Last week in a divide opinion the National Labor Relations Board decided the case of Browning-Ferris Industries of California, Inc., in which the Board announced a new standard for determining joint employer status under the National Labor Relations Act. The Board’s decision significantly broadens the definition of “employer” under the Act to include unrelated companies that might share some direct or even indirect control over each other’s workforce. This is particularly prudent to those employers who utilize contract or temporary labor, as many government contractors do.
As OFCCP (and EEOC) continually to focus on the relationship between employers and temporary labor (specifically the use of staffing agencies), this NLRB decision is just the latest reason why contractors need to investigate and understand their contracts with third-party employers and the resulting implications on the employer-employee relationship.
Members of the Jackson Lewis Labor and Preventive Practices Group have digested the opinion and prepared an article setting out in more detail the implications of this decision. They will also be presenting webinar on September 9th at 3 pm Eastern to discuss this latest development for employers and to provide practical tips for evaluating current employment relationships.