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Franchise Labor & Employment

Read need-to-know updates, commentary, and analysis on Franchise issues written by leading professionals.

2017 End of Year Plan Sponsor “To Do” List (Part 3) Executive Compensation

by Snell & Wilmer on

As 2017 comes to an end, we are happy to present our traditional End of Year Plan Sponsor “To Do” Lists. This year, we are publishing our “To Do” Lists in four separate Employee Benefits Updates. Part 1 covered year-end...more

Ready or Not, Here It Comes! 2018 Brings New Labor & Employment Laws, Primarily at the State Level

by Littler on

As we prepare to turn the calendar to 2018, employers look ahead to the next wave of labor and employment regulations. On January 1, 2018, and throughout the coming year, employers across the nation will confront a host of...more

House Passes Bill Limiting Joint-Employer Liability

by Ballard Spahr LLP on

The U.S. House of Representatives last week passed H.R. 3441—the Save Local Business Act—which, if enacted, would redefine the term "joint employer" under the National Labor Relations Act (NLRA) and the Fair Labor Standards...more

Passage of the Save Local Businesses Act in the House May Signal a Broader Rejection of Obama-Era Rules On Joint Employment

by Seyfarth Shaw LLP on

Seyfarth Synopsis: On November 7, 2017, the U.S. House of Representatives passed the Save Local Businesses Act. If passed by the Senate, the bill would overturn Obama-era decisions and agency guidance broadly defining and...more

New Australian employment law changes the game for Australian franchisors

by DLA Piper on

Australia has enacted a law with potentially far-reaching joint employer implications for both Australian and American franchisors. The Fair Work Amendment (Protecting Vulnerable Workers) Bill 2017 could cause many of the...more

Save Local Business Act Moves One Step Closer To Limiting Joint Employer Liability

by Fox Rothschild LLP on

The U.S. House Committee on Education and the Workforce recently approved the “Save Local Business Act” (HR 3441 – Byrne). If enacted, the Act would limit joint employer liability by reversing the rule announced by the NLRB...more

Workplace Now: The “Localization” of Employment Law – What you Don’t Know Can Hurt

by LeClairRyan on

It is no secret these days that many workforces, particularly over the last five years, are now subject to numerous state and municipal laws that seek to shape and regulate numerous areas of the workplace (many of which are...more

A Review of Recent Whistleblower Developments

by Foley & Lardner LLP on

...On July 25, 2017, the U.S. Securities and Exchange Commission (SEC) announced it was awarding nearly $2.5 million to a government employee who tipped off the SEC to a company’s wrongdoing. Although the SEC does not...more

Committee Approves Save Local Business Act – Redefining Joint Employer Liability

Wednesday, the U.S. House Committee on Education and the Workforce approved the “Save Local Business Act” (H.R. 3441 – Bryne), legislation that would amend the National Labor Relations Act and the Fair Labor Standards Act to...more

What is going on at the NLRB and Why Should You Care?

Why the NLRB is in the News - The National Labor Relations Board (NLRB or the Board), the federal agency responsible for enforcing the National Labor Relations Act (NLRA), was very active during the Obama administration in...more

FRANCHISOR 101: A Clean Sweep

by Lewitt Hackman on

A federal court recently held that under California law, cleaning services franchisor Jan-Pro Franchising International (Jan-Pro) was not the employer of its unit franchisees. The franchisee plaintiffs failed to show that...more

Federal Court Concludes Franchisor Was NOT Joint Employer

by Fox Rothschild LLP on

Another case has been decided adding to the back and forth in the legal world on the issues of a joint employer relationship of a franchisor and its franchisee and vicarious liability and agency between a franchisor and...more

Franchisor's Racial Animus Is Irrelevant in Determining Legality of Franchise Termination Under NJ Franchise Practices Act

by Pepper Hamilton LLP on

In a recent win for franchisor 7-Eleven, Inc., the U.S. Court of Appeals for the Third Circuit upheld a New Jersey district court’s ruling that 7-Eleven properly terminated its franchise agreements for cause based on the...more

Restoring Common Sense To Determining Who is a Tipped Employee. Case Summary: Marsh v. J Alexander’s

by Buchalter on

In Marsh v. J. Alexander’s, The Ninth Circuit issued a fundamentally important opinion supporting the hospitality industry nationwide. Specifically, the Ninth Circuit rejected the U.S. Department of Labor’s (“DOL”) disastrous...more

Workplace Relations Risks to Franchisors and Holding Companies Rise

by K&L Gates LLP on

The Federal Parliament this week passed the Fair Work Amendment (Protecting Vulnerable Workers) Act 2017 (the Act), with some last minute amendments agreed to by the Government. This new legislation marks a significant change...more

Joint Employment Standards

by Best Best & Krieger LLP on

The last few years have seen a number of attempts to revise well-established joint employer standards under both the National Labor Relations Act and the Fair Labor Standards Act. While many of the recent developments impact...more

Six Ways Franchisors Can Reduce Joint Employer Liability Risk

by Lewitt Hackman on

In January 2016, the National Labor Relations Board (NLRB) determined that indirect control or the reserved right to control, even if unexercised, could be sufficient grounds to find a joint employer relationship between a...more

DOL Withdraws Guidance Letters Leaving Employers to Pick up the Pieces

On June 7, 2017, the U.S. Secretary of Labor Alexander Acosta announced the withdrawal of the U.S. Department of Labor’s (“DOL”) guidance on independent contractors and joint employment issued during the Obama administration,...more

D.C. Circuit Rejects Labor Board Joint Employer Determination

by Littler on

On August 4, 2017, the U.S. Court of Appeals for the District of Columbia Circuit refused to enforce a holding by the National Labor Relations Board (Board) that the Cable News Network (CNN) was a joint employer. In the...more

The Employment Law Authority - July/August 2017

THE TIME IS RIGHT FOR . . . OSHA’S YEARLY SUMMER HEAT CAMPAIGN - On June 26, 2017, the Occupational Safety and Health Administration (OSHA) announced the return of its heat illness prevention campaign: Water. Rest. Shade....more

Save Local Business Act Would Clarify “Joint Employer” Liability Under FLSA and NLRA - Legislation Introduced in House of...

by Best Best & Krieger LLP on

The “Save Local Business Act” — recently introduced in the U.S. House of Representatives — would provide much-needed clarification on the circumstances under which an entity can be liable as a joint employer under two federal...more

No Union Protection for Employees “Sick” Over No Paid Absences

Can employees protest a company sick leave policy with an internet meme that suggests the company’s food is not safe? Not according to a recent Eighth Circuit decision. MikLin (doing business as Jimmy John’s in Minnesota)...more

FRANCHISOR 101: Manual Overload

by Lewitt Hackman on

A franchisor's investment in brand standards, protection and control often comes at a cost when a consumer believing or claiming to believe the franchisor and franchisee are the same, seeks to hold a franchisor liable for a...more

DOL Announces Intent to Rescind Rule Restricting the Allocation of Gratuities to Non-Tipped Employees When the Employer Does Not...

by Littler on

Restaurants, hotels, and other businesses that employ tipped workers have long wrestled with a seemingly simple, but actually intractable, question: who is entitled to receive a share of a guest’s gratuities? If an employer...more

The Department of Labor Changes Course on Tip-Pooling Restrictions

by FordHarrison on

Quite a bit of effort goes into making an enjoyable restaurant experience, such as good food, prompt service and, of course, cleanliness. Want to reward the dishwashers for providing you with spotless silverware, expediters...more

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