BREAKING NEWS: U.S. Dept. of Labor Proposes Rule Reinstating the Companionship Exemption

On Monday, the U.S. Department of Labor’s Wage and Hour Division released a proposed rule that, if finalized, would reinstitute the companionship exemption that existed prior to 2013. You can read the full proposed rule here and download HCAOA’s summary of it here.

This is amazing news for the home care industry! HCAOA’s advocacy played a massive role in getting this exemption reinstated, as our many meetings with members of the White House, the U.S. Department of Labor, the U.S. Small Business Administration, and Congress appear to have paid off!
 
You can read our letter to the Office of Management and Budget detailing our thoughts on the exemption here.
 
Background on the Rule:
 
In 1975, regulations issued by the Department of Labor permitted employers of home care workers to claim the companionship exemption, which excluded certain home care workers from portions of the Fair Labor Standards Act. These regulations remained substantially unchanged for decades. However, in 2013, the Department published a final rule that significantly narrowed the scope of the exemption, making live-in care very difficult to provide for thousands of agencies.
 
If this proposed rule is finalized, thousands of agencies will again be able to provide the live-in care that so many Americans want and need.
 
As always, HCAOA will keep you posted on the latest news about this exemption.