(e) Inapplicability. The provisions of this section shall not be applicable to (1) Any pay adjustment with respect to which a prenotification or exception request was filed with the Pay Board or its delegate on or before January 10, 1973; (2) Any pay adjustment with respect to a control year covered by the terms of a decision and order issued by the Pay Board or its delegate or by the Council; or (3) Any payment or award with respect to executive and variable compensation of the types described in Subpart F, Part 201 of this title, whether or not such payment or award is treated as a wage and salary increase. (f) Service. An employer or employer association making any submission to the Council under the provisions of this section shall at the same time serve copies of each such submission on the collective bargaining agent, if any, for the affected employee unit. If such a submission is made by a collective bargaining agent for the employee unit, such collective bargaining agent shall at the same time serve copies of each such submission on the affected employer or employer association. A certification of service shall accompany all documents submitted to the Council under the provisions of this section. (g) Voluntary compliance after January 10, 1973. Application of phase 2 standards by the parties or by the Council under the provisions of this section shall extend only to the period ending January 10, 1973. Payment of wages or salaries after such date remains subject to the rules for self-administration and voluntary compliance set forth at § 130.12 and elsewhere in this part, even if retroactive payments are made with respect to work performed on or before such date pursuant to the provisions of this section. In all cases, payment of wages or salaries for work performed after January 10, 1973, remains subject to the challenge procedures set forth in Subpart J of this part, whether or not any orders are issued by the Council under the provisions of this section. (h) Liability for violations. The operation of this section shall not be deemed to relieve any person of liability arising from any violation which has been committed under the Act or the regulations in this title. [38 FR 12924, May 17, 1973, as amended at 38 FR 16232, June 21, 1973] § 130.21 Price reporting firms; reporting requirements. (a) A price reporting firm is a firm with annual sales or revenues of $250 million or more. (b) Each price reporting firm shall submit quarterly reports to the Council with information on prices, costs, and profits in accordance with regulations issued by the Council. § 130.22 Price recordkeeping firms; recordkeeping requirements. (a) A price recordkeeping firm is a firm with annual sales or revenues of $50 million or more. (b) Each price recordkeeping firm shall maintain information on prices, costs, and profits in accordance with regulations issued by the Council. § 130.23 Pay adjustments to be reported; reporting requirements. (a) A pay adjustment which applies to or affects 5,000 or more employees must be reported to the Council within 10 days after such adjustment has been put into effect. For purposes of this section, individual increases which apply to or affect an appropriate employee unit of 5,000 or more employees and are paid on a random or variable timing basis (e.g., pursuant to a merit plan) shall be reported for an appropriate 12-month period within 10 days after the first individual increase has been put into effect. (b) Reports of such pay adjustments shall be submitted to the Council on forms prescribed by and pursuant to instructions issued by the Council. [38 FR 12925, May 17, 1973] § 130.24 Pay adjustments subject to recordkeeping; recordkeeping quirements. re (a) A pay adjustment which applies to or affects 1,000 or more employees is subject to recordkeeping requirements. (2) Special rule: Only the first sale by the producer or grower of those agricultural products which are of a type sold for ultimate consumption in their original physical form is exempt. Examples of these products are: Shell, eggs pack aged or loose. Raw honeycomb honey. Fresh potatoes, packaged or not. All raw nuts shelled and unshelled. Fresh mushrooms. Fresh mint. Dried beans, peas, and lentils. All fresh vegetables and melons including: Strawberries. Grapefruit. Pears. Lemons. Plums and prunes. Onions. Watermelons. Pepper. Cauliflower. Spinach. Sweet corn. Unpopped popcorn. rally dried Apricots. Olives, uncured. Nectarines. (b) Dressed broilers and turkeys and raw seafood products. The first sale by (1) a producer of broilers or turkeys or (2) a producer or fisherman of raw seafood products including those which have been shelled, shucked, iced, skinned, scaled, eviscerated, or decapitated is exempt. (c) Raw sugar prices. Raw sugar price adjustments which are controlled under the Sugar Act of 1948, as amended. § 130.32 Real estate and insurance premiums. (a) Real estate-(1) Sales. (i) Unimproved real estate. (ii) Real estate with improvements completed prior to August 15, 1971. (iii) Real estate with improvements completed on or after August 15, 1971, if (a) The sales price is determined after the completion of construction; or (b) The sales price is determined before the completion of construction and the wage rates estimated by the builder at the time the price is determined are not subsequently reduced by any action under the Economic Stabilization Program. (2) Rentals. All rentals of residential and nonresidential real property. (b) Insurance premiums. (1) Premiums charged for the following lines of insurance purchased or renewed after November 13, 1971: (i) Reinsurance of all kinds. (iii) Inland marine insurance on a bid basis applicable to facilities of transportation and communication. (iv) Life insurance, annuities, and endowments (including individual and group contracts of: Ordinary and term life insurance, fixed and variable annuities, and endowments of all kinds); but excluding credit life insurance of any kind. (v) Individually negotiated and rated insurance contracts written in excess of a self-insured retention of at least $100,000. (2) Premiums charged for the following sublines of aviation insurance purchased or renewed after September 1, 1972: (i) Hull insurance. (ii) Liability insurance for bodily in(excluding passenger hazard) jury caused by an aircraft. (iii) Liability insurance for property damage caused by an aircraft. § 130.33 Certain price adjustments. (a) Federal, State, and local governments. (1) Price adjustments including rent adjustments for any work, service, publication, report. document, benefit, privilege, authority, use, franchise, license, permit, certificate, registration, or similar thing of value or utility, performed, furnished, provided, granted, prepared, issued, or transferred by any Federal department, agency, or other instrumentality including the Postal Service and wholly owned Government corporations as defined in the Government Corporation Control Act of 1945, as amended. (2) Price adjustments including rent adjustments by State and local governments for any work, service, publication, report, document, benefit, privilege, authority, use, franchise, license, permit, certificate, registration, facilities, materials, or similar thing of value or utility, performed, furnished, provided, granted, prepared, issued, or transferred including tuition and other charges for schools, colleges, and universities owned or operated by a State and local government; except, however, that fees or charges for health services (but not health service fees levied on all students as a condition of enrollment) and for utility services (including, gas, electricity, telephone, telegraph, public transportation by vehicle or pipeline, but not including water or sewage disposal services) provided directly or indirectly by a State and local government are not exempt under the provisions of this section. (b) Tuition fees of private nonprofit educational organizations. Tuition fees and other charges by private schools, colleges, and universities not operated for profit; except that: (1) Fees and charges resulting in income which is subject to tax under Part III of Subchapter F of the Internal Revenue Code of 1954, as amended, as unrelated business taxable income and (2) medical fees and charges, other than a health service fee levied on all students as a condition of enrollment, are not exempt under the provisions of this section. (4) All rates, fares, and charges for foreign air transportation (as defined by the Federal Aviation Act, 49 U.S.C. 1301 (21)) which are set forth in tariffs filed with the Civil Aeronautics Board or which are established or approved by the Civil Aeronautics Board. (e) Damaged and used products. Damaged and used products other than products which have been rebuilt, repackaged, baled, reassembled, or otherwise processed. (f) Government property. (1) Abandoned or confiscated property sold by any Federal, State, or local government agency pursuant to authorization of a court. (2) Property sold by the United States, including lease-sales. (g) Transactions in gold. Transactions in gold on the domestic market under license from the Secretary of the Treasury pursuant to the Gold Reserve Act of 1934 as amended, and regulations issued pursuant thereto. (h) Securities and financial instruments. (1) Securities as defined in § 101.2 (2) Property subject to net leases as defined in 26 U.S.C. 163 (d) (4) (a). (3) Commercial paper. (4) Commodity futures sold on an organized commodities exchange but not including the commodity (unless otherwise exempt). (1) Brokerage fees charged on a securities exchange. Brokerage fees, charged for the trading of securities on a securities exchange, that are subject to the jurisdiction of the Securities and Exchange Commission, when the Securities and Exchange Commission has certified that such fees are consistent with the objectives of the economic stabilization program. (j) Retail firms, including restaurants. Price adjustments of retail firms, including restaurants, with annual sales or revenues of less than $100,000. (k) Fees and charges imposed by Indian Tribal Councils. Price adjustments, including rent adjustments, for any work, service, publication, report, document, benefit, privilege, authority, use, franchise, license, permit, certificate, registration, commodity, or similar thing of value or utility, performed, furnished, sold, leased, provided, granted, prepared, issued, or transferred by any Indian Tribal Council which is formally recognized by a State or the Federal Government are exempt whether or not all or part of a particular transaction takes place on or off Indian Tribal lands. (1) U.S. tanker rates. Rates for the transportation of goods in a coastwise voyage by sea as defined in 46 U.S.C. section 88, in tank vessels built in and documented under the laws of the United States and owned by persons who are citizens of the United States, or tank vessels to which the privilege of engaging in the coastwise trade is extended by section 13 or 808 of title 46 of the United States Code. (m) Silver. Price adjustments for (1) commercial grade silver in refining shapes, (2) silver content in ores and done, (3) silver coins, and (4) other forms of silver sold for manufacturing or professional uses. § 130.34 Certain pay adjustments. (a) Federal pay adjustments. Federal Government employees' pay adjustments which are based upon Federal law and regulations and are determined by Presidential directives, including therein pay adjustments in the compensation and allowances of members of the Armed Forces; employees of the Judicial and of the Legislative Branch of the Federal Government: Provided, however, This section shall not exempt pay adjustments affecting employees of the U.S. Postal Service. (b) Pay adjustments affecting certain U.S. citizens. Pay adjustments which apply to or affect U.S. citizens who reside and are employed outside the United States and the District of Columbia. (c) Professional athletes. Pay adjustments of professional athletes, and pay adjustments of managers and coaches of professional athletes, when such managers and coaches are employed by professional sports organizations employing professional athletes. § 130.35 Miscellaneous. (a) Royalties and other payments from the sale of copyrights, manuscripts, and like materials prepared for publication. (b) Dues paid to a nonprofit organization. (c) Antiques and art objects including paintings, etchings, and sculpture. (d) Collectors' coins and stamps. (e) Rock and stone specimens including precious stones and mounting into which precious stones are set. (f) Handicraft objects. (g) The first sale of mint oil and maple syrup or sugar. (h) The first sale of dehydrated fruits. (i) Films. Price adjustments for motion pictures and television productions when such price adjustments are made by producers or distributors of motion pictures and television productions. § 130.36 Low wage employees. (a) Coverage. Unless otherwise limited in this section, the provisions of this section are applicable to employers and employees in all sectors of the economy, whether subject to self-administration or to mandatory controls under this chapter. (b) Exemption. In accordance with the provisions of section 203 (d) of the Act, wages or salaries paid to an employee earning a straight-time hourly rate that is equal to or less than $3.50 are exempt from the limitations imposed under the provisions of this chapter. (c) Prior provision inoperative. The rules governing payments to low wage employees provided by the Pay Board during Phase II of the Economic Stabilization Program, which are set forth in § 201.19 of this title, are inoperative on and after May 1, 1973. (d) Employees earning more than $3.50. The provisions of this paragraph are applicable to employees who are paid straight-time hourly rates in excess of $3.50, and who are members of an appropriate employee unit in which low wage employees are paid wage or salary increases which are exempt under the provisions of paragraph (b) of this section. (1) Industries subject to self-administration (i) Application of customary practice. The Council recognizes that where wages or salaries of lower wage employees within a unit have been increased, employers and employees have customarily adjusted wage or salary rates for higher rated employees in the same unit pursuant to a variety of procedures. Such procedures have included, but have not been limited to (a) Increasing wages or salaries for the employees by an amount (expressed in dollars and cents) equal to the amount of increase (expressed in dollars and cents) paid to the lower-paid employees. (b) Increasing wages or salaries for the employees by a percentage equal to the percentage increase paid to the lower-paid employees. (c) Increasing wages or salaries for the employees by amounts or percentages which decrease as base wages or salaries increase, in a tapering process. (d) Other procedures which reflect methods of aligning the occupational structure of the unit and differentials among job classifications. (ii) Wage adjustments. Employers and employees subject to self-administration under this chapter may adjust wages or salaries paid to employees subject to the provisions of this paragraph in a manner that recognizes the impact of such factors as the occupational structure of the unit and differentials among job classifications, and that is consistent with their past practice in such situations (as described in paragraph (d) (1) (i) of this section) and with the standards and goals of the Economic Stabilization Program as set forth in § 130.12 and elsewhere in this chapter. (iii) Reporting. When, pursuant to any regulation in this part or pursuant to an order or request of the Council, an employer submits to the Council a prenotification or report of pay adjustments, and wages or salaries in the subject appropriate employee unit have been adjusted or are proposed to be adjusted as described in paragraph (d) (1) (ii) of this section, such employer shall include in such prenotification or report a description of such adjustments for the entire appropriate employee unit and the manner in which the adjustments were calculated. Such prenotification or report should include a Form PB-3 or PB-3A that covers separately those employees whose straight-time hourly rates on the |