Wednesday, February 17, 2010

DYK? Application of 75-Mile Rule to Staffing Firms

Under the regulations, an employee is not eligible for leave unless the employer employs 50 or more employees within 75 miles of the employee's work site. In the case of temporary employees, the rules specifiy that the work site is the temporary staffing office from which employees are assigned, not the client's place of business. Thus, all employees assigned from a temporary staffing office- even if a client work site is more than 75 miles from the office- are included in the head count for the purpose of determining the eligibility of both temporary and full-time staff employees. To avoid undue hardship to small tempory staffing offices, the staffing industry had urged that staffing firms be allowed to exclude their temporary employees in determining the eligibility of their full-time staffs. DOL declined to adopt such a two-tiered counting test. In meetings with industry representiatives, DOL officials said that there was no practical way to apply such a test only to staffing firms because other businesses also assign employees from central offices to work at remote client locations and that it would create significant administrative problems.

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