Temporary staffing firms may qualify as “retail or service establishments” and therefore may be able to apply the Fair Labor Standards Act’s (FLSA) “retail sales” overtime exemption to some of their employees, according to a recent opinion letter from the U.S. Department of Labor (DOL).
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The new opinion could provide significant benefits to staffing companies with an inside sales force or commissioned recruiters in their business operations.
How We Got Here
For the past 2 decades, FLSA lawsuits have increased more than 200%. The DOL and the federal courts have broadly construed the Act’s