The American Society of Travel Advisors (ASTA) is putting its support behind the U.S. Department of Labor's (DOL) proposed rule that would provide clarity for travel agencies that rely on independent contractors (ICs).
ASTA recently pushed for a more predictable framework for defining ICs at its 2026 Legislative Day event on Capitol Hill, so it's no surprise that the organization is in support of the proposed rule on employee and independent contractor status under the Fair Labor Standards Act, the Family and Medical Leave Act and the Migrant and Seasonal Agricultural Worker Protection Act.
ASTA submitted an eight-page letter to DOL's Wage and Hour Division in response to the proposed rule on Friday, urging the department to provide additional clarity in the final rule, specifically around the greater weight given to the two core factors: the worker’s control over the work and the worker's opportunity for profit or loss.
ICs play a critical role in the travel agency industry, according to ASTA, with 71 percent of travel advisors operating as ICs.
Additionally, the vast majority of travel agencies —97 percent—qualify as small businesses under Small Business Administration size standards and may not have access to legal counsel, therefore, benefitting from a clearer definition.
"Independent contractors are essential to the travel advisor profession and to the entrepreneurial model that supports agencies of all sizes. ASTA strongly supports efforts to provide clearer, more predictable federal guidance so our members can engage independent advisors with confidence, remain compliant and continue serving travelers across the country," ASTA President and CEO Zane Kerby said in a statement Monday.
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