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Franchises Brace for Looming NLRB Decision

The ruling on joint employer liability is expected this week, and the outcome could have a huge impact on the industry.

By Nick Powills1851 Franchise Publisher
SPONSOREDUpdated 2:14PM • 08/26/15
The National Labor Relations Board is expected to make its ruling this week on joint employer liability. A move to increase that liability would dramatically alter the relationship between franchisee and franchisor. 
 
The International Franchise Association and other trade organizations argue that treating franchisors and franchisees as joint employers guts a longtime business model that gives unit owners license to make many of their own decisions and helps the economy prosper. They also say it makes franchisees weaker in the face of campaigns by union-backed groups, like the one that helped organize protests at McDonald's and other chains for a boosted minimum wage. 
 
“We’re preparing for the worst and hoping for the best,” Matthew Haller, the International Franchise Association’s senior vice president for communications and public affairs, told Bloomberg BNA. 
 
For more details and franchise industry reaction, read the full story here: BloombergBNA

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