Professional Service Agreement

Appeals Court Reinstates Wage Rules for Home Care Workers

August 21, 2015

Federal Appeals Court Reinstates Wage Rules for Home Care Workers

Since 1974, federal law has exempted home care workers hired through third-party staffing agencies from minimum wage and overtime requirements. In 2013, the Department of Labor (DOL) announced new regulations that would remove that exemption. Earlier this year, a federal district judge invalidated the regulations after finding that the DOL had overstepped its authority. Today, however, a panel of federal appellate judges has reinstated those regulations. The three-judge panel concluded that the Fair Labor Standards Act gave the DOL authority to determine which in-home care services are exempt from minimum wage and overtime protections.

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