Companion Care Exemption Final Ruling: a Win for Home Care

Yesterday in the case of the Home Care Association of America, et al v. David Weil, et al, Judge Richard J. Leon ruled for home care by vacating a remaining key component of the U.S. Department of Labor’s regulations that would have effectively eliminated the longstanding companion care exemption under the Fair Labor Standards Act (FLSA).  The Department of Labor’s, modifying the FLSA, was set to take effect on January 1, 2015.  This important decision vacates the remaining key components of the final regulation, resolving both concerns with the Department of Labor’s updated definition of companion care and the exemption’s application to third party employers.

On December 22, you will remember that the Court ruled in home care’s favor as well, and this decision reinforces that December 22 decision resulting in a clear victory for clients of home care providers, including seniors and individuals with disabilities, who depend on these essential services to remain independent, and at home, where they want to be.

Home Care Association of America (HCAOA), the National Association for Home Care (NAHC) and the International Franchise Association (IFA) and many others who operate in the home centered care space have long held the Labor Department’s regulatory actions in this area to be outside the bounds of the the law.  Yesterday’s decision provides hope to many who had feared they would no longer be able to afford home care services due to the Labor Department’s overreach. This is an incredible victory for the home care industry and for those who seek to have care at home!