Wage and Hour Division (WHD)
Notice of Proposed Rulemaking to Amend the Companionship and Live-In Worker Regulations
Welcome to the Department of Labor’s Wage and Hour Division (WHD) Website on the proposed changes to the companionship and live-in worker regulations under the Fair Labor Standards Act.
While Congress expanded protections to “domestic service” workers in 1974, these Amendments also created a limited exemption from both the minimum wage and overtime pay requirements of the Act for casual babysitters and companions for the aged and infirm, and created an exemption from the overtime pay requirement only for live-in domestic workers.
Although the regulations governing exemptions have been substantially unchanged since they were promulgated in 1975, the in-home care industry has undergone a dramatic transformation. There has been a growing demand for long-term in-home care, and as a result the in-home care services industry has grown substantially. However, the earnings of in-home care employees remain among the lowest in the service industry, impeding efforts to improve both jobs and care. Moreover, the workers that are employed by in-home care staffing agencies are not the workers that Congress envisioned when it enacted the companionship exemption (i.e., neighbors performing elder sitting), but instead are professional caregivers entitled to FLSA protections. In view of these changes, the Department believes it is appropriate to reconsider whether the scope of the regulations are now too broad and not in harmony with Congressional intent.
Proposed Changes to the Companionship and Live-In Worker Regulations
On December 27, 2011 the Department published a Notice of Proposed Rulemaking (NPRM) to revise the companionship and live-in worker regulations for two important purposes:
- To more clearly define the tasks that may be performed by an exempt companion
- To limit the companionship exemption to companions employed only by the family or household using the services. Third party employers, such as in-home care staffing agencies, could not claim the exemption, even if the employee is jointly employed by the third party and the family or household.
Interested parties are invited to submit written comments on the proposed rule on or before February 27, 2012 at www.regulations.gov.
Additional Information on the NPRM:
- Notice of Proposed Rulemaking
- White House Announcement
- Frequently Asked Questions
- Remarks by the President on Minimum Wage and Overtime Protections for In-Home Care Workers
- Press Release
- Blog Post
- Fact Sheet: Proposed Rule Changes Concerning In-Home Care Industry under the Fair Labor Standards Act
- Comparison of Current vs. Proposed Companionship Regulations
- Economic Impact Analysis
- State Minimum Wage and Overtime Coverage of Non-Publicly Employed Companions
Additional Information on Companionship and Live-In Workers
- Fact Sheet - The Home Health Care Industry Under the Fair Labor Standards Act (FLSA)
- Fact Sheet - The Health Care Industry and Hours Worked
- The Fair Labor Standards Act
- Applicable FLSA Regulations