CHAPTER 58 —FULL EMPLOYMENT AND BALANCED GROWTH
SUBCHAPTER I—STRUCTURAL ECONOMIC POLICIES AND PROGRAMS INCLUDING TREATMENT OF RESOURCE RESTRAINTS
SUBCHAPTER II—POLICIES AND PROCEDURES FOR CONGRESSIONAL REVIEW
SUBCHAPTER III—GENERAL PROVISIONS
§3101. Congressional findings
(a) The Congress finds that the Nation has suffered substantial unemployment and underemployment, idleness of other productive resources, high rates of inflation, and inadequate productivity growth, over prolonged periods of time, imposing numerous economic and social costs on the Nation. Such costs include the following:
(1) The Nation is deprived of the full supply of goods and services, the full utilization of labor and capital resources, and the related increases in economic well-being that would occur under conditions of genuine full employment, production, and real income, balanced growth, a balanced Federal budget, and the effective control of inflation.
(2) The output of goods and services is insufficient to meet pressing national priorities.
(3) Workers are deprived of the job security, income, skill development, and productivity necessary to maintain and advance their standards of living.
(4) Business and industry are deprived of the production, sales, capital flow, and productivity necessary to maintain adequate profits, undertake new investment, create jobs, compete internationally, and contribute to meeting society's economic needs. These problems are especially acute for smaller businesses. Variations in the business cycle and low-level operations of the economy are far more damaging to smaller businesses than to larger business concerns because smaller businesses have fewer available resources, and less access to resources, to withstand nationwide economic adversity. A decline in small business enterprises contributes to unemployment by reducing employment opportunities and contributes to inflation by reducing competition.
(5) Unemployment exposes many families to social, psychological, and physiological costs, including disruption of family life, loss of individual dignity and self-respect, and the aggravation of physical and psychological illnesses, alcoholism and drug abuse, crime, and social conflicts.
(6) Federal, State, and local government budgets are undermined by deficits due to shortfalls in tax revenues and in increases in expenditures for unemployment compensation, public assistance, and other recession-related services in the areas of criminal justice, alcoholism and drug abuse, and physical and mental health.
(b) The Congress further finds that:
(1) High unemployment may contribute to inflation by diminishing labor training and skills, underutilizing capital resources, reducing the rate of productivity advance, increasing unit labor costs, and reducing the general supply of goods and services.
(2) Aggregate monetary and fiscal policies alone have been unable to achieve full employment and production, increased real income, balanced growth, a balanced Federal budget, adequate productivity growth, proper attention to national priorities, achievement of an improved trade balance, and reasonable price stability, and therefore must be supplemented by other measures designed to serve these ends.
(3) Attainment of these objectives should be facilitated by setting explicit short-term and medium-term economic goals, and by improved coordination among the President, the Congress, and the Board of Governors of the Federal Reserve System.
(4) Increasing job opportunities and full employment would greatly contribute to the elimination of discrimination based upon sex, age, race, color, religion, national origin, handicap, or other improper factors.
(c) The Congress further finds that an effective policy to promote full employment and production, increased real income, balanced growth, a balanced Federal budget, adequate productivity growth, proper attention to national priorities, achievement of an improved trade balance, and reasonable price stability should (1) be based on the development of explicit economic goals and policies involving the President, the Congress, and the Board of Governors of the Federal Reserve System, with maximum reliance on the resources and ingenuity of the private sector of the economy, (2) include programs specifically designed to reduce high unemployment due to recessions, and to reduce structural unemployment within regional areas and among particular labor force groups, and (3) give proper attention to the role of increased exports and improvement in the international competitiveness of agriculture, business, and industry in providing productive employment opportunities and achieving an improved trade balance.
(d) The Congress further finds that full employment and production, increased real income, balanced growth, a balanced Federal budget, adequate productivity growth, proper attention to national priorities, achievement of an improved trade balance through increased exports and improvement in the international competitiveness of agriculture, business, and industry, and reasonable price stability are important national requirements and will promote the economic security and well-being of all citizens of the Nation.
(e) The Congress further finds that the United States is part of an interdependent world trading and monetary system and that attainment of the requirements specified in subsection (d) is dependent upon policies promoting a free and fair international trading system and a sound and stable international monetary system.
(
Statutory Notes and Related Subsidiaries
Short Title
§3102. Report to Congressional committees
Not later than one year after October 27, 1978, the Committee on Labor and Human Resources of the Senate and the Committee on Education and Labor of the House of Representatives each shall conduct a study and submit a report, including findings and recommendations, to the Committee on Rules and Administration of the Senate and the Committee on Rules of the House, respectively, on the subject of establishing a full employment goal in connection with the provisions of this chapter.
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Editorial Notes
References in Text
This chapter, referred to in text, was in the original "this Act", meaning
Statutory Notes and Related Subsidiaries
Change of Name
Committee on Education and Labor of House of Representatives changed to Committee on Education and the Workforce of House of Representatives by House Resolution No. 5, One Hundred Eighteenth Congress, Jan. 9, 2023.
Committee on Labor and Human Resources of Senate changed to Committee on Health, Education, Labor, and Pensions of Senate by Senate Resolution No. 20, One Hundred Sixth Congress, Jan. 19, 1999. Previously, Committee on Human Resources of the Senate changed to Committee on Labor and Human Resources effective Mar. 7, 1979, by Senate Resolution No. 30, 96th Congress. See, also, Rule XXV of Standing Rules of the Senate adopted Nov. 14, 1979.
§3103. National Employment Conference
(a) Organization and implementation
A National Employment Conference may be convened in the District of Columbia within a reasonable period of time after October 27, 1978. Responsibility for the organization and implementation of this conference shall rest with the President or the appropriate department or agency of the Federal Government, and the conference shall bring together leaders of small and larger business, labor, government, and all other interested parties.
(b) Subject matter
The subject of the conference shall be employment, with particular attention to structural unemployment and the plight of disadvantaged youth. The conference shall also focus on issues such as implementation of adequate and effective incentives for private sector employers to hire the hard-core unemployed. Special attention shall be given to the creation of jobs through the use of targeted employment tax credits, wage vouchers, and other incentives to private sector businesses.
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SUBCHAPTER I—STRUCTURAL ECONOMIC POLICIES AND PROGRAMS INCLUDING TREATMENT OF RESOURCE RESTRAINTS
§3111. Congressional statement of purpose
The Congress recognizes that general economic policies alone have been unable to achieve the goals set forth in this chapter related to full employment, production, and real income, balanced growth, adequate growth in productivity, proper attention to national priorities, achievement of an improved trade balance through increased exports and improvement in the international competitiveness of agriculture, business, and industry, and achievement of reasonable price stability as provided for in
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Editorial Notes
References in Text
For definition of "this chapter", referred to in text, see References in Text note set out under
§3112. Countercyclical employment policies
(a) Programmatic entities
Any countercyclical efforts undertaken to aid in achieving the purposes of
(1) accelerated public works, including the development of standby public works projects;
(2) public service employment;
(3) State and local grant programs;
(4) the levels and duration of unemployment insurance;
(5) skill training in both the private and public sectors, both as a general remedy and as a supplement to unemployment insurance;
(6) youth employment programs as specified in
(7) community development programs to provide employment in activities of value to the States, local communities (including rural areas), and the Nation;
(8) Federal procurement programs which are targeted on labor surplus areas; and
(9) augmentation of other employment and training programs which would help to reduce high levels of unemployment arising from cyclical causes.
(b) Triggering mechanism
In any countercyclical efforts undertaken, the President shall consider a triggering mechanism which will implement the program during a period of rising unemployment and phase out the program when unemployment is appropriately reduced, and incorporate effective means to facilitate individuals assisted under programs developed pursuant to this section to return promptly to regular private and public employment as the economy recovers.
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§3113. Economic activity coordination
(a) Federal, regional, State, local, and private sector
As an integral part of any countercyclical employment policies undertaken in accord with
(b) Fiscal needs and budget conditions
In any efforts under this section, the President shall endeavor to meet criteria that establish programs which are funded to take account of the fiscal needs and budget conditions of the respective States and localities and their own efforts, with special attention to the rates of unemployment in such States and localities.
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Editorial Notes
References in Text
For definition of "this chapter", referred to in subsec. (a), see References in Text note set out under
The Employment Act of 1946, referred to in subsec. (a), is act Feb. 20, 1946, ch. 33,
Executive Documents
Executive Order No. 12329
Ex. Ord. No. 12329, Oct. 14, 1981, 46 F.R. 50919, which established the President's Task Force on Private Sector Initiatives and provided for its membership, functions, etc., was revoked by Ex. Ord. No. 12399, §4(i), Dec. 31, 1982, 48 F.R. 380, formerly set out as a note under
§3114. Regional and structural employment policies and programs
(a) Recommendation of legislation
To the extent deemed appropriate by the President in fulfillment of the purposes of
(b) Private sector production and employment; effect of Federal policies
In formulating the regional components of any such programs, the President shall encourage to the extent the President deems necessary, new private sector production and employment to locate within depressed localities and regions with substantial unemployment and to aid in stabilizing their economic base. To the extent feasible, such policies and programs shall foster the establishment and growth of smaller businesses in such localities and regions. Any regional employment proposal of the President shall also include an analysis of the extent to which Federal tax, expenditure (including procurement of goods and services), defense, transportation, energy, natural resources and employment policies have influenced the movement of people, jobs, and small and larger business and industries from chronic high unemployment regions and areas, and proposals designed to correct Federal policies that have an adverse economic impact upon such regions and areas.
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§3115. Youth employment policies and programs
(a) Congressional findings
The Congress finds and declares—
(1) That 1 serious unemployment and economic disadvantage of a unique nature exist among youths even under generally favorable economic conditions;
(2) that this group constitutes a substantial portion of the Nation's unemployment, and that this significantly contributes to crime, alcoholism and drug abuse, and other social and economic problems; and
(3) that many youths have special employment needs and problems which, if not promptly addressed, will substantially contribute to more severe unemployment problems in the long run.
(b) Improvement and expansion
To the extent deemed necessary in fulfillment of the purposes of this chapter, the President shall improve and expand existing youth employment programs, recommending legislation where required. In formulating any such program, the President shall—
(1) include provisions designed to fully coordinate youth employment activities with other employment and training programs;
(2) develop a smoother transition from school to work;
(3) prepare disadvantaged and other youths with employability handicaps for regular self-sustaining employment;
(4) develop realistic methods for combining training with work; and
(5) develop provisions designed to attract structurally unemployed youth into productive full-time employment through incentives to private and independent sector businesses; 2
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Editorial Notes
References in Text
For definition of "this chapter", referred to in subsec. (b), see References in Text note set out under
1 So in original. Probably should not be capitalized.
2 So in original. The semicolon probably should be a period.
§3116. Job training, counseling and reservoirs of employment projects
(a) Policies, procedures and recommendations
Further to promote achievement of full employment under this chapter and the Employment Act of 1946 [
(b) Utilization of authority under other laws
In meeting the responsibilities under subsection (a), the Secretary of Labor shall, as appropriate, fully utilize the authority provided under title I of the Workforce Innovation and Opportunity Act [
(1) assure the availability of counseling, training, and other support activities necessary to prepare persons willing and seeking work for employment;
(2) refer persons able, willing, and seeking to work to job opportunities in the private and public sectors through the existing public employment placement facilities and through the United States Employment Service of the Department of Labor, including job opportunities in any positions created under programs established pursuant to
(3) encourage flexi-time and part-time jobs for persons who are able, willing, and seeking employment but who are unable to work a standard workweek.
(c) Establishment of project reservoirs; restrictions and requirements of new programs
(1) To the extent that individuals aged sixteen and over and able, willing, and seeking to work are not and in the judgment of the President cannot be provided with private job opportunities or job opportunities under other programs and actions in existence, in accord with the goals and timetables set forth in the Employment Act of 1946 [
(2) New programs as may be authorized by law after October 27, 1978, referred to in paragraph (c)(1)—
(A) shall not be put into operation earlier than two years after October 27, 1978, nor without a finding by the President, transmitted to the Congress, that other means of employment are not yielding enough jobs to be consistent with attainment of the goals and timetables for the reduction of unemployment set forth in the Employment Act of 1946 [
(B) shall be designed so that no workers from private employment are drawn into the reservoir projects thereunder;
(C) shall be useful and productive jobs;
(D) shall be mainly in the lower ranges of skills and pay, and toward this end the number of reservoir jobs under such new programs shall, to the extent practicable, be maximized in relationship to the appropriations provided for such jobs;
(E) shall be targeted on areas of high unemployment and on individuals who are structurally unemployed;
(F) shall be phased in by the President as necessary, in conjunction with the employment goals under sections 3(a)(2) and 4(b) of the Employment Act of 1946 [
(d) Regulations
The Secretary, in carrying out the provisions of this section, shall establish regulations providing for—
(1) an initial determination of the job seeker's ability to be employed at certain types and duration of work, so that such individual may be appropriately referred to jobs, training, counseling, and other supportive services;
(2) compliance with the nondiscrimination provisions of this chapter in accordance with
(3) appropriate eligibility criteria to determine the order of priority of access of any person to any new programs under subsection (c) as may be authorized by law including but not necessarily limited to (A) household income, duration of unemployment (not less than five weeks), and the number of people economically dependent upon such person; and (B) denial of access to any person refusing to accept or hold a job except for good cause, as determined by the Secretary of Labor, including refusal to accept or hold a job subject to reference under subsection (b) paragraph (2), in order to seek a reservoir project job under subsection (c); and
(4) such administrative appeal procedures as may be appropriate to review the initial determination of the abilities of persons willing, able, and seeking to work under paragraph (1) of this subsection and the employment need and eligibility under paragraph (3) of this subsection.
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Editorial Notes
References in Text
For definition of "this chapter", referred to in subsecs. (a) and (d)(2), see References in Text note set out under
The Employment Act of 1946, referred to in subsecs. (a) and (c), is act Feb. 20, 1946, ch. 33,
The Workforce Innovation and Opportunity Act, referred to in subsecs. (b) and (c)(1), is
Amendments
2014—Subsec. (b).
Subsec. (c)(1).
1998—Subsec. (b).
Subsec. (b)(1).
Subsec. (c)(1).
Statutory Notes and Related Subsidiaries
Effective Date of 2014 Amendment
Amendment by
Effective Date of 1998 Amendment
Amendment by section 101(f) [title VIII, §405(d)(12)(A)] of
§3117. Capital formation
(a) Congressional findings
The Congress finds that—
(1) promotion of full employment and balanced growth is in itself a principal avenue to high and sustained rates of capital formation;
(2) high rates of capital formation are necessary to ensure adequate rates of capacity expansion and productivity growth, compliance with governmental health, safety and environmental standards, and the replacement of obsolete production equipment;
(3) the ability of our economy to compete successfully in international markets, the development of new technology, improved working conditions, expanding job opportunities, and an increasing standard of living depend on the availability of adequate capital at reasonable cost to commerce and industry;
(4) an important goal of national policy shall be to remove obstacles to the free flow of resources into new investment, particularly those obstacles that hinder the creation and growth of smaller businesses because general national programs and policies to aid and stimulate private enterprise are not sufficient to deal with the special problems and needs of smaller businesses; and
(5) while private business firms are, and should continue to be, the major source of investment, the investment activities of the Federal, State, and local governments play an important role in affecting the level of output, employment, and productivity and in achieving other national purposes.
(b) Investment Policy Report; recommendations in President's Budget; referral to Joint Economic Committee
The Economic Report shall include an Investment Policy Report which shall, as appropriate, (1) review and assess existing Federal Government programs and policies which affect business investment decisions, including, but not limited to, the relevant aspects of the tax code, Federal expenditure policy, Federal regulatory policy, international trade policy, and Federal support for research, development, and diffusion of new technologies; (2) provide an assessment of the levels of investment capital available, required by, and applied to small, medium and large business entities; (3) provide an analysis of current foreseeable trends in the level of investment capital available to such entities; and (4) provide a description of programs and proposals for carrying out the policy set forth in
(c) Review in Economic Report of Federal policies and programs which affect public investments; recommendations respecting new policies or programs
The Economic Report referred to in subsection (b) shall review and assess Federal policies and programs which directly, or through grants-in-aid to State and local governments, or indirectly through other means, affect the adequacy, composition and effectiveness of public investments, as a means of achieving the goals of this chapter and the Employment Act of 1946 [
(
Editorial Notes
References in Text
The tax code, referred to in subsec. (b)(1), means Title 26, Internal Revenue Code.
For definition of "this chapter", referred to in subsec. (c), see References in Text note set out under
The Employment Act of 1946, referred to in subsec. (c), is act Feb. 20, 1946, ch. 33,
SUBCHAPTER II—POLICIES AND PROCEDURES FOR CONGRESSIONAL REVIEW
§3131. Congressional statement of purpose
(a) Establishment of procedures for review and action
The purposes of this subchapter are to establish procedures for congressional review and action with respect to the Economic Report of the President (hereafter in this subchapter referred to as the "Economic Report"), the report of the Board of Governors of the Federal Reserve System, and the other policies and provisions of this chapter and the Employment Act of 1946 [
(b) Legislative action
The Congress shall initiate or develop such legislation as it deems necessary to implement proposals and objectives pursuant to this chapter and the Employment Act of 1946 [
(
Editorial Notes
References in Text
This subchapter, referred to in text, was in the original "this title", meaning title III of
For definition of "this chapter", referred to in text, see References in Text note set out under
The Employment Act of 1946, referred to in subsecs. (a) and (b), is act Feb. 20, 1946, ch. 33,
§3132. Committee review
(a) Short-term and medium-term goals
In conjunction with its review of the Economic Report, and the holding of hearings on the Economic Report under the Employment Act of 1946 [
(b) Hearings
The Joint Economic Committee shall hold hearings on the Economic Report for the purpose of receiving testimony from Members of the Congress, and such appropriate representatives of Federal departments and agencies, the general public, and interested groups as the joint committee deems advisable. The joint committee shall also consider the comments and views on the Economic Report which are received from State and local officials.
(c) Report of standing and joint committees and committees with legislative jurisdiction
Within thirty days after receipt by the Congress of the Economic Report, each standing committee of the Senate and the House of Representatives, each other committee of the Senate and the House of Representatives which has legislative jurisdiction, and each joint committee of the Congress may submit to the Joint Economic Committee, for use by the Joint Economic Committee in conducting its review and analysis under subsection (a), a report containing the views and recommendations of the submitting committee with respect to aspects of the Economic Report which relate to its jurisdiction.
(d) Report of Joint Economic Committee
On or before March 15 of each year, a majority of the members of the Joint Economic Committee shall submit a report to the Committees on the Budget of the Senate and the House of Representatives. Such report shall include findings, recommendations, and any appropriate analyses with respect and in direct comparison to each of the short-term and medium-term goals set forth in the Economic Report.
(
Editorial Notes
References in Text
The Employment Act of 1946, referred to in subsec. (a), is act Feb. 20, 1946, ch. 33,
§3133. Exercise of rulemaking powers
(a) 1 The Provisions of this subchapter and the amendments made by such provisions are enacted by the Congress—
(1) as an exercise of the rulemaking power of the House of Representatives and the Senate, respectively, and as such they shall be considered as part of the rules of each House, respectively, or of that House to which they specifically apply, and such rules shall supersede other rules only to the extent that they are inconsistent therewith; and
(2) with full recognition of the constitutional right of either House to change such rules (so far as relating to such House), at any time, in the same manner and to the same extent as in the case of any other rule of such House.
(
Editorial Notes
References in Text
This subchapter, referred to in text, was in the original "this title", meaning title III of
1 So in original. No subsec. (b) has been enacted.
SUBCHAPTER III—GENERAL PROVISIONS
§3151. Nondiscrimination
(a) Exclusion from participation or denial of benefits
No person in the United States shall on the ground of sex, age, race, color, religion, national origin or handicap be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity funded pursuant to the implementation of this chapter, including membership in any structure created by this chapter.
(b) Noncompliance notification; remedies of Secretary of Labor
Whenever the Secretary of Labor determines that a recipient of funds made available pursuant to this chapter has failed to comply with subsection (a), or an applicable regulation, the Secretary shall notify the recipient of the noncompliance and shall request such recipient to secure compliance. If within a reasonable period of time, not to exceed sixty days, the recipient fails or refuses to secure compliance, the Secretary of Labor may—
(1) refer the matter to the Attorney General with a recommendation that an appropriate civil action be instituted;
(2) exercise the powers and functions provided by title VI of the Civil Rights Act of 1964 (
(3) take such other action as may be provided by law.
(c) Civil action by Attorney General
When a matter is referred to the Attorney General pursuant to subsection (b), or whenever the Attorney General has reason to believe that a recipient is engaged in a pattern or practice in violation of the provisions of this section, the Attorney General may bring a civil action in the appropriate United States district court for any and all appropriate relief.
(d) Enforcement analysis in Report of President
To assist and evaluate the enforcement of this section, and the broader equal employment opportunity policies of this chapter the Secretary of Labor shall include, in the annual report referred to in
(
Editorial Notes
References in Text
For definition of "this chapter", referred to in subsecs. (a), (b), and (d), see References in Text note set out under
The Civil Rights Act of 1964, referred to in subsec. (b)(2), is
Amendments
1998—Subsec. (d).
1 So in original. Probably should be followed by a semicolon.
§3152. Labor standards
(a) Equal wages; increase in employment
Any new program enacted and funded pursuant to the implementation of this chapter shall, subject to any limitations on maximum annual compensation as may be provided in the law authorizing such programs, provide that persons employed are paid equal wages for equal work, and that such policies and programs create a net increase in employment through work that would not otherwise be done or are essential to fulfill national priority purposes.
(b) Wage rates; work limitations of reservoir projects employees
Any person employed in any reservoir project enacted and funded pursuant to the implementation of
(c) Recommendations of President
Any recommendation by the President for legislation to implement any program enacted pursuant to the provisions of this chapter, requiring the use of funds under this chapter, and submitted pursuant to the requirements of this chapter, shall contain appropriate wage provisions based upon existing wage standard legislation.
(
Editorial Notes
References in Text
For definition of "this chapter", referred to in text, see References in Text note set out under
The Fair Labor Standards Act, referred to in subsec. (b), is act June 25, 1938, ch. 676.
Codification
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