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In a 23-17 vote, the House Education and the Workforce Committee will send the Save Local Business Act bill to a full vote on the House floor. This bill aims to clarify the treatment of two or more employers as joint employers under the National Labor Relations Act and the Fair Labor Standards Act. If passed, the act would repeal a National Labor Relations Board ruling from the Obama era. This ruling redefined “joint employer” making companies and franchisors potentially liable for labor law violations by subcontractors. According to the Congressman who first introduced the bill this summer, Bradley Byrne (R-Ala), the legislation clarifies that two or more employers must have “actual, direct, and immediate” control over employees to be considered joint employers.
