NATSO submitted comments on the National Labor Relations Board (NLRB) proposal to revise its joint employer standard, which took effect in 2020 under the Trump Administration. The joint employer standard is used to determine when two or more employers share responsibility for the essential terms and conditions of employment over a group of employees. Joint employers are required to negotiate with a union representing those employees and are liable for any violations of the National Labor Relations Act committed by either employer.
NLRB’s proposal would revise the definition of a “joint employer” to be two or more employers that “share or codetermine” employment conditions such as pay, scheduling, workplace safety and employee discipline policies.
These issues are a specific concern for the travel plaza industry, where the franchisee model is ubiquitous, and where many companies hire "independent contractors" to provide various services (e.g., fuel delivery, infrastructure maintenance, etc.) for their facilities.
NATSO opposed the proposal in its comments, arguing that joint employment should be determined only if an employer exercises direct and immediate control over the terms and conditions of employment.
The NLRB is just one governmental entity reexamining the joint employer standard, and the uncertainty surrounding this body of law is causing tremendous uncertainty and complexity for employers throughout the country.
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