DSA Delegates to Urge Congress and White House to Advance H.R. 3495, Clarifying Independent Contractor Status for Direct Sellers

Direct Selling Day on Capitol Hill to Spotlight Direct Selling Voices to Meet with 100+ Legislators and Demonstrate the Direct Selling Channel's Impact on the American Economy

WASHINGTON, D.C. - On September 17, 2025, the Direct Selling Association (DSA) will bring 85 direct sellers and executives from across the United States to Washington, D.C., for its annual Direct Selling Day on Capitol Hill.

The top priority for the day is urging Members of Congress and Trump Administration officials to advance H.R. 3495 - the Direct Seller and Real Estate Agent Harmonization Act, bipartisan legislation that would provide much-needed clarity in federal law by explicitly defining direct sellers and real estate agents as independent contractors under the Fair Labor Standards Act (FLSA).

For more than 40 years, the Internal Revenue Code has recognized direct sellers and real estate agents as independent contractors. However, conflicting federal and state rules have created uncertainty, threatening the ability of millions of Americans to operate their businesses independently. H.R. 3495 would harmonize federal law and protect a pathway to small business ownership for direct sellers, real estate professionals, and other micro-entrepreneurs.

"Direct selling empowers millions of Americans to earn income and build businesses on their own terms," said Dave Grimaldi, CEO of the Direct Selling Association. "H.R. 3495 is a common-sense solution that removes ambiguity from federal law, strengthens consumer protections, and ensures that direct sellers and real estate professionals can continue to thrive as independent contractors. Our channel represents $34.7 billion in retail sales and over $111 billion in economic impact. Clarity in the law is essential to safeguarding these opportunities."

Direct Selling Day will include meetings that reach beyond members of the Direct Selling Caucus, a bipartisan forum in Congress dedicated to championing the interests of millions of direct selling entrepreneurs. Delegates will share their personal stories with policymakers and highlight the industry's contributions, which include 5 million active sellers, 34 million customers, and $15.5 billion in tax revenue.

Highlights of this year's Hill Day include:

• A CEO Dinner featuring Rep. Tim Walberg (MI-5), Chairman of the House Committee on Education and the Workforce, offering insights on workforce policy and H.R. 3495.

• A delegation of executives meeting with Trump Administration officials at The White House to discuss direct selling's economic impact, self-regulatory initiatives, and policy priorities.

• A strategic meeting with Speaker Mike Johnson's staff to explore how Congress can support independent entrepreneurs, strengthen consumer protections, and foster U.S. innovation.

"Direct sellers have been recognized as independent contractors in the tax code since 1982, yet outdated legal language leaves them vulnerable to misclassification and litigation," Grimaldi added. "H.R. 3495 provides consistency with existing federal and state standards, giving millions of Americans confidence to invest in their businesses and communities."

About the Direct Selling Association (DSA)

We are the collective voice of the visionaries, entrepreneurs, trailblazing women, and innovators comprising the most powerful, people-driven distribution channel in the world. Our mission is to advance a policy and regulatory environment that embraces innovation, protects consumers, and empowers entrepreneurs across America and the globe to build businesses on their own terms.

For more information, visit www.dsa.org