Practice Areas

Paul Woody weighs in on NLRB Adopting an Expanded Joint-Employer Rule in The Business Journals

October 27, 2023

Paul Woody HeadshotPaul Woody, an attorney in Greensfelder’s Franchise practice group, shared insights on the National Labor Relations Board’s recently released final rule on the expanded joint-employer standard in an article from The Business Journals.

The new rule broadens the criteria for determining joint employer status, stating that two entities are considered joint employers if they share or co-determine employees' essential terms and conditions of employment. Woody highlighted the need for companies to review their policies due to the rule's broadening of factors determining joint employer status. He expressed concerns about the ambiguity created by the inclusion of "indirect control" and cited examples, such as scheduling systems and employee comments, that could lead to violations. Woody acknowledged the likelihood of future legal challenges but emphasized the time it will take for clarity to emerge from the system, leaving clients in a period of uncertainty regarding their joint employer status.

Read the full article here.

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