Hospitals Expected to Benefit From Joint Employer Proposal

Hospitals should benefit from a proposed rule that clarifies a muddy standard for determining employment status.

The National Labor Relations Board, which resolves employer-employee disputes, Sept. 14 made public a proposal to narrow the definition of “joint employer.” The current standard potentially obligates employers to provide protections mandated by state and federal law to workers who actually are employed by other companies.

Hospitals often have many such employees. For example, they hire staffing agencies to supplement clinical staff, like emergency room physicians and temporary nurses, and outside vendors to operate peripheral services, like cafeterias and housekeeping.

Franchising also is becoming ...