LeadingAge Provides Comments to DOL on Companionship Exemption Changes
LeadingAge has submitted to the U.S. Department of Labor (DOL) comments generally in support of changes that the agency proposes to make in the scope and availability of exemptions to minimum wage and overtime requirements for companionship services to the elderly.
What would the proposed rule do?
The DOL's proposed rule would limit the availability of the exemption only to direct hiring relationships between the elderly, their family or household and the companion. Third-party agencies would be required to pay minimum wage and overtime to companions they provide.
Feedback from LeadingAge members revealed that the vast majority of companionship services providers already pay their staff minimum wage and overtime and thus would not be adversely affected by the proposed rule.
LeadingAge, however, asked for clarification regarding provisions in the proposed rule relating to joint employment relationships in which both the agency and the individual service recipient/family/household employ a particular companion.
In addition, LeadingAge objected to provisions in the proposed rule that would apply joint and several liability with respect to any wage and hour violations associated with the individual's improper claim of the exemption in a joint employment situation.