The U.S. Department of Labor Proposes Broad Changes in Its Interpretation of the Companionship and Domestic Worker Exemptions under the Fair Labor Standards Act
On December 27, 2011, the U.S. Department of Labor Wage and Hour Division (DOL) published a notice of a proposed rulemaking (NPRM) announcing drastic changes to DOL’s historic position
that all employers of companionship and domestic service workers are exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act (FLSA) under the 1974 amendments to the Act. Given the longstanding nature of the policy, the law appeared settled, especially since the United States Supreme Court issued a unanimous decision in June 2007 deferring to DOL’s interpretation. As a result of the NPRM, DOL has placed the law in a state of flux and opened the door to possible new litigation regarding the rights of certain workers to minimum wage and overtime pay for duties thought to fall within the scope of companionship services. Click here to read entire article.
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