Amendments to the Fair Labor Standards Act of 1938

(a) Private enforcement Section 16(b) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(b)) is amended— (1) by inserting after the third sentence the following: Any employer who violates the provisions of section 12 or 13(c), relating to child labor, shall be liable to the employee or employees affected for compensatory damages and punitive damages in an amount that is not more than $250,000 for each such employee.; and (2) by adding at the end the following: The right provided by this subsection to bring an action by or on behalf of any employee with respect to violations of the provisions of section 12 or 13(c), relating to child labor, and the right of any employee to become a party plaintiff to any such action, shall terminate upon the filing of a complaint by the Secretary in an action under section 17 in which legal or equitable relief is sought as a result of alleged violations of such provisions.. (b) Civil penalties Section 16(e)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(e)(1)) is amended— (1) in subparagraph (A)— (A) in the matter preceding clause (i), by striking not to exceed and inserting of an amount (subject to subparagraph (C)) that is; (B) in clause (i), by striking $11,000 and inserting not less than $5,000 and not more than $132,270; and (C) in clause (ii), by striking $50,000 and inserting not less than $25,000 and not more than $601,150; and (2) by adding at the end the following: (C) The dollar amounts referred to in clauses (i) and (ii) of subparagraph (A) shall be increased annually, for fiscal year 2027 and every fiscal year thereafter, by the percent increase, if any, in the consumer price index for all urban consumers (all items; United States city average) for the most recent 12-month period for which applicable data is available.. (c) Criminal penalties Section 16(a) of the Fair Labor Standards Act of 1938 (29 U.S.C. 216(a)) is amended— (1) by striking Any and inserting (1) Any; (2) by inserting (other than subsection (a)(4) of such section) after section 15; (3) by striking subsection each place it appears and inserting paragraph; and (4) by adding at the end the following: (2) Any person who repeatedly or willfully violates section 15(a)(4) shall upon conviction thereof be subject to a fine of not more than $50,000, or to imprisonment for not more than 1 year, or both.. (d) Effective date The amendments made by subsections (a), (b), and (c) shall apply with respect to violations alleged to have occurred on or after the date of the enactment of this Act.