Media Source: Law360
Law360 quoted Paul Millus in an article titled “McDonald's 'Joint Employer' Directive Goes Beyond Fast Food.” The article, published July 30th, discusses how The National Labor Relations Board general counsel's treatment of McDonald's Corp. as a 'joint employer' alongside its franchisees in dozens of unfair labor practices cases could have far-reaching implications.
The article stated: 'Paul Millus, of counsel with Meyer Suozzi English & Klein PC, said that the NLRB general counsel's determination was likely premised on the level of control McDonald's exerts over its franchisees.
And while the fast-food giant may be among the more controlling franchise operators — setting standards for its franchisee restaurants on appearance, food quality and business management, among other things — the general counsel's analysis would probably apply to other franchise businesses as well, since most require their franchisees to meet certain standards, Millus said.
“Quite frankly, they’re all in the same boat together,” he said.
Millus also noted that, while the general counsel's directive relates specifically to allegations of unfair labor practices, it may also have implications for union organizing efforts, something workers' groups seem to have had in mind with their push for McDonald's and similar companies to be deemed joint employers with their franchisees. The NLRB — if it adopts the general counsel's stance in the McDonald's case — could also consider franchise owners and their franchisees joint employers for the purposes of union elections and collective bargaining, Millus said.
“The joint employer theory has always been their argument, and it’s never really gotten traction until now,” he said.“
The full article can be read at Law360 (subscription required).