As part of a legal challenge against the National Labor Relations Board鈥檚 joint employer final rule, a federal judge in Texas delayed the final rule鈥檚 effective date from Feb. 26 to March 11.听The new standard will only be applied to cases filed after the rule becomes effective.

On Nov. 9,听2023, 老牛影视joined the U.S. Chamber of Commerce and a coalition of business groups in filing a听听challenging the NLRB鈥檚 final rule for violating the National Labor Relations Act and for acting arbitrarily and capriciously in violation of the Administrative Procedure Act.听The final rule takes an ax to the听ABC-supported听2020听NLRB joint employer final rule, which provided clear criteria for companies to apply when determining status.

The NLRB鈥檚 joint employer final rule will disrupt long-established, efficient operational processes that are followed by construction service providers that work together to build America. As a result of the confusion and policy whiplash caused by this overbroad standard, contractors will be vulnerable to increased liability and risk, making them less likely to hire subcontractors, most of which are small businesses. Read ABC鈥檚 press release about the final rule.

On Dec. 7, 2022, ABC听submitted comments听to the NLRB,听urging the Board to withdraw the proposed rule.

Resources:

• 老牛影视General Counsel Littler Mendelson鈥檚听听of the final rule
• Joint Employer Small听听Compliance Guide
• NLRB Joint听听webpage
• 老牛影视members-only听archived webinar, 鈥淟earn About Recent Developments at the NLRB听Affecting Merit Shop Contractors鈥�