Civic Register
| 12.19.17

Trump Admin. Reverses Rule that Helped Workers Fight Chains

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What’s the story?

The GOP-controlled National Labor Relations Board (NLRB) overruled an Obama-era decision that gave workers significant leverage in challenging companies like hotel and fast-food chains over labor practices.

"Under the joint employer rule," the Journal Sentinel explained, “a company such as McDonald’s could be sued by workers employed by the chain’s franchisees for violating safety or other regulations even though the larger corporation had only indirect control over the employees.”

The NLRB’s 3-2 vote, along party lines, means that fast-food corporations are no longer considered "joint employers" with the franchise. It also allows companies to “fire a contractor or end a franchise arrangement if it suspects that workers are on the verge of unionizing,” the San Francisco Chronicle wrote.

Employer groups applauded the ruling. Cicely Simpson, executive vice president of the National Restaurant Association, said:

"Today’s decision restores years of established law and brings back clarity for restaurants and small businesses across the country."

But worker advocacy groups expressed their disappointment. Christie Owens, executive director of the National Employment Law Project, a worker advocacy group, said:

"[This ruling] "is just one more example of the Trump administration favoring corporations over working people."

What do you think?

Should franchise employees be able to unionize? Should they be able to hold their parent company responsible? Does this ruling favor "corporations over working people"? Or does it bring “back clarity for restaurants and small businesses”? Hit Take Action and tell your reps—then share your thoughts below.

—Josh Herman

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(Photo Credit: Fibonacci Blue via Flickr / Creative Commons)