WASHINGTON, D.C. | February 25, 2020
Today, Republican Leader of the Education and Labor Committee, Rep. Virginia Foxx (R-NC), issued the following statement in support of the National Labor Relations Board’s (NLRB) final rule to update the standard for determining joint-employer status:
“After years of uncertainty created by the Obama-era NLRB, today’s final joint-employer rule will restore a reasonable interpretation of the National Labor Relations Act, and it will create clarity and increased opportunity for entrepreneurs and workers alike. As our economy continues to flourish under Republican pro-growth policies, I applaud the NLRB for finalizing this long-overdue rule, which will allow more Americans to pursue the American Dream free from unnecessary and burdensome union harassment and government red tape.”
Background: In 2015, the Obama-era NLRB overturned a clear and practical joint-employer standard that had stood for more than 30 years. The Obama NLRB’s broad and vague standard threatened the freedom of independent business owners, discouraged larger companies from contracting with smaller companies, and made it harder for entrepreneurs to achieve the American Dream of owning a small business. Committee Republicans have been vocal throughout the rulemaking process and have worked to pass legislative solutions to restore the commonsense understanding of what constitutes a joint employer.