Lawsuit filed to stop required overtime payments for outdoor Guide Companies

https://rec-law.us/3ozw8gj

State: Federal

Three Arkansas River Rafting Company owners have sued the federal government over new hourly wage laws. On any outdoor trip, rafting, mountaineering, even mountain biking a guide works long hours. Most guides work 12 and some days a lot more hours in a day. The new regulations would require those guides to be paid time & ½ for every hour after eight hours.

For an outfitter working under a federal permit or concession agreement, as a federal sub-contractor, they must now pay a guide for those extra hours. Since employee costs are the biggest expenses for most outfitters, that this going to price a lot of trips out of 90% of their customers’ ability to pay.

Guides also get fed while on trips, so there are some deductions for those costs in some cases, but not much. Guides are also usually paid a flat fee for the day. A guide paid $100 for an 8-hour day is now going to get a pay raise to the minimum wage at 1.5 times per hour. If a state’s minimum wage is $12 per hour, the guide for each hour after eight will be getting $18 an hour. And that will usually be another 4 or more hours. On a five-day trip that could be as much as another days pay at time and a half, if not more.

Probably, instead of helping guides, it will put a lot of them out of business. The cost of a trip will be so high; the number of trips will decrease, putting guides out of work.

With fewer trips, a lot of outfitters will also struggle. Multi day trip numbers have been declining over the years. Fewer people take the time to have a 3-5-day trip away from phones.

Mistake 1: For the three outfitters starting this lawsuit, they and their fellow permittees pushed so hard to have the Arkansas River become a National Monument, thinking it would increase the value of their permits; it has not, and has come back to haunt them, as many people predicted.

Why Is This Interesting?

Honestly, other than a few rivers such as the Grand Canyon that are only taking the upper class as guests anyway, this will destroy guided trips across the board. Outfitters do not make enough money on a trip to pay wages this high.

@RecreationLaw #RecLaw #RecreationLaw #OutdoorRecreationLaw #OutdoorLaw #OutdoorIndustry

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