Judge Denies DOL’s Bid to Pause Joint Employer Litigation (1)

A federal appellate judge denied the U.S. Labor Department’s request to pause litigation over the Trump-era joint employer rule, throwing a curveball in the Biden administration’s efforts to unwind the business-friendly regulation.

Attorneys for DOL asked the U.S. Court of Appeals for the Second Circuit for a six-month delay of the administration’s May 7 deadline to file a brief in an appeal the agency originally pursued late in the Trump administration to defend the rule. That regulation, a top priority for franchise corporations, limited the scenarios in which a business shares liability with an affiliated company for wage violations.

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