NLRB joint employer rule frozen

In a case entitled Chamber of Commerce of USA v. NLRB, a federal court in Texas has struck the NLRB’s new joint employer rule. The court held that the NLRB’s new rule goes too far in that it permits evidence of indirect control alone to be sufficient to establish a joint employer relationship: “That would treat virtually every entity that contracts for labor as a joint employer because virtually every contract for third-party labor has terms that impact, at least indirectly, at least one of the specified ‘essential terms and conditions of employment.'”

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