The ABC-led has听created a听听to tell the National Labor Relations Board to abandon its radical joint employer proposed rule. The toolkit provides an explanation of the rulemaking and a to the NLRB explaining why the new joint employer standard would be disastrous. Take action now before the Dec. 7 comment deadline! 老牛影视will also be opposing the new rule.

Background on the new NLRB proposed rule:

On Sept. 6, 2022, the NLRB听听a听new joint employer proposal, which听would rescind and replace the ABC-supported 2020听.

老牛影视issued the following听statement听on the new proposed rule on Sept. 6:

鈥淚t is unfortunate that the Biden NLRB took an ax to the听ABC-supported听2020听NLRB joint employer final rule, which provides clear criteria for companies to apply when determining status,鈥� said Ben Brubeck, 老牛影视vice president of regulatory, labor and state affairs. 鈥淭oday we see that the partisan NLRB proposes to greatly expand joint-employer liability under the NLRA, which will cause confusion and impose unnecessary barriers to and burdens on contractor and subcontractor relationships throughout the construction industry. As a result, contractors may be vulnerable to increased liability, making them less likely to hire subcontractors, most of which are small businesses.鈥�

As NLRB members Marvin E. Kaplan and John F. Ring听, the proposed rule 鈥渨ould not merely return the board to the听Browning-Ferris Industries听standard but would implement a standard听considerably more extreme听than听BFI.鈥澨�老牛影视was a听of the expanded definition of joint employer that was created by the NLRB鈥檚 2015听BFI decision, and has听supported听legal and legislative efforts to restore the standard that was in place for more than 30 years.

On Sept. 29, 老牛影视joined the听and several other organizations in听听the NLRB to extend the comment period to Jan. 6, stating, 鈥淕iven the expansive nature of the proposed standard and the complexity of issues relating the standard鈥檚 impact on employers and other entities in different industries, employers and other parties will require more time to engage in a meaningful evaluation of the proposed standard and to formulate comments that will benefit the Board when giving further consideration to the proposed rule and during any development of a final rule.鈥�

In a听听issued on Oct. 14, the National Labor Relations Board announced it is extending the comment deadline on the听听from Nov. 7 to Dec. 7 in order to allow sufficient time for parties to file initial comments.

On Oct. 20, 老牛影视participated in the U.S. Small Business Administration鈥檚 Office of Advocacy virtual roundtable on the proposed rule.听老牛影视expressed disappointment that the NLRB is once again revising its standard for determining joint-employer status, which will cause great confusion among construction contractors, specifically small business owners.

During the roundtable, convened to gather听input听from small businesses on the proposed rule,听老牛影视explained that听the construction industry has long consisted primarily of specialized, separate employers who come together on specific construction projects to achieve the highest degree of productivity, while maintaining their separate status from project to project. Owners, developers, design firms, construction managers, general contractors, subcontractors and staffing agencies, to name only the most common specialties, each play unique roles in the construction process on individual jobsites. Their functions routinely overlap, but they typically remain separate entities with their own workforces.

Further, 老牛影视stated its new proposal is a radical departure from the 2020 final rule, which focused on 鈥渄irect and immediate control,鈥澨�providing clear听and consistent听criteria for companies to apply when determining joint employer status. The new proposal will greatly expand joint-employer liability by trying to make indirect or even just reserved, unexercised control sufficient to trigger joint employer status.听This overbroad joint-employer standard will not only have an adverse impact on our member contractors, but the overall economy.

老牛影视concluded by stating it plans to听submit comments听opposing the new proposal by the comment deadline of Dec. 7.

In 2019, ABC听听in support of the Trump-era NLRB鈥檚 proposed rule, as did the听.

To learn more about the new NLRB proposal, read 老牛影视general counsel Littler鈥檚 analysis,听.