President Biden’s administration has its target set on business-friendly laws and regulations enacted under the Trump administration with a stated goal of becoming more employee and union friendly.
Among the regulations targeted, the National Labor Relations Board (NLRB) under the Biden administration is eyeing changes to its joint employer standard and its independent contractor standard. The NLRB has also entered into a partnership with the Department of Labor (DOL) to share information and conduct joint investigations and enforcement activities against employers, including independent contractor misclassification issues and other areas where the two agencies’ jurisdictions overlap.
The NLRB announced in December 2021 that it will reexamine its joint employer standard. The NLRB’s joint employer analysis has significant implications for employers, as it determines when one entity jointly employs another entity’s workers for purposes of the National Labor Relations Act (NLRA). Among other results, a joint employer finding makes both entities liable for each other’s unfair labor practices. The Trump-era NLRB instituted a business-friendly standard that required that an entity have direct and immediate control over employee terms and conditions of work to be considered a joint employer. Biden’s NLRB is likely to restore the standard applied during the Obama-era or issue a similar rule. The Obama-era standard found joint employment status where one of...
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