February 2, 2026
What it means: NFIB sent a letter to the U.S. House outlining legislation that threatens small business and highlighting bills that provide joint employer protections for small businesses.
Our take: The joint employer rule affects independent franchises and subcontractors. NFIB challenged expanding the definition of joint employer in 2023 and will continue to support a narrow definition to protect small businesses.
Take Action: Share with your lawmakers how the OSHA Heat Standard would impact your business operations!
The standard for determining whether two businesses are “joint employers” has a big impact on independent franchises. In a letter submitted to the U.S. House, NFIB experts explore legislation impacting the franchise model for small businesses and other related labor issues.
Passing the Save Local Business Act would protect independent franchises and subcontractors by narrowing the joint employer definition and making it a law that only owners who exercise direct and immediate control over a business can be labeled as joint employers.
NFIB challenged a rule that was struck down from the National Labor Relations Board (NLRB) to update the Joint Employer rule. It would have expanded the definition of joint employers, taken away control over their business from small franchise business owners, and saddled small businesses with significant compliance costs.
NFIB’s letter...
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