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Fight Joint Employer Changes with Congressional Review Act

March 7, 2024
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Opinions expressed by Entrepreneur contributors are their very own.

Consideration, franchise house owners, solopreneurs and impartial contractors: It is time to name your lawmakers and demand on their vote to guard the best way you earn a dwelling.

Why? As a result of federal businesses try regulatory workarounds to implement insurance policies that Congress refused to enact — insurance policies that threaten the fitting of franchises and impartial contractors to proceed working our companies as we do at the moment.

Associated: The NLRB’s Joint Employer Rule Faces a Barrage of Challenges, Fueling a Excessive-Stakes Battle Over the Way forward for Franchising

Harmful ‘Defending the Proper to Manage Act’

The background that you must know begins with a invoice that reasonable Democrats within the U.S. Senate joined with Republicans to dam. That invoice was known as the Defending the Proper to Manage Act, and it contained language so harmful for franchise house owners and solopreneurs that Entrepreneur revealed its first-ever sequence of political advocacy articles in opposition to it.

I wrote that sequence, known as the Marketing campaign for Our Careers. It was an award-winning take a look at the 2 most harmful provisions of the PRO Act for franchises and impartial contractors: the joint-employer customary and the ABC Take a look at.

Associated: The New Joint Employer Rule Will Crush Franchising As We Know It. This is What You Can Do to Defend Your Enterprise.

Congressional Overview Act (CRA)

Because the PRO Act could not get via the legislative department of presidency, the Biden administration has been attempting to make use of the manager department to impose comparable coverage adjustments. We want each doable lawmaker to co-sponsor using the Congressional Overview Act (CRA) to overturn these executive-branch strikes.

On the joint-employer language, the CRA would overturn adjustments to the joint-employer customary by the Nationwide Labor Relations Board. This CRA has already handed the Home of Representatives — in a bipartisan 206-177 vote — nevertheless it’s nonetheless awaiting motion within the Senate. The Worldwide Franchise Company urged lawmakers as of late February “to kill joint employer as soon as and for all.” Greater than 90 organizations have endorsed this CRA.

On the impartial contractor language, the U.S. Division of Labor acknowledges in its new rule that there could also be “conceptual overlap” with the ABC Take a look at’s most dangerous part to impartial contractors. The U.S. Chamber of Commerce says the “DOL’s declare that the regulation doesn’t mirror the ABC Take a look at leaves one thing to be desired.” The impartial contractor CRA was launched within the Home and Senate in early March with greater than 70 co-sponsors and wishes extra in each chambers to advance.

Federal lawsuits have been filed in opposition to each federal businesses, attempting to cease these coverage adjustments via the courts. However, given the snail’s tempo with which the wheels of justice can flip, it is necessary for Congress to behave.

Associated: This New Authorities Rule Threatens to Disrupt the $825 Billion U.S. Franchise System

Contact your representatives now

In fact, to get Congress to behave, lawmakers want to listen to from constituents. Name or e mail your member of the Home of Representatives and your two senators. Ask them to co-sponsor utilizing the Congressional Overview Act to cease each the Nationwide Labor Relations Board joint-employer customary and the Labor Division’s impartial contractor rule.

To contact your member of the Home of Representatives, go right here.

To contact your state’s two senators, go right here.

Act now, at once. Each these adjustments are scheduled to enter impact on March 11 except the courts or Congress step in.

Kim Kavin is one among a half-dozen freelance writers and editors who’ve sued the U.S. Division of Labor in two separate lawsuits via Pacific Authorized Basis and The Beacon Heart of Tennessee over the impartial contractor rule.



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