Search Travel Market Report

mainlogo
www.travelmarketreport.com
U.S.A.
English
Canada
English
Canada Quebec
Français
  • News
  • Tours & Packages
  • Cruise
  • Hotels & Resorts
  • Destinations
  • Retail Strategies
  • Air
  • River Cruise
  • Training & Resources

‘Time Is Of The Essence’ As DoL Plans Overtime Rules Change

by Richard D’Ambrosio  September 18, 2016

With just two months until new Department of Labor (DoL) overtime rules go into effect, ASTA continues to press DoL for a rulemaking that would spare agents from the potential increase in costs. A session today, led by ASTA general counsel Peter Lobasso and senior vice president of government affairs Eben Peck, will update members on what ASTA is doing, and how they can prepare to meet the  Dec. 1 deadline.

Agents have been analyzing their options since the ruling was announced in May, Lobasso said, and “for the most part, members who are aware of the new rules and will be affected by them are working diligently to educate themselves as to the available responsive options. Time is of the essence.”

In a July webinar attended by about 170 members, ASTA discussed various options, including reclassifying employees from exempt to non-exempt or pushing their salaries above the $47,476 threshold for overtime eligibility. Since then, “the content and the guidance have been updated, so those attending the AGC session will definitely learn something new,” Lobasso said. 

The panelists also will discuss the option of using independent contractors, “as a means of avoiding or minimizing the impact of the new overtime rule.”

The long-standing Retail or Service Establishment (RSE) exemption in current law could help some travel agencies avoid the costs and complexities that will come from complying with the new overtime rules. To qualify, the employee must work at an establishment “recognized as retail…in the particular industry”and where at least 75% of annual sales are “not for resale,” and must be paid at least 1.5 times the applicable minimum wage, more than half of it in commissions.

DoL has included travel agencies on a “blacklist” of industries that are deemed to “lack a retail concept” and thus can’t qualify for the RSE “under any circumstances.” On Aug. 9, ASTA formally petitioned DoL for removal of travel agencies from the blacklist. “Going forward, we’ll be monitoring legislative efforts to modify the new rules and, of course, keep our members fully apprised of the latest developments,” Lobasso said.

  
  
Related Articles
ASTA Global Conference Challenges Attendees To Confront Change
The Travel Agency Proposition: Adding Value Is Key
Distribution 2020: A Big Change For Travel Agents
ASTA-NACTA Ties Grow Closer Under Chamberlin
Three Leadership Tips From ASTA Global Speaker

MOST VIEWED

  1. Low Water Levels Muddle River Cruises In Europe, Force Cancellations & Adjustments
  2. Severe Weather Triggers Mass Flight Cancellations Across NYC Airports, Airlines Issue Waivers
  3. Europe Delays Start of ETIAS Until at Least 2027
  4. Flight Cancellations Spike at JFK, LGA, and EWR Amid Severe NYC Storms
  5. Airlines Issue Monday Travel Waivers Following Severe Northeast Storms, Major Delays
  6. European Travel Groups Urge EU to Suspend New EES Rules as Airport Lines Hit 7 Hours


TMR Subscription

Subscribe today to receive daily in-depth coverage from all corners of the travel industry, from industry happenings to new cruise ships, hotel openings, tour updates, and much more.

Subscribe to TMR

Top Stories
kimkim Enhances Travel Advisor Program with Co-Branding Tool & Upcoming Webinars
kimkim Enhances Travel Advisor Program with Co-Branding Tool & Upcoming Webinars

The updates were developed in collaboration with kimkim’s Travel Advisor Advisory Board and shaped by advisor feedback.

Halfway Home: Travel Advisors Report Strong Cruise Sales Lead the Way So Far in 2026
Halfway Home: Travel Advisors Report Strong Cruise Sales Lead the Way So Far in 2026

Luxury travel and cruise sales are buoying travel advisors’ first half of 2026.

Pavlus Travel & Cruise Expands Luxury Leadership Team
Pavlus Travel & Cruise Expands Luxury Leadership Team

Erik De La Cruz joins the team as VP of marketing, while Michael Steudle is promoted to chief luxury growth officer.

Where Will Your Next Client Come From? Proven Lead-Generation Tactics for Travel Advisors
Where Will Your Next Client Come From? Proven Lead-Generation Tactics for Travel Advisors

Every travel advisor has the same question: Where will my next clients come from? 

TTC Tour Brands Unveils Advisor Incentive for 2026 Bookings
TTC Tour Brands Unveils Advisor Incentive for 2026 Bookings

Advisors can earn bonuses for booking 2026 departures with Trafalgar, Insight Vacations, and Costsaver.

How to Craft an Elevator Pitch (& Stand Out from the Competition)
How to Craft an Elevator Pitch (& Stand Out from the Competition)

Communications expert Betsy Goldberg shared her tips for perfecting one’s elevator pitch.

TMR OUTLOOKS, WHITE PAPERS & DESTINATION GUIDES
View All
Advertiser's Voice
Maybe the Best Hotel Isn’t a Hotel – Explore the Ocean State of Mind
About Travel Market Report Mission Meet the Team Advisory Board Advertise Syndication Guidelines
TMR Resources Calendar of Events Outlook/Whitepapers Previous Sponsored Articles Previous This Week Articles
Subscribe to TMR
Select Language
Do You Have an Idea Email
editor@travelmarketreport.com
Give Us a Call
1-(516) 730-3097
Drop Us a Note
Travel Market Report
71 Audrey Ave, Oyster Bay, NY 11771
© 2005 - 2026 Travel Market Report, an American Marketing Group Inc. Company All Rights Reserved | Terms and Conditions
Cookie Policy Privacy Policy Manage cookie preferences