Supply Chain Optimization

Ambush At National Labor Review Board Hurts Companies Employing 3PL’s

The NLRB had historically defined an employer as somebody who could hire and fire workers.  The previous administration had “expannnnded” that definition to, for example, companies that employed 3P3PLs This was reversed when this administration put a majority on the NLRB.  Now, by ambushing a member of the majority – claiming a conflict of interest that is dubious, to say the least – we are back to the “expannnnded” view.  I say dubious because board members from businesses are conflicted at the NLRB because the deciding vote worked at a law firm that once worked for a subsidiary of one of the complainants.

 Union officials on NRLB are given a pass in similar circumstances.  The ambush means that more companies will be classified as “joint employers” of their franchisees’ workers and contract staff, subjecting these businesses to greater risk and stricter regulations.