Interstate Worker Equity Protection Act

This Act amends the Fair Labor Standards Act of 1938 (FLSA) to protect access to vested employer equity for employees of enterprises engaged in interstate commerce or the production of goods for commerce, as defined in FLSA Section 3(s). Employers covered by this Act may not deny, forfeit, or claw back vested equity compensation (including stock options, restricted stock units, or profit interests that have vested) from employees based on termination, resignation, or non-compete clauses, except for cause such as proven theft, fraud, or gross misconduct adjudicated in court. Vesting schedules remain enforceable if clearly disclosed pre-grant. Employees may file complaints with the Department of Labor (DOL) Wage and Hour Division within 2 years of violation. DOL investigates and may order reinstatement of equity, back value, and liquidated damages equal to the equity's fair market value. Aggrieved employees have a private right of action in federal district court for the same remedies, with attorney fees for prevailing plaintiffs. This protection applies only to equity in companies with securities traded on national exchanges or engaged in interstate commerce exceeding $500,000 annual sales. States retain authority over intrastate employers. DOL must report annually to Congress on enforcement data and economic impact.