NLRB’s Handling of Joint Employer Petitions: Fodder for Lawsuits (1)

The National Labor Relations Board’s alleged failure to disclose communications it had with business groups about changing its legal standard for joint liability under federal labor law could bolster legal challenges to an eventual final rule, according to administrative law scholars.

Business groups submitted rulemaking petitions to the NLRB that appear to have substantially affected the development of the agency’s joint employment proposal, the AFL-CIO said in a Dec. 7 filing. Those petitions included proposals and legal arguments for a new standard.

The NLRB’s legal framework for joint employment can be crucial for franchisers and companies that rely on contract ...