Weathering a perfect storm: The evolution of the joint-employer inquiry and its implications post-COVID on the franchise industry 

July, 2024 - Thomas M. O

July 31, 2024

By: Thomas O'Connell

“It’s Monday, April 7, 2014. It is a cool, mostly cloudy morning at an independently owned and operated McDonald’s in Los Angeles, California. That day, two employees allegedly “engaged in concerted activities with other employees for the purposes of mutual aid and protection, by discussing a disciplinary incident with co-workers.” When this occurred, someone associated with the franchisee allegedly ended the shift of an employee three hours early and “conveyed to an employee that he or she was not allowed to discuss discipline with co-workers.” No other context was given.

Assuming the worst of these vague facts, the National Labor Relations Board would ordinarily order the franchisee to pay the employee three hours of lost wages and benefits (approximately $45 in 2014) and publicly post how it erred. That was not an option for this franchisee.”

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