Small Businesses Support Resolution Rescinding NLRB’s Joint Employer Rule

Date: March 06, 2024

NFIB Key Votes U.S. Senate CRA disapproving final rule

WASHINGTON, D.C. (March 6, 2024) – The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, announced an NFIB Key Vote in support of H.J.Res. 98, Providing for congressional disapproval under chapter 8 of Title 5, United States Code, of the rule submitted by the National Labor Relations Board relating to “Standard for Determining Joint Employer Status.” The legislation would restore the independence of small business owners by repealing the NLRB’s harmful new joint employer status.

“The current NLRB rule complicates the determination for joint employer status for small business owners, especially for those who are franchisees,” said Adam Temple, NFIB Senior Vice President of Advocacy. “The standard now allows workers to collectively bargain with national franchisors, instead of local franchisees, which may require franchisees to abide by a collective bargaining agreement to which they did not agree. In addition, we are concerned the current standard will unknowingly subject small business owners to new liabilities for labor law violations. Small businesses are pleased the U.S. Senate recognized the difficulties of the current standard and are working to rescind the rule.”

NFIB opposed the final rule from the NLRB issued last year and has advocated for the NLRB to return to a simplified determination for joint employer status.

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