News & Analysis as of

Department of Labor (DOL) Franchises Independent Contractors

Foley & Lardner LLP

DOL Alters Enforcement Position on Independent Contractors: What Does It Mean For Manufacturers and Franchisors?

Foley & Lardner LLP on

On May 1, 2025, the Wage and Hour Division (“WHD”) of the U.S. Department of Labor (“DOL”) issued a Field Assistance Bulletin stepping back from a restrictive independent contractor rule issued under the Biden...more

Hendershot Cowart P.C.

FTC Votes To Adopt Final Rule To Ban Non-Compete Agreements

Hendershot Cowart P.C. on

On April 23, 2024, the Federal Trade Commission (FTC) voted to publish the “Non-Compete Clause Rule” to ban employers from entering into non-compete clauses with workers on or after the effective date. The rule will be...more

McCarter & English, LLP

NLRB Establishes New Joint Employer Rule

McCarter & English, LLP on

The National Labor Relations Act (NLRA) governs private sector labor/management relations in the United States. Under the NLRA, employers have certain responsibilities and restrictions with regard to their employees,...more

Fox Rothschild LLP

NLRB Wants Employers to be Responsible for Contract, Franchise Workers

Fox Rothschild LLP on

In the latest of a string of decisions seemingly supporting President Biden’s claim of being the most pro-union president in history, the National Labor Relations Board (NLRB) this week issued its Final Rule on the Standard...more

Husch Blackwell LLP

NLRB Issues Final Rule on Joint-Employer Status

Husch Blackwell LLP on

On October 27, 2023, the National Labor Relations Board (NLRB) published its final rule on the standard for determining joint-employer status under the National Labor Relations Act, effective December 26, 2023. The new rule...more

Fox Rothschild LLP

Franchising Threat No. 3: Other State Legislation And Policies

Fox Rothschild LLP on

The California version of the ABC test is arguably the most hostile to franchising. Nonetheless, the risk is not confined to California. This is because the ABC employee classification test, with variations, has been...more

Roetzel & Andress

Department Of Labor Planning Enhanced Enforcement

Roetzel & Andress on

Not surprisingly, the U.S. Department of Labor’s Wage and Hour Division is looking to reverse many of the Trump administration’s employer-friendly initiatives and rules. Those reversals include: •Setting aside...more

Lathrop GPM

The Franchise Memorandum - Issue # 262

Lathrop GPM on

California Supreme Court Applies Independent Contractor Standard Retroactively; Does Not Reach Applicability to Franchises - The California Supreme Court has held that its Dynamex decision applies retroactively, answering...more

Polsinelli

Evolving Worker Classification Standards and the Future of Franchising

Polsinelli on

From a ballot measure in California, to a court decision in Massachusetts, to federal regulations proposed by the Department of Labor, several recent developments could impact whether a franchisor’s independent franchisees...more

Lewitt Hackman

Competing Tests: Employee or Independent Contractor? Saving the Franchise Model

Lewitt Hackman on

Download PDF Assembly Bill 5 took effect in California on January 1, 2020 and governs when a business can treat a worker as an employee as opposed to an independent contractor. Under AB5 and its “ABC” test, a hiring entity...more

Seyfarth Shaw LLP

Seyfarth Policy Matters Newsletter - February 2020 #3

Seyfarth Shaw LLP on

NLRB Issues Final Joint Employer Rule. On February 26, the NLRB published its final rule governing joint employer status under the National Labor Relations Act. ...more

Fisher Phillips

March Misclassification Madness: Misclassification Updates in the Gig Economy

Fisher Phillips on

Many of you likely have filled out your March Madness bracket, and are eagerly watching game after game hoping your bracket doesn’t bust. The gig misclassification game is experiencing a March Madness of its own. The debate...more

McAfee & Taft

Department of Labor withdraws joint employer guidance

McAfee & Taft on

A joint employer relationship can arise in circumstances where an individual performs work for two entities that share control over how that individual performs his/her work. Although joint employment relationships are most...more

Troutman Pepper Locke

September 2016 Independent Contractor Misclassification and Compliance News Update

Troutman Pepper Locke on

The past month’s judicial and administrative activity in the area of IC misclassification reflects the wide range of industries facing these types of claims: communications; cleaning services; transportation and delivery...more

Foley & Lardner LLP

New DOL Joint Employment Standards Affect Auto Employers

Foley & Lardner LLP on

Joint employer relationships are commonplace in the automotive industry. From auto makers that contract with other companies for parts to auto dealers that utilize franchise arrangements, the auto industry is reliant on joint...more

Skadden, Arps, Slate, Meagher & Flom LLP

"A New World for Joint Employers"

A recent trend in labor and employment law is the increase in entities found responsible as employers and the simultaneous expansion of the definition of employees. This is manifesting itself through a new test for joint...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

The Employment Law Authority - September/October 2015

On October 16, 2015, the U.S. Department of Homeland Security (DHS) released a notice of proposed rulemaking (NPRM) concerning new rules for extending the Optional Practical Training (OPT) program for international students...more

Epstein Becker & Green

Five Evolving Issues Confronting Employers in the Hospitality Industry

Epstein Becker & Green on

As the hospitality industry continues to grow and expand, one common goal is to provide all-inclusive experiences for visitors and patrons. Unfortunately, given the breadth of the goods and services offered to the public and...more

Bond Schoeneck & King PLLC

The Employment Expansion Trifecta: The Wage and Hour Division, The National Labor Relations Board, and . . . OSHA?

Perhaps it is the end of racing season in Saratoga, but the federal employment agencies are certainly looking to hit the trifecta against independent contractors, franchisors, parent companies, and similar entities under the...more

Troutman Pepper

January 2015 Independent Contractor Compliance and Misclassification Update

Troutman Pepper on

JANITORIAL FRANCHISE COMPANY SETTLES ITS APPEAL OF $4.8 MILLION JUDGMENT IN FAVOR OF MISCLASSIFIED CUSTODIANS. Coverall North America Inc. settled the independent contractor misclassification case filed against it by a class...more

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