Does Exit accrue compensated absences for sick pay and personal time?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
VACATION
Since agents are independent contractors who receive no vacation pay, they may regulate their own vacations, however, it is requested that the agent use judgement to assure that vacations are adequately planned as to not leave the office short-staffed. Agents must arrange for another registrant to attend to their business during vacation times, illnesses, or extended absences. Agents should have a written agreement that covers compensation, if any, due. Agents need to notify the broker/manager when they will be gone and who will be covering their business. If this has not been properly arranged, the broker/manager may assign an agent to do the work. Compensation may be due to an agent who assists.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, Exit agents, classified as independent contractors, do not receive vacation pay. Agents have the autonomy to manage their vacation schedules, but Exit requests that they plan adequately to avoid understaffing the office.
During absences for vacation, illness, or other extended periods, Exit agents must arrange for another registered agent to handle their business. Any compensation agreements between agents for covering such absences should be documented in writing. Agents are required to inform the broker/manager about their absence and who will be covering their responsibilities. If an agent fails to make proper arrangements, the broker/manager has the authority to assign another agent to cover the work, potentially resulting in compensation owed to the assisting agent.
This policy reflects the common practice in the real estate industry where agents are often treated as independent contractors, responsible for managing their own time off and business coverage. Franchisees should ensure that all agents are aware of these requirements to maintain office operations and client service levels during agent absences.