21 Aug U.S. Department of Labor Publishes New Home Care Industry Guidance

This Field Assistance Bulletin (FAB) issued on 7/25/25 provides important updates for staffing agencies that hire domestic workers, particularly those in the home care industry. To summarize these updates:

1. Suspension of 2013 Final Rule Enforcement: The Wage and Hour Division (WHD) will no longer enforce the provisions introduced in the 2013 final rule. ​ This means staffing agencies, including home care agencies, can claim exemptions for workers providing companionship services (under section 13(a)(15)) or live-in domestic services (under section 13(b)(21)) of the Fair Labor Standards Act (FLSA). ​
2. Expanded Definition of Companionship Services: WHD investigators will consider companionship services to include fellowship, protection, and care, without limits on the time spent providing care. ​ Care duties may include activities of daily living (e.g., dressing, grooming, feeding) and instrumental activities of daily living (e.g., meal preparation, light housework, managing finances). ​
3. Exemptions for Third-Party Employers: Staffing agencies and home care agencies can claim exemptions for companionship services and live-in domestic workers, which were previously restricted under the 2013 final rule. ​
4. Exclusions for Trained Medical Personnel: Services provided by trained personnel, such as registered nurses or licensed practical nurses, are not exempt under this FAB, even if they provide companionship services. ​
5. Temporary Enforcement Policy: This enforcement guidance is temporary and will remain in effect until a new final rule is issued following the July 2, 2025, Notice of Proposed Rulemaking. ​

In summary, staffing agencies hiring domestic workers, particularly in home care, benefit from relaxed enforcement of the 2013 final rule, allowing them to claim exemptions for companionship and live-in services. However, trained medical personnel remain unaffected by these changes.

Further Resources

On July 25, 2025, the U.S. Department of Labor’s (DOL) Wage and Hour Division (WHD) issued Field Assistance Bulletin (FAB) 2025-4, providing enforcement guidance to WHD field staff regarding the home care industry under the Fair Labor Standards Act (FLSA).

The FAB’s enforcement guidance is effective as of July 25, 2025. It will remain in effect until the effective date of any final rule issued by the DOL regarding the 2013 final rule, which addressed minimum wage and overtime protections for domestic service employees.