The NLRB released a Notice of Proposed Rulemaking (NPRM) on September 6, 2022. The new proposed rule states that two or more employers would be considered joint employers if they “share or codetermine those matters governing employees’ essential terms and conditions of employment,” such as benefits, wages, hiring and discharge, workplace health and safety.
Contractors/subcontractors, franchisees, labor unions, and temporary help service suppliers are examples of small businesses or entities that the NLRB has identified will most likely be impacted by the new proposed rule.
The NPRM proposes to rescind and replace the current joint-employer rule, which took effect on April 27, 2020. The current rule limits the joint-employer status to entities with “substantial direct and immediate control” over essential terms and conditions of another entity’s employees.
Members of the public have until November 7, 2022 to submit comments to the NLRB on the new proposed rule.
If your business has any questions on this proposed rule, or any other matters, please do not hesitate to contact the attorneys at The Royal Law Firm at 413-586-2288.
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