Coalition of Franchisee Associations

December 11, 2024

Democrats Fail to Dominate NLRB

Senate votes out McFerran, considered to be the architect of Joint Employer

Under Trump, three of the five members of the NLRB could be Republicans.

5 comments:

Anonymous said...

The joint employer agenda would be detrimental to owners. Thankfully, the NOA has been very active in fighting it thru the NOA Legislative Engagement committee and its ties to the CFA, the FTC, and the Multistate Advisory firm. Cudos to the NOA!

Richard Adams said...

And kudos to the 77 million voters for putting pro-business people in charge for the next four years. If the Harris administration had gotten the job, by the end of 2025, there would be hundreds of unionized McDonald's stores and thousands of other unionized franchised locations.
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Anonymous said...

If Joint Employer was implemented, the company would simply pass the costs of its increased liability on to the Operators. Bad News

Richard Adams said...

Maybe I'm imagining things, but the economics of Joint Employer seems to me to be the least of the problems. McDonald's Operators already lament that they are treated like McOpCo managers. Imagine this - if McDonald's were liable for everything that happens in the stores they​ would have to be involved in hiring, personal matters of all kinds, performance reviews, wage decisions, employee safety, DEI-type decisions, and on and on. There would likely be constant conflict and litigation between the employees and corporate with the Owner/Operator an innocent ​victim. The Owner/Operator would have to run almost everything through corporate. And, corporate would have to have a constant presence in the restaurants. ​Since corporate would be liable for so much, the fi​eld people would no longer be making "suggestions"; they'd be giving orders, much like the McOpCo supervisor​s.
This is why people (like me) think that Joint-Employer would destroy franchising.
Y​ou're right in that corporate would pass on the costs but in terms of day to day business, a franchise store wouldn't be much different than a McOpCo.
.

Anonymous said...

Yes. Joint employer is worse for franchisors that are small, unlike MCD. MCD would have made it worse for its franchisees. NOA and CFA got it right.