Federal Judge Blocks National Labor Relations Board’s Expansion of Joint Employment Definition, Protecting Franchisor-Franchisee Relationships
Houston, Texas – A federal judge in Texas has temporarily blocked the National Labor Relations Board (NLRB) from implementing a new rule that would expand the definition of joint employment. The ruling comes one day before the rule was set to take effect. The regulation, which aimed to increase franchisors’ responsibility for labor violations committed by their franchisees and require both entities to negotiate with employee unions, was challenged in court by a coalition of business groups including the U.S. Chamber of Commerce, the International Franchise Association, the Restaurant Law Center, and the Texas Restaurant … Read more