The National Retail Federation (NRF) has welcomed the recent vote by the National Labour Relations Board (NLRB) to reverse a controversial 2015 Obama regime ruling, which contradicted long-followed guidelines that said a company had to have direct control over the actions of a subcontractor or franchisee’s employees in order to be a joint employer.

The expanded definition of a ‘joint employer’ adopted then had increased businesses’ exposure to lawsuits.

The NLRB voted 3-2 to reverse its 2015 ruling that waste management company Browning Ferris Industries could be considered a joint employer with Leadpoint Business Services, a staffing agency it subcontracted, even if it had only indirect or unexercised control over Leadpoint’s workers.

The latest vote overturned the Browning-Ferris ruling and reinstated the previous standard requiring direct control, an NRF press release said.

NRF is the world’s largest retail trade association, representing discount and department stores, home goods and specialty stores, main street merchants, grocers, wholesalers, chain restaurants and Internet retailers from the United States and more than 45 countries. (DS)

Fibre2Fashion News Desk – India

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