§ 2931. — Requirements and restrictions.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 29USC2931]
TITLE 29--LABOR
CHAPTER 30--WORKFORCE INVESTMENT SYSTEMS
SUBCHAPTER V--ADMINISTRATION
Sec. 2931. Requirements and restrictions
(a) Benefits
(1) Wages
(A) In general
Individuals in on-the-job training or individuals employed
in activities under this chapter shall be compensated at the
same rates, including periodic increases, as trainees or
employees who are similarly situated in similar occupations by
the same employer and who have similar training, experience, and
skills, and such rates shall be in accordance with applicable
law, but in no event less than the higher of the rate specified
in section 206(a)(1) of this title or the applicable State or
local minimum wage law.
(B) Rule of construction
The reference in subparagraph (A) to section 206(a)(1) of
this title--
(i) shall be deemed to be a reference to section
206(a)(3) of this title for individuals in American Samoa;
and
(ii) shall not be applicable for individuals in other
territorial jurisdictions in which section 206 of this title
does not apply.
(2) Treatment of allowances, earnings, and payments
Allowances, earnings, and payments to individuals participating
in programs under this chapter shall not be considered as income for
the purposes of determining eligibility for and the amount of income
transfer and in-kind aid furnished under any Federal or federally
assisted program based on need, other than as provided under the
Social Security Act (42 U.S.C. 301 et seq.).
(b) Labor standards
(1) Limitations on activities that impact wages of employees
No funds provided under this chapter shall be used to pay the
wages of incumbent employees during their participation in economic
development activities provided through a statewide workforce
investment system.
(2) Displacement
(A) Prohibition
A participant in a program or activity authorized under this
chapter (referred to in this section as a ``specified
activity'') shall not displace (including a partial
displacement, such as a reduction in the hours of nonovertime
work, wages, or employment benefits) any currently employed
employee (as of the date of the participation).
(B) Prohibition on impairment of contracts
A specified activity shall not impair an existing contract
for services or collective bargaining agreement, and no such
activity that would be inconsistent with the terms of a
collective bargaining agreement shall be undertaken without the
written concurrence of the labor organization and employer
concerned.
(3) Other prohibitions
A participant in a specified activity shall not be employed in a
job if--
(A) any other individual is on layoff from the same or any
substantially equivalent job;
(B) the employer has terminated the employment of any
regular employee or otherwise reduced the workforce of the
employer with the intention of filling the vacancy so created
with the participant; or
(C) the job is created in a promotional line that will
infringe in any way upon the promotional opportunities of
currently employed individuals (as of the date of the
participation).
(4) Health and safety
Health and safety standards established under Federal and State
law otherwise applicable to working conditions of employees shall be
equally applicable to working conditions of participants engaged in
specified activities. To the extent that a State workers'
compensation law applies, workers' compensation shall be provided to
participants on the same basis as the compensation is provided to
other individuals in the State in similar employment.
(5) Employment conditions
Individuals in on-the-job training or individuals employed in
programs and activities under this chapter, shall be provided
benefits and working conditions at the same level and to the same
extent as other trainees or employees working a similar length of
time and doing the same type of work.
(6) Opportunity to submit comments
Interested members of the public, including representatives of
businesses and of labor organizations, shall be provided an
opportunity to submit comments to the Secretary with respect to
programs and activities proposed to be funded under subchapter II of
this chapter.
(7) No impact on union organizing
Each recipient of funds under this chapter shall provide to the
Secretary assurances that none of such funds will be used to assist,
promote, or deter union organizing.
(c) Grievance procedure
(1) In general
Each State and local area receiving an allotment under this
chapter shall establish and maintain a procedure for grievances or
complaints alleging violations of the requirements of this chapter
from participants and other interested or affected parties. Such
procedure shall include an opportunity for a hearing and be
completed within 60 days after the filing of the grievance or
complaint.
(2) Investigation
(A) In general
The Secretary shall investigate an allegation of a violation
described in paragraph (1) if--
(i) a decision relating to such violation has not been
reached within 60 days after the date of the filing of the
grievance or complaint and either party appeals to the
Secretary; or
(ii) a decision relating to such violation has been
reached within such 60 days and the party to which such
decision is adverse appeals such decision to the Secretary.
(B) Additional requirement
The Secretary shall make a final determination relating to
an appeal made under subparagraph (A) no later than 120 days
after receiving such appeal.
(3) Remedies
Remedies that may be imposed under this section for a violation
of any requirement of this chapter shall be limited--
(A) to suspension or termination of payments under this
chapter;
(B) to prohibition of placement of a participant with an
employer that has violated any requirement under this chapter;
(C) where applicable, to reinstatement of an employee,
payment of lost wages and benefits, and reestablishment of other
relevant terms, conditions, and privileges of employment; and
(D) where appropriate, to other equitable relief.
(4) Rule of construction
Nothing in paragraph (3) shall be construed to prohibit a
grievant or complainant from pursuing a remedy authorized under
another Federal, State, or local law for a violation of this
chapter.
(d) Relocation
(1) Prohibition on use of funds to encourage or induce
relocation
No funds provided under this chapter shall be used, or proposed
for use, to encourage or induce the relocation of a business or part
of a business if such relocation would result in a loss of
employment for any employee of such business at the original
location and such original location is within the United States.
(2) Prohibition on use of funds for customized or skill
training and related activities after relocation
No funds provided under this chapter for an employment and
training activity shall be used for customized or skill training,
on-the-job training, or company-specific assessments of job
applicants or employees, for any business or part of a business that
has relocated, until the date that is 120 days after the date on
which such business commences operations at the new location, if the
relocation of such business or part of a business results in a loss
of employment for any employee of such business at the original
location and such original location is within the United States.
(3) Repayment
If the Secretary determines that a violation of paragraph (1) or
(2) has occurred, the Secretary shall require the State that has
violated such paragraph to repay to the United States an amount
equal to the amount expended in violation of such paragraph.
(e) Limitation on use of funds
No funds available under this chapter shall be used for employment
generating activities, economic development activities, investment in
revolving loan funds, capitalization of businesses, investment in
contract bidding resource centers, and similar activities that are not
directly related to training for eligible individuals under this
chapter. No funds available under subchapter II of this chapter shall be
used for foreign travel.
(f) Testing and sanctioning for use of controlled substances
(1) In general
Notwithstanding any other provision of law, a State shall not be
prohibited by the Federal Government from--
(A) testing participants in programs under subchapter II of
this chapter for the use of controlled substances; and
(B) sanctioning such participants who test positive for the
use of such controlled substances.
(2) Additional requirements
(A) Period of sanction
In sanctioning participants in programs under subchapter II
of this chapter who test positive for the use of controlled
substances--
(i) with respect to the first occurrence for which a
participant tests positive, a State may exclude the
participant from the program for a period not to exceed 6
months; and
(ii) with respect to the second occurrence and each
subsequent occurrence for which a participant tests
positive, a State may exclude the participant from the
program for a period not to exceed 2 years.
(B) Appeal
The testing of participants and the imposition of sanctions
under this subsection shall be subject to expeditious appeal in
accordance with due process procedures established by the State.
(C) Privacy
A State shall establish procedures for testing participants
for the use of controlled substances that ensure a maximum
degree of privacy for the participants.
(4) \1\ Funding requirement
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\1\ So in original. No par. (3) has been enacted.
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In testing and sanctioning of participants for the use of
controlled substances in accordance with this subsection, the only
Federal funds that a State may use are the amounts made available
for the administration of statewide workforce investment activities
under section 2864(a)(3)(B) of this title.
(Pub. L. 105-220, title I, Sec. 181, Aug. 7, 1998, 112 Stat. 1038.)
References in Text
This chapter, referred to in text, was in the original ``this
title'' meaning title I of Pub. L. 105-220, Aug. 7, 1998, 112 Stat. 939,
as amended, which enacted this chapter, repealed sections 1501 to 1505,
1511 to 1583, 1592 to 1735, 1737 to 1791h, 1792 to 1792b, 2301 to 2314
of this title, section 211 of former Title 40, Appendix, Public
Buildings, Property, and Works, sections 11421, 11441 to 11447, 11449,
11450, 11461 to 11466, 11471, and 11472 of Title 42, The Public Health
and Welfare, and sections 42101 to 42106 of Title 49, Transportation,
enacted provisions set out as notes under sections 1501, 2301, and 2940
of this title and section 11421 of Title 42, and repealed provisions set
out as notes under sections 801 and 2301 of this title and section 1255a
of Title 8, Aliens and Nationality. For complete classification of title
I to the Code, see Tables.
The Social Security Act, referred to in subsec. (a)(2), is act Aug.
14, 1935, ch. 531, 49 Stat. 620, as amended, which is classified
generally to chapter 7 (Sec. 301 et seq.) of Title 42, The Public Health
and Welfare. For complete classification of this Act to the Code, see
section 1305 of Title 42 and Tables.
Prior Provisions
Provisions similar to this section were contained in sections 1551
to 1554 of this title prior to repeal by Pub. L. 105-220.
Section Referred to in Other Sections
This section is referred to in title 7 section 2014.
