Takeaways

• The NLRB issued a final rule restoring the 2020 joint-employer standard, replacing the broader Browning-Ferris approach that had been reinstated in a 2023 rule that never took effect.
• Under the rule, a company is a joint employer only if it possesses and exercises substantial, direct and immediate control over at least one essential term of employment, such as wages.
• Sporadic, isolated or de minimis control does not create joint-employer status.

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Article

With its newly restored quorum, the National Labor Relations Board published a final rule for determining a joint employer under the National Labor Relations Act, reinstating its long-standing rule and higher threshold for determining joint-employer status. The rule went into effect on Feb. 27, 2026.

The final rule returns to the 2020 standard issued under the first Trump Administration that vacated the Board’s broader 2015 standard under Browning-Ferris Industries of California, Inc., 362 NLRB No. 186. Under the reinstated rule, a business must possess and exercise “substantial direct and immediate control” over at least one essential term and condition of employment of another employer’s employees to be found a joint employer.

The rule defines “substantial” direct control as actions that have “a regular or continuous consequential effect” on one of the eight core aspects of a worker’s job. These “essential terms and conditions of employment” are:

1. Wages
2. Benefits
3. Hours of work
4. Hiring
5. Discharge
...

Read Full Story: https://news.google.com/rss/articles/CBMiugFBVV95cUxPS0F5RU8wRGYyMmtSem9ndE5P...