IFA Sounds Alarm Over Proposed Joint Employer Rule Change


The International Franchise Association monitors joint-employer rules and lobbies strenuously against regulatory changes that expand the types of businesses that are covered by those rules. Recently the IFA has battled state and federal regulations – such as a National Labor Relations Board rule proposed Tuesday, Sept. 6 – that would make franchisors liable for actions by franchisees.

The IFA and its members, which include franchisees as well as franchisors, have been satisfied with a Trump-era rule set in April 2020 stating that a business is legally considered to be a joint employer if it has direct, immediate control over another business entity’s workers. “The IFA sees no reason to change the rule,” Michael Layman, IFA senior vice president for government relations and public affairs, told reporters Tuesday, Sept. 6, during a conference call.

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