Fair Labor Standards Act Advisor

Residential Care

A private institution for the residential care of emotionally disturbed persons would come within the coverage of the FLSA if more than 50% of its residents have been admitted by a qualified physician, psychiatrist, or psychologist. For purposes of the 50% test, the term "admitted" includes evaluations of mental or emotional disturbance by a qualified physician, psychiatrist, or psychologist either subsequent to admission to the institution or preceding admission and if the evaluation is the cause for referral.

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