United States: NLRB amends rules for joint-employer status

The editorial team is offering you free access to this article
Start your free 1-month trial to access all our content

The NLRB (National Labor Relations Board, an independent agency of the United States government in charge of protecting the right of employees to unionise and investigating illegal practices in the workplace) published on Wednesday 26 February its final rule for joint-employer standards, which will come into force on April 27. To qualify as a joint employer under the final rule, a business must possess and exercise substantial direct and immediate control over one or more essential terms and conditions of employment of another employer’s employees. Indirect and/or contractually reserved control over essential employment terms are no longer sufficient for joint-employer status under the final rule, unless they entail substantial direct and immediate control, however evidence thereof may be taken into consideration for finding joint-employer status. This new rule restores the approach adopted by the NLRB prior to the decision regarding Browning-Ferris Industries of California Inc. (see article n°9216), which broadened the scope of the notion of joint employment, in particular by including franchise agreements. A joint employer under the National Labor Relations Act, which the NLRB upholds, may be obliged to negotiate with the union representing the workers of the direct employer, and each company is potentially liable for unfair labour practices committed by the other. In January, the US Department of Labor limited the definition of joint employment in the context of the Fair Labor Standards Act (FLSA), which guarantees the right to a minimum wage (see article n°11585).

Do you have information to share with us?
What you absolutely must read this week
The essential content of the week selected by the editorial team.
See all
Seven major companies offer training to raise awareness of domestic and sexual violence
L’Oréal, Engie, LVMH, Publicis, Accor and Orange are encouraging their staff to take part in the Safe Spaces training programme on domestic and sexual violence, developed by insurance...
10 November 2025
Romania: collective agreement extended to entire insurance sector
On 3 November, Romania’s National Tripartite Council for Social Dialogue approved the extension of the collective labour agreement signed on 23 May by the Confederation of Employers in the...
United Kingdom largely retained within scope of EWCs despite Brexit, study shows
A study published this month by the Institute for Economic and Social Research, the French trade union research organisation, examined how the involvement of British representatives in European...
Spain: government approves creation of ‘intern status’
The Spanish government has paved the way for the creation of a new status for "persons undergoing non-professional practical training in companies, institutions or public or private organisations...
Most viewed articles of the month on mind HR
What readers clicked on the most last month.
What readers clicked on the most last month.
1
Germany: pensioners in work already common practice, study shows
As the German government steps up measures to encourage people to stay in work beyond the legal retirement age, a new study by the Institute of Economic and Social Research (WSI) – an independent...
2
Spain: government approves creation of ‘intern status’
The Spanish government has paved the way for the creation of a new status for "persons undergoing non-professional practical training in companies, institutions or public or private organisations...
3
France: social conference on labour and pensions to proceed without main employers’ group
The preparatory meeting ahead of the social conference on labour and pensions, which is set to decide on the pension system model and the funding thereof, was held on 4 November at France's labour...
4
Luxembourg: two pension reform bills submitted to parliament
After lengthy negotiations with the social partners, in mid-October the Luxembourg government submitted two bills to parliament aimed at reforming the pension system to ensure its long-term...
5
Candice Guillot (Talan): “Our recruiters save just over 80 hours per year on administrative tasks thanks to AI”
Candice Guillot, group director of employee experience and HR performance at Talan (7,000 employees), outlines for mind RH her vision and strategy for introducing artificial intelligence at the...