 6 (a) (3) at any time prior to the establishment by the Secretary, as provided therein, of a minimum wage rate applicable to such work."

[H. R. 4478, 84th Cong., 1st sess.]

A BILL To amend the Fair Labor Standards Act of 1938, as amended

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 6 of the Fair Labor Standards Act of 1938, as amended, is amended by striking out the period at the end of paragraph (2) in subsection (a), and inserting in lieu thereof a semicolon and the following new paragraph:

"(3) if such employee is employed in American Samoa, not less than the applicable rate established by the Secretary of Labor as herein provided. The provisions of paragraph (1) of this subsection shall not apply to any employee in American Samoa, but when the Secretary of Labor finds that economic conditions in American Samoa or in relation to particular work to be performed therein warrant, he shall determine and promulgate, following a public hearing on the matter, the minimum wage rate which he shall find appropriate for such geographical area or particular work in conformity with the policy of this Act. In making such a determination, the Secretary shall take into account the level of the economy of the area and its capacity to sustain the rate without causing substantial curtailment of employment, substantial hardship to business enterprise, or other disruptive effects; and he shall also take into account the reasonable relationship of such rate to wage rates paid in neighboring economies on which such area draws substantially for its labor supply. The minimum wage rate thus established by the Secretary shall not exceed the rate prescribed in paragraph (1) of this subsection."

SEC. 2. Section 13 of such Act is amended by adding at the end thereof the following new subsection:

"(e) The provisions of section 7 and section 12 shall not apply with respect to employees in American Samoa, except with respect to employees for whom minimum wage rates established under section 6 (a) (3) are in effect; and with respect to such employees the Secretary may make rules and regulations providing reasonable limitations and allowing reasonable variations, tolerances, and exemptions to and from any or all of the provisions of sections 7 and 12 if he shall find, after a public hearing on the matter, and taking into account the factors set forth in section 6 (a) (3), that economic conditions warrant such action."

[H. R. 9129, 84th Cong., 2d sess.]

A BILL To amend the Fair Labor Standards Act of 1938, as amended

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Overseas Fair Labor Standards Amendments of 1956."

SEC. 2. Section 6 of the Fair Labor Standards Act of 1938, as amended, is amended by striking out the period at the end of paragraph (2) in subsection (a), and inserting in lieu thereof a semicolon and the following new paragraph: "(3) if such employee is employed in Guam, American Samoa, or Wake Island, not less than the applicable rate established by the Secretary of Labor as herein provided. The provisions of paragraph (1) of this subsection shall not apply to any employee specified in this paragraph (3), but when the Secretary of Labor finds that economic conditions in such possession, in a specific area or areas thereof, or in relation to particular work to be performed therein warrant, he shall determine and promulgate, following a public hearing on the matter, the minimum wage rate which he shall find appropriate for such geographical area or particular work in conformity with the policy of this Act. In making such a determination, the Secretary shall take into account the level of the economy of the area and its capacity to sustain the rate without causing substantial curtailment of employment, substantial hardship to business enterprise, or other disruptive effects; and he shall also take into account the reasonable relationship of such rate to wage rates paid in neighboring economies on which such area draws substantially for its labor supply. The minimum wage rate thus established by the Secretary shall not exceed the rate prescribed in paragraph (1) of this subsection."

SEC. 3. Section 13 of such Act is amended by adding at the end thereof the following new subsections (e) and (f):

"(e) The provisions of sections 6, 7, 11, and 12 shall not apply with respect to any employee whose services during the workweek are performed in a workplace within a foreign country or within territory under the jurisdiction of the United States other than the following: A State of the United States; the District of Columbia; Alaska; Hawaii; Puerto Rico; the Virgin Islands; outer Continental Shelf lands defined in the Outer Continental Shelf Lands Act (ch. 345, 67 Stat. 462); and the possessions named in section 6 (a) (3).

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