H.R. 3495Heading to a voteJobs & the economy
Bill would exclude direct sellers, real estate agents from FLSA employee status
Data as of July 11, 2026
HR 3495 would classify direct sellers and qualified real estate agents as non-employees under federal wage and hour law.40-second read · 4 questions answered below
Decoded
What does this do?
HR 3495 would amend the Fair Labor Standards Act (FLSA) to specify that direct sellers and qualified real estate agents are not "employees" under that law. It uses existing tax code definitions to determine who qualifies as a direct seller or real estate agent. This would keep these workers classified as independent contractors for federal wage and hour purposes.
Who does it affect?
The bill affects real estate agents, direct sales workers (including multi-level marketing and commission-based sellers), and the companies or brokerages that engage them.
Why does it matter?
Because employees are entitled to FLSA protections like minimum wage and overtime pay while independent contractors generally are not, this classification determines whether those protections apply to these workers.
Where does it stand?
- Introduced
- House committee
- House vote — You are here
- Senate
- President's desk
Right now: it's headed for a House floor vote. If the Senate changes it, it goes back to the House before reaching the President.
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Official title
Direct Seller and Real Estate Agent Harmonization Act
- Introduced:
- May 19, 2025
- Latest action:
- February 11, 2026
Placed on the Union Calendar, Calendar No. 420.
Read the official bill on Congress.govMake the call
Three steps: where you stand, your script, the call.