NLRB Vacates Joint Employer Case; Returns to BFI Standard

The NLRB vacated the joint employer decision in Hy-Brand Industrial Contractors, Ltd., allowing employers to once again be named joint employers under the National Labor Relations Act if they have:

  • “Directly” exercised control over terms and conditions of employment;
  • “Indirectly” exercised control over terms and conditions of employment through an intermediary; or
  • “Reserved” authority to control terms and conditions of employment.

This is a return to the standard set in the in the 2015 Browning Ferris case. The decision was made in response to a memo from the NLRB Inspector General calling into question Board member Bill Emanuel’s participation in Hy-Brand, indicating he should have recused himself from the decision.

IEC will continue to work for clarity on this issue via legislation, in support of H.R. 3441, the Save Local Business Act.