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1 in an industry affecting commerce who has eight or more 2 employees for each working day in each of twenty or more 3 calendar weeks in the current or preceding calendar year, 4 and any agent of such a person, and (2) a State or political 5 subdivision of a State, or an agency of one or more States or 6 political subdivisions, but such term does not include the 7 United States, or an Indian tribe: Provided, That it shall be 8 the policy of the United States to insure equal employment 9 opportunities for Federal employees without discrimination 10 because of race, color, religion, sex, or national origin and 11 the President shall utilize his existing authority to effectuate 12 this policy."

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(c) Section 701 (c) of such Act is amended by striking out "or an agency of a State or political subdivision of a

15 State,".

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(d) Section 701 (e) of such Act is amended by strik17 ing out "(A)" and all that follows down to and including 18 "thereafter" in the matter preceding paragraph (1) and 19 inserting in lieu thereof "eight or more."

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SEC. 2. Title VII of the Civil Rights Act of 1964 is 21 amended by deleting section 706 and inserting in lieu thereof

22 the following:

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"PREVENTION OF UNLAWFUL EMPLOYMENT PRACTICES

24 "SEC. 706. (a) The Commission is empowered, as 25 hereinafter provided, to prevent any person from engaging

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1 in any unlawful employment practice as set forth in section

2 703 or 704.

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"(b) Whenever a written charge has been filed by or on behalf of any person claiming to be aggrieved, or a 5 written charge has been filed by a member of the Com6 mission, that any employer, employment agency, or labor 7 organization has engaged in any unlawful employment prac8 tice, the Commission shall notify the employer, employ9 ment agency, or labor organization charged with the com10 mission of an unlawful employment practice (hereinafter 11 referred to as the 'respondent') of such charge and shall 12 investigate such charge. If the Commission shall deter13 mine that there is not probable cause for crediting such 14 charge it shall state its determination and notify any person 15 claiming to have been aggrieved and the respondent of 16 such determination. Each such determination shall be deemed 17 to be a final order of the Commission. If the Commis18 sion shall determine after such preliminary investigation 19 that probable cause exists for crediting such written charge, 20 it shall endeavor to eliminate any unlawful employment 21 practice by informal methods of conference, conciliation, and 22 persuasion. Nothing said or done during and as a part of 23 such endeavors may be used as evidence in any subsequent 24 proceeding.

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"(c) (1) If within a period of thirty days after a charge

2 is filed with the Commission, the Commission fails to secure

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an agreement between the parties for the elimination of 4 such unlawful practice on mutually satisfactory terms, ap5 proved by the Commission, the Commission shall issue and 6 cause to be served upon the respondent a complaint stating 7 the charges in that respect, together with a notice of hearing 8 before the Commission, or a member thereof, or before a 9 designated agent, at a place therein fixed, not less than ten 10 days after the service of such complaint. Whenever the 11 Commission is required to endeavor to secure voluntary compliance with this title and it determines that circumstances 13 warrant an early hearing, the Commission may issue a com14 plaint, in the same manner as provided in the preceding

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sentence, prior to the expiration of such thirty-day period. 16 No complaint shall issue based upon any unlawful employ17 ment practice occurring more than one year prior to the 18 filing of the charge with the Commission unless the person 19 aggrieved thereby was prevented from filing such charge reason of service in the Armed Forces, in which event

21 the period of military service shall not be included in com22 puting the one-year period.

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"(2) The respondent shall have the right to file a veri24 fied answer to such complaint and to appear at such hearing

80-226 67 3

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1 in person or otherwise, with or without counsel, to present 2 evidence and to examine and cross-examine witnesses. 3 "(d) (1) The Commission or a member or designated 4 agent conducting such hearing shall have the power reason5 ably and fairly to amend any complaint, and the respondent 6 shall have like power to amend its answer.

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(2) All testimony shall be taken under oath.

8 "(3) The member of the Commission who filed a charge 9 shall not participate in a hearing thereon, except as a 10 witness.

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"(e) (1) At the conclusion of a hearing before a mem12 ber or designated agent of the Commission, such member or shall transfer the entire record thereof to the Commis14 sion, together with his recommended decision and copies 15 thereof shall be served upon the parties. The Commission,

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agent

or a panel of three qualified members designated by it to sit 17 and act as the Commission in such case, shall afford the

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parties an opportunity to be heard on such record at a time 19 and place to be specified upon reasonable notice. In its dis

20 cretion, the Commission upon notice may take further

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testimony.

"(2) With the approval of the member or designated agent conducting the hearing, a case may be ended at any

time prior to the transfer of the record thereof to the Com

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1 mission by agreement between the parties for the elimina

2 tion of the alleged unlawful employment practice on mu3 tually satisfactory terms.

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4 "(f) If, upon the preponderance of the evidence, in5 cluding all the testimony taken, the Commission shall find 6 that the respondent engaged in any unlawful employment 7 practice, the Commission shall state its findings of fact and 8 shall issue and cause to be served on such respondent and 9 other parties an order requiring such respondent to cease and 10 desist from such unlawful employment practice and to take 11 such affirmative action as will effectuate the policies of this 12 title, including, but not limited to, establishing on-the-job 13 training for any persons aggrieved by such unlawful employment practice, or payment of damages, or reinstatement or 15 hiring of employees, with or without backpay (payable by 16 the employer, employment agency, or labor organization, as 17 the case may be, responsible for the discrimination): Pro18 vided, That interim earnings or amounts earnable with rea19 sonable diligence by the person or persons discriminated against shall operate to reduce the backpay otherwise allow21 able. Such order may further require such respondent to 22 make reports from time to time showing the extent to which 23 it has complied with the order. If the Commission shall find 24 that the respondent has not engaged in any unlawful employ25 ment practice, the Commission shall state its findings of fact

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