Surveys and reports from small business associations

NLRB Abandons Appeal of U.S. District Court's Joint-Employer Standard Ruling

Jul 19, 2024, 05:31 PM

The National Labor Relations Board (NLRB) has decided not to appeal the U.S. District Court for the Eastern District of Texas' ruling that struck down its joint-employer standard. This decision is seen as a significant victory for American workers, small businesses, and franchisees, who faced increased litigation and compliance challenges under the expansive joint-employer rule. The rule, which had been previously vetoed by the Biden administration despite bipartisan efforts to overturn it, will no longer be pursued. Lawmakers, including Rep. Virginia Foxx, Rep. Rick Allen, Rep. Tim Walberg, and Sen. Joe Manchin, have expressed their support for the NLRB's decision to withdraw the rule, emphasizing the relief it brings to small business owners and job creators. The NLRB's regulation had been struck down by a federal district court’s decision.