Advocacy Recommends that the NLRB Reassess the Compliance Costs of Joint Employer Rule for Small Business

On September 7, 2022, the National Labor Relations Board proposed a rule that would expand the joint-employer definition under the National Labor Relations Act. This expansion extends liability to employers that have indirect and reserved control over one or more of employees’ essential terms and conditions of employment. The proposed rule rescinds a 2020 final rule on the joint-employer standard, which required only substantial direct and immediate control over one or more of these essential terms. On November 29, 2022, the Office of Advocacy filed a comment letter to the Board on this proposed rule.

For more, read the public comment letter and fact sheet, which highlights Advocacy’s concerns and recommendations.