DOL Takes Smart First Step On Joint Employer

With this move, Alex Acosta is doing exactly what he promised prior to his confirmation. American workers have been disadvantaged for far too long and this is an important first step to putting people back to work across the country

June 7, 2017

Earlier today, Labor Secretary Alex Acosta proved that he is on the side of both American workers and employers by rolling back a job-destroying measure from the Obama Administration that expanded the definition of “joint employer,” to underhandedly penalize a number of companies.

The Washington Examiner reported on the decision from Secretary Acosta and noted that it is a victory since the previous decision could allow franchises to “be held liable for all manner of violations at workplaces they didn’t directly oversee,” which is clearly an unrealistic and unfair interpretation of the rule.

According to the Examiner, the International Franchise Association applauded this first step, but urged Congress to do more so that unfair labor mandates are no longer hindering private sector job growth:

“While uncertainty surrounding the new joint employer standard has made it harder for America’s 733,000 franchise owners to grow and create new jobs, we are pleased the DOL is taking first steps to undo this costly regulation created by the previous administration. That being said, we urge Congress to now recognize the uncertainty and unreasonable costs the NLRB’s decision has placed on franchise owners and take action to find a true permanent solution,” said Matt Haller, spokesman for the International Franchise Association.

With this move, Alex Acosta is doing exactly what he promised prior to his confirmation. American workers have been disadvantaged for far too long and this is an important first step to putting people back to work across the country. As more burdensome regulations from the previous administration are rolled back, job opportunities will start increasing, giving more Americans the chance to find steady work and contribute to the nation’s growing economy.