3 Key Takeaways | Is Franchising Doomed? The 2024 Version
AGG Talks: Cross-Border Business - Navigating Inbound Franchising in the U.S.
One Month to More Effective Compliance on Business Ventures - Day 19 - Franchisor Compliance
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5 Key Takeaways | Franchising in the USA: Challenges for Latin American Brands
Is Franchising Doomed?
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6 Key Takeaways | National Labor Relations Board Issues New Final Rule on Joint Employers
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Before committing to a franchise business, consider...
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
Last year in a rare victory for the Department of Labor, the Fifth Circuit Court of Appeals rejected a claim by a Dairy Queen franchisee that the Fair Labor Standards Act prohibits DOL from establishing any minimum salary for...more
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
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
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
On July 29, 2021, the U.S. Department of Labor announced it is rescinding a final rule issued just last year (2020 Final Rule) that sought to clarify the standard for finding two separate entities to be “joint employers”...more
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
The Department of Labor (DOL) has issued a proposed rule to rescind a Trump administration joint-employer rule. The joint-employer rule attempted to treat companies, like McDonald’s and FedEx, as joint employers of franchise...more
It was predictable – even inevitable – that the Biden administration would reverse much of Trump’s labor oeuvre. But no one could have predicted how quickly! In a little more than a month, the administration has:...more
The one-two punch of state and federal employment standards activity poses an existential threat to franchising; many commentators, including this one, have acknowledged that fact. But why? Did the California legislature or...more
Change is coming, but will it be a welcome change or a harbinger of woe? Over the last 8 years or so, the ever-changing landscape of employment laws has arguably posed an existential threat to franchising. The franchise...more
For generations of small business owners franchising serves as a successful business model. Under this paradigm a franchisor grants a franchisee a license to use the franchisor’s trademark and business concept in exchange for...more
Despite recent setbacks, the U.S. Department of Labor (“DOL”) is continuing its efforts to clarify the standard for finding two separate entities to be “joint employers” under the Fair Labor Standards Act (“FLSA”). Under the...more
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
Hey, do you want to read an article not about COVID-19? Well, you are in luck, because in this virus-free issue of Wage Watch, we discuss only developments concerning the minimum wage, tips, and overtime that occurred in the...more
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
The National Labor Relations Board (NLRB/Board) recently issued a new rule effectively overturning an Obama-era precedent on joint employer status and making it harder to show that two companies are joint employers. In doing...more
Individual Examination into Effect of Alleged False "No Artificial Flavors" Label Necessary - In Marotto v. Kellogg Co., No. 18 Civ 3545, 2019 WL 6798290 (S.D. N.Y. Dec. 5, 2019), the court declined to certify a putative...more
Effective March 16, 2020, employers will be able to use a four-factor balancing test in determining joint employment status under the Fair Labor Standards Act (FLSA), based on the new final rule adopted by the Department of...more
The U.S. Department of Labor is still working to finalize the withdrawal of the 80/20 rule, which had forced employers to pay the full minimum wage to employees who spend more than 20 percent of their time on non-tipped work....more
A significant amount of legal activity has taken place recently in the area of joint employment. Joint employment exists when more than one entity is deemed to be a worker’s employer. Typically, a direct employer and a...more
As a follow up to its Notice of Proposed Rulemaking issued in April 2019, the US Department of Labor (DOL) announced on January 12, 2020, the issuance of a Final Rule to revise and clarify the standard for joint employment...more
If January's minimum wage, tip, and overtime developments forecast what employers should expect throughout the remainder of the year, it could be a challenging 2020....more
Seyfarth Synopsis: The third key trend from our 16th Annual Workplace Class Action Litigation Report involves governmental enforcement litigation, including an overview of priorities and filings by the EEOC, the U.S....more
On Thursday, January 16, 2020, the U.S. Department of Labor’s Wage and Hour Division (“WHD”) published in the Federal Register the much-anticipated Final Rule regarding joint employer status under the Fair Labor Standards...more