U.S. Labor Board to Expand Companies' 'Joint Employer' Liability
This has been one of the most contentious labor issues for many businesses
A U.S. labor board on Tuesday moved to make it easier for workers and unions to hold companies liable for labor law violations by their franchisees and contractors, proposing to revive an Obama-era standard heavily criticized by trade groups.
The proposed rule from the National Labor Relations Board (NLRB) would treat companies as so-called "joint employers" when they have indirect control over working conditions such as supervision, scheduling, hiring and firing.
Joint employment has been one of the most contentious labor issues for many U.S. businesses since the Obama administration, when the NLRB had adopted a similar standard that trade groups said was unworkable and would curb franchising.
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