Real bill currently in Congress  c/o  HR/119/8660

To amend the Fair Labor Standards Act of 1938 to protect worker access to employer equity, and for other purposes.

Latest action (2026-05-04): Referred to the House Committee on Education and Workforce.

The Framers

“Founders’ Verdict”

CONDITIONAL

Confidence 0.50

Synthesis

2-2 split: Hamilton and Marshall deem CONSTITUTIONAL under Commerce Clause if limited to interstate activities; Madison and Jefferson deem UNCONSTITUTIONAL as overreach into state and private matters.

Hamilton YES

The proposed amendment to the Fair Labor Standards Act falls within Congress's enumerated power to regulate Commerce among the several States, as employer equity in the form of compensation affects the terms and conditions of labor in enterprises engaged in interstate commerce. Such regulation promotes uniformity in commercial relations, preventing the disunion and rivalry that would arise from disparate state regulations on labor compensation. The necessary and proper means to execute this power include protections for workers' access to such equity, ensuring the free flow of commerce without…

Article I, Section 8, Clause 3 Article I, Section 8, Clause 18 Federalist No. 11
Jefferson NO

The proposed amendment to the Fair Labor Standards Act seeks to impose federal regulation upon the private arrangements between employers and workers regarding equity, a matter of contract and property not enumerated among the powers granted to Congress. Such interference exceeds the limited authority of the federal government, which is confined to those objects expressly delegated, leaving all else to the States or the people. The freedom to contract and dispose of one's property as one sees fit is a fundamental principle of liberty, not subject to federal dictation in this manner.

Tenth Amendment Fifth Amendment
Madison NO

The proposed amendment to regulate worker access to employer equity falls outside the enumerated powers of Congress, as it pertains to the internal regulation of labor compensation within enterprises, which is a matter reserved to the States under principles of federalism. While the Commerce Clause authorizes regulation of commerce among the several States, it does not extend to dictating the terms of private equity distribution between employers and workers, absent direct interstate commercial intercourse. Such legislation risks enlarging federal authority beyond its defined limits, encroachi…

Article I, Section 8, Clause 3 Amendment X Federalist No. 45
Marshall YES

The proposed amendment to the Fair Labor Standards Act falls within the enumerated power of Congress to regulate Commerce among the several States, as employment relations and compensation structures, including equity interests, form part of the channels and instrumentalities of interstate commerce. This measure is also a means plainly adapted to a legitimate end within Congress's authority, namely the regulation of labor conditions affecting commerce, under the necessary and proper clause. Judicial review affirms that acts of Congress comporting with the Constitution must stand, while the sup…

Article I, Section 8, Clause 3 Article I, Section 8, Clause 18 Gibbons v. Ogden (1824) McCulloch v. Maryland (1819)

What should pass

“AI Consensus Solution”

Read full document →

Interstate Worker Equity Protection Act

Protect workers' ability to access and retain employer-provided equity compensation, such as stock options or shares, without unfair restrictions, forfeitures, or clawbacks by employers.

Bipartisan rationale: Honors Democratic priorities of strengthening worker protections and financial security in compensation; honors Republican priorities of strict limits to interstate commerce only (federalism), cost caps, sunset for review, and preservation of legitimate business vesting/for-cause exceptions to avoid overregulating private contracts.

Funding: Annual appropriations from the general fun Capped at $5 million per fisca Sunset 5y Oversight: DOL Office of Inspector Genera Enforcement: DOL Wage and Hour Division investiga

Vote-count path: ~250 House votes: 210 D labor advocates + 40 R business moderates; ~62 Senate votes: 48 D + 14 R from commerce-focused caucus.

→ Article I, Section 8, Clause 3 (regulates commerce among states) → Tenth Amendment (reserves intrastate employment to states)

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