Federal

Respect for Workers Act

Source: Congress.gov · 349 words in original text

What This Bill Does

This bill modifies the Federal Reserve Act to emphasize the importance of workers. It requires the Federal Reserve's Board of Governors to consider how their actions affect different groups of people and adds a requirement that at least one board member have experience protecting worker rights.

Who It Affects

Members appointed to the Board of Governors of the Federal Reserve System.

Key Provisions

• The Federal Reserve must consider the "distributional effect" (how their actions affect different groups) when conducting monetary policy decisions. (Sec. 2(1)) • The Board of Governors must include at least one member with demonstrated primary experience in supporting or protecting the rights of workers. (Sec. 2(2)) • This worker-focused board member shall be the lead member in charge of promoting effectively and developing policy recommendations for the Board to meet the goal of maximum employment. (Sec. 2(2))

What Changes

If this bill becomes law, future appointments to the Federal Reserve Board of Governors must include at least one member with experience in worker rights and protections. The Federal Reserve's policy decisions must also take into account how those decisions affect different groups of people.

Important Definitions

None defined.

Effective Date

These changes apply to any appointment to the Board of Governors made on or after the date the bill becomes law. (Sec. 3)

II 118TH CONGRESS 1ST SESSION S. 496 To amend the Federal Reserve Act to reaffirm the importance of workers. IN THE SENATE OF THE UNITED STATES FEBRUARY 16, 2023 Mr. REED (for himself, Mr. BROWN, Ms. WARREN, Mr. VAN HOLLEN, Mr. BOOKER, Mr. WHITEHOUSE, Ms. BALDWIN, Mr. PADILLA, Mr. MERKLEY, and Mr. CASEY) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To amend the Federal Reserve Act to reaffirm the importance of workers. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Respect for Workers 4 Act’’. 5 SEC. 2. BOARD OF GOVERNORS OF THE FEDERAL RESERVE 6 SYSTEM. 7 The Federal Reserve Act (12 U.S.C. 221 et seq.) is 8 amended— 9 VerDate Sep 11 2014 04:25 Mar 04, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S496.IS S496 kjohnson on DSK79L0C42PROD with BILLS 2 •S 496 IS (1) in section 2B(b) (12 U.S.C. 225b(b)), by in- 1 serting ‘‘and distributional effect’’ after ‘‘conduct’’; 2 and 3 (2) in section 10 (12 U.S.C. 241), in the third 4 sentence of the first undesignated paragraph, by in- 5 serting ‘‘and at least 1 member with demonstrated 6 primary experience in supporting or protecting the 7 rights of workers, who shall be the lead member of 8 the Board in charge of promoting effectively and de- 9 veloping policy recommendations for the Board to 10 meet the goal of maximum employment described in 11 section 2A’’ before the period at the end. 12 SEC. 3. APPLICABILITY. 13 The amendment made by section 2(2) shall apply to 14 any appointment to the Board of Governors of the Federal 15 Reserve System made on or after the date of enactment 16 of this Act. 17 Æ VerDate Sep 11 2014 04:25 Mar 04, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6301 E:\BILLS\S496.IS S496 kjohnson on DSK79L0C42PROD with BILLS

Important: This plain English summary was generated by AI and is provided for informational purposes only. It is not legal advice. Always consult the official bill text on Congress.gov or a qualified attorney for legal matters.