When does Exit recognize the costs associated with 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)
Based on the 2025 Exit Franchise Disclosure Document, Exit agents are considered independent contractors and do not receive vacation pay. Agents are responsible for planning their vacations to ensure the office remains adequately staffed.
During vacation, illness, or extended absences, Exit agents must arrange for another registered agent to handle their business. A written agreement should outline any compensation due to the covering agent. Agents are required to inform the broker/manager of their absence and who will be covering their responsibilities. If these arrangements are not properly made, the broker/manager has the authority to assign an agent to cover the work, and compensation may be required for the assisting agent.
This policy ensures that the Exit office maintains operational coverage while allowing agents the flexibility to manage their time off as independent contractors. Franchisees should ensure that all agents are aware of these requirements to avoid any staffing or compensation disputes.