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Franchisee owners, sole proprietors, and independent contractors, now is the time to call your legislators and insist they vote to protect the way you make a living.
why? Because federal agencies are seeking regulatory workarounds to implement policies that Congress refused to enact, policies that threaten the right of franchisees and independent contractors to continue operating as they do today. is.
Related article: High-stakes battle over franchise future intensifies as NLRB joint employer rules face challenges
The Dangerous Right to Organize Act
The background you need to know begins with the bill that moderate Democrats in the U.S. Senate worked with Republicans to block. The bill was called the “Protecting the Right to Organize Act,” and it contained language that was extremely dangerous for franchise owners and sole proprietors. entrepreneur published the first ever series of political advocacy articles opposing this.
I wrote a series called “Campaign for Our Careers.” This was his award-winning look at his two most dangerous provisions of the PRO Act for franchises and independent contractors: the joint employer standard and his ABC test.
Related: As we all know, the new joint employer rule will devastate franchising. Here’s what you can do to protect your business:
Congressional Review Act (CRA)
The PRO Act failed to pass the government’s legislative branch, so the Biden administration is attempting to use the executive branch to impose similar policy changes. We need every possible member of Congress to co-sponsor the use of the Congressional Review Act (CRA) to overturn these executive actions.
Regarding the joint employer language, the CRA would override the National Labor Relations Board’s changes to the joint employer standard. The CRA has already passed the House on a bipartisan vote of 206-177, but it still awaits action in the Senate. In late February, the international franchising organization called on lawmakers to “kill co-employers once and for all.” Over 90 organizations support the CRA.
Regarding the independent contractor language, the U.S. Department of Labor acknowledges in the new regulations that there may be “conceptual overlap” with the sections of the ABC test that are most harmful to independent contractors. The U.S. Chamber of Commerce said, “The DOL’s argument that the regulations do not reflect the ABC test leaves much to be desired.” The Independent Contractor CRA was introduced in the House and Senate in early March with more than 70 co-sponsors, but it needs more participation in both chambers to move forward.
Federal lawsuits have been filed against both federal agencies in an attempt to block these policy changes through the courts. But given the speed at which the wheels of justice turn, it is important that Congress act.
RELATED: This new government rule threatens to disrupt the $825 billion U.S. franchise system
Contact a representative today
Of course, to get Congress to act, lawmakers need to hear from their constituents. Please call or email your representative and two senators. Call for co-sponsors using the Congressional Review Act to block both the National Labor Relations Board’s joint employer standard and the Department of Labor’s independent contractor rule.
To contact your Congressman, go here.
To contact your state’s two senators, go here.
Act now without delay. Both changes are scheduled to go into effect on March 11th, unless the courts or Congress intervene.
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