Direct Selling Roundup

Saladmaster President enters DSA UK Hall of Fame

Ayo Olasiende, the President of Saladmaster was recognized as a member of the DSA UK Hall of Fame. His induction is a recognition of his efforts and contributions to the growth of the direct selling industry. His leadership and vision have accelerated the company’s expansion and growth in the global direct selling industry.

“Ayo has dedicated decades to shaping, defending, and uplifting the world of direct selling. Through tireless advocacy, unwavering integrity, and a belief in people over profit, he’s left an indelible mark on our industry,” said Susannah Schofield, Director General of the Direct Selling Association.

DSA’s advisory on independent contractor status

Direct Selling Association issued an advisory on the classification of individuals as employees and independent contractors. Currently, the employee classification rule is not being enforced but when enforcement does begin, investigators will use long-standing classification principles. The DSA has expressed concerns about the confusion caused by the new rule and is advocating for legislation that clearly defines direct sellers as independent contractors under the Fair Labor Standards Act (FLSA).

DSA affirms that there are no new regulatory changes at present. However, the Department of Labor can enforce the law at its sole discretion. DSA strives to protect companies and their network of independent contractors from legal challenges caused by confusion in the rule.

New opportunity for direct selling companies among younger generations

A LinkedIn Workforce Confidence survey cites that 38% of Millennials and Gen Z are willing for a pay cut if that gives them more flexibility at work. This trend highlights the preference of work-life balance among youngsters. Millennials and Gen Z prioritize opportunities that offer remote work and flexible income opportunities. Even older generations like Gen X and Baby Boomers are also open to pay cuts if that leads to better long-term career opportunities.

Younger generations value long-term gains like flexibility, growth, and career satisfaction compared to short-term earnings. Direct selling companies will benefit from the trend with the already flexible model that younger workers are now seeking. In addition to this, community building, mentorship and social responsibility will attract these generations’ desire for purpose-driven careers.

Companies preparing to onboard younger generations in their team should showcase career development opportunities than financial benefits.

FTC's deferred rulemaking and corporate scrutiny

The Federal Trade Commission has deferred the Click-to-Cancel rule which was scheduled to go into effect on May 14th to July 2025. The new rule, also called the Negative Option rule, requires companies to disclose all terms and conditions on their subscription programs to customers before acquiring their billing details. FTC stepped in to enforce the rule based on hundreds of customer complaints about negative option marketing.

In another step to protect customer rights, FTC filed a complaint against IYOVIA citing that the company violated Section 5a of the FTC Act and various other allegations for telemarketing and consumer fraud. The complaint accuses IYOVIA of making false claims and earnings representations.

IYOVIA is an investment company operating since 2018. The company came under FTC scrutiny for its marketing tactics which involved deceptive earnings claims for attracting investors.