Staffing agency employees may have to be compensated for interview time with clients according to a federal court in California.  On October 16th, 2009 in Sullivan v. Kelly Services, Inc., the court ruled that according to the state's wage and hour law, a staffing agency employee must be paid for the time spent interviewing with clients.  The court rejected the employee's claims for travel and preparation time, but according to the decision, since the agency setup the interview, placed its name and logo on the employee's resume, and provided interview preparation tips, the staffing agency controlled the process and knew that work was being performed.

The ramifications of this decision could be huge for staffing agencies if they are now forced to compensate employees for interview time and could change a great deal of the process in how staffing agencies present candidates to potential employers.  It is recommended that staffing agencies consult with legal counsel for guidance on how to address the liabilities raised by this decision.