Greg Volynsky is a student at Harvard Law School.
In Todays News & Commentary, the NLRB yesterday issued its final rule for determining joint-employer status. The rule is the latest in a long saga.
In 1944, the Supreme Court decided in NLRB v. Hearst Publications that the NLRA includes independent contractors. Three years later, Congress adopted the Taft-Hartley Act, which excluded independent contractors from the definition of “employees” under the NLRA. The question remained, however, how to distinguish between independent contractors and employees.
In Boire v. The Greyhound Corporation (1964), the Supreme Court stated that determining whether employers “possess[] sufficient control over the work of the employees” to constitute joint employers was a factual inquiry for the Board. The following year, the Board held that joint employers “share, or codetermine, those matters governing essential terms and conditions of employment.” The Third Circuit adopted similar language in 1982.
For the subsequent three decades, the NLRB narrowed the criteria for joint-employer status. The Board assessed whether employers “meaningfully affect[]”employment terms and conditions, while setting aside unexercised authority to impact employment. Additionally, the control exerted needed to be direct and not merely “limited and routine.”
In 2015, the Board consciously departed from decades of Board precedent with Browning-Ferris. Here, the NLRB took into account both reserved and indirect control when determining joint-employer status. The D.C. Circuit subsequently upheld this broader Browning-Ferris standard.
In 2020, after failing to overturn Browning-Ferris via adjudication, the Trump Board promulgated a rule reverting to the narrower pre-Browning Ferris standard. However, two years later, the NLRB issued a Notice of Proposed Rulemaking, proposing to a return to the Obama-era rule. The NLRB published the final rule today. The new rule factors in both (1) authorized but unexercised control and (2) indirect control over employment conditions.
Daily News & Commentary
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March 26
Supreme Court hears oral argument in an FAA case; NLRB rules that Cemex does not impose an enforceable deadline for requesting an election; DOL proposes raising wage standards for H-1B workers.
March 25
UPS rescinded its driver buyout program; California court dismissed a whistleblower retaliation suit against Meta; EEOC announced $15 million settlement to resolve vaccine-related religious discrimination case.
March 24
The WNBPA unanimously votes to ratify the league’s new CBA; NYU professors begin striking; and a district court judge denies the government’s motion to dismiss a case challenging the Trump administration’s mass revocation of international student visas.
March 23
MSPB finds immigration judges removal protections unconstitutional, ICE deployed to airports.
March 22
Resurgence in salting among young activists; Michigan nurses strike; states experiment with policies supporting workers experiencing menopause.
March 20
Appeal to 9th Cir. over law allowing suit for impersonating union reps; Mass. judge denies motion to arbitrate drivers' claims; furloughed workers return to factory building MBTA trains.