DOL Sharpens Meaning of Recreational ‘Establishment’ in Letter

The U.S. Labor Department narrowed its definition of amusement and recreational employers to those in fixed places after stating last year that it wouldn’t take enforcement action against those types of employers affected by the Covid-19 pandemic.

In an opinion letter Friday, the department’s Wage and Hour Division limited the definition of an “amusement and recreational establishment” to a physical location controlled by the entity, denying an online vendor offering adventure excursions for children and an event production company exemptions from the Fair Labor Standards Act’s minimum wage and overtime pay requirements.

These companies must comply with the act’s provisions ...