NLRB Says It Will Craft a New Joint-Employer Rule

NLRB Says It Will Craft a New Joint-Employer Rule

Editor’s note: In December, on a 3-2 vote the NLRB overturned an earlier decision setting a new standard for when two organizations will be found to be joint employers for the purposes of being held jointly liable for actions taken by either of them in regard to workers. In the December decision the NLRB said from then on joint employer status would only be found “if there is proof that one entity has exercised control over essential employment terms of another entity’s employees (rather than merely having reserved the right to exercise control) and has done so directly and immediately (rather than indirectly) in a manner that is not limited and routine.” Two months later the board was forced to throw out its December decision after its inspector general said one of the board’s members who voted with the majority should not have participated in the case because of a conflict of interest.