; (II) a merit system; (III) a system that measures rate of pay by quantity or quality of production; or (IV) a differential based on any lawful factor other than employment status; and (ii) the rate is not less than 80 percent of the prevailing rate at which the employer for whom the labor is performed pays wages to direct employees for similar work on jobs the performance of which requires similar skill, effort, and responsibility, and which are performed under similar working conditions. (3) Increased wages for covered employees (A) In general In the case of a covered employee who is not provided with the same benefits as the employer for whom the labor is being performed provides to its direct employees, the employer for whom the labor is being performed shall pay the covered employee, or require the employer providing the covered employee to pay the covered employee, a wage rate that, subject to subparagraph (B), is not less than the sum of— (i) the wage rate required under paragraph (2); and (ii) the lesser of— (I) an amount equal to 25 percent of the wage rate required under paragraph (2); or (II) the amount the employee would have to pay to secure equivalent benefits without an employer’s assistance. (B) Minimum In no case shall the minimum wage rate required under subparagraph (A) be less than 125 percent of the minimum wage rate required under subsection (a)(1). . (2) Limiting exemptions Section 13 of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 213 ) is amended— (A) in the matter preceding paragraph (1) of subsection (a), by inserting and section 6(c) after this subsection ; (B) in subsection (d), by inserting (except for subsection (c) of such section) after sections 6