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FEDERALhearing transcript
High Impact

Senate Hearing on the 'Joint Employer' Labor Standard

Original title: WHO'S THE BOSS? THE ``JOINT EMPLOYER'' STANDARD AND BUSINESS OWNERSHIP

January 1, 2017

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The Frame

What this does

The hearing examines a proposed change to the legal test for determining if a parent company is a '' of a 's workers, which could alter liability and labor relations for over 700,000 franchise owners.

Who is mentioned in the record

Potentially affected actors named in the source documents. Mention is not a position.

Franchise owners

Changes to the joint employer standard could alter their legal relationship with parent companies and their employees.

National Labor Relations Board

The agency is responsible for proposing and implementing the change to the joint employer standard.

What changed

Last recorded activity January 1, 2017.

What's next

Next step not available in the current record.

Summary

The Senate Committee on Health, Education, Labor, and Pensions held a hearing on February 5, 2015, to discuss potential changes to the National Labor Relations Board's () '' standard. The discussion focused on how redefining this standard could impact franchise owners and their business operations.

Key Facts

  • The hearing took place on February 5, 2015, in the Dirksen Senate Office Building.
  • The 'joint employer' standard has been in place since 1984.
  • The current standard requires a business to hold 'direct control' over terms and conditions of employment to be considered a joint employer.
  • The NLRB is considering a change to the joint employer standard.
  • The committee identified over 700,000 Americans operating as franchise owners who may be affected by the standard.
  • The NLRB test for joint employment currently evaluates hiring/firing, work hours, uniforms, employee direction, compensation, and day-to-day supervision.

Frequently Asked Questions

What is the 'joint employer' standard?
It is a legal test used by the National Labor Relations Board to determine if a company has enough control over workers to be considered their employer, even if those workers are employed by a or contractor.
Why is the Senate committee concerned about this standard?
The committee is examining whether a change to this standard would increase the legal and operational responsibilities of franchise owners, potentially impacting their ability to operate independently.

Why It Matters

The hearing examines a proposed change to the legal test for determining if a parent company is a '' of a 's workers, which could alter liability and labor relations for over 700,000 franchise owners.

News Coverage

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Discoveries

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift90% confidence

NLRB Standard Evolution

The hearing highlights a clear effort by the committee to challenge the NLRB's move away from the 'direct control' test established in 1984.

Connected Entities

organizationNational Labor Relations BoardThe federal agency responsible for the joint employer standardMap →
personMarshall B. BabsonWitness, Counsel at Seyfarth Shaw LLPMap →
personGerald F. MooreWitness, Franchise Owner of The Little GymMap →
personLamar AlexanderChairman of the Committee on Health, Education, Labor, and PensionsMap →
personJohn Sims IVWitness, Franchise Owner of Rainbow StationMap →
personPatty MurrayRanking member of the committeeMap →
personPaul M. SecundaWitness, Professor of Law at Marquette UniversityMap →

Sources

Open source document

www.govinfo.gov

Analysis Score

0–100
  • Significance75
    How much this matters to a regular citizen
  • Controversy60
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz20
    Current news / social attention level

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