Sorting out rules on joint employment: DOL, NLRB, EEOC all involved

Figuring out when a joint-employment arrangement exists can be like traveling a dusty, winding road. When will the dust settle, and where will the road go? Those questions haven't been completely answered. One answer became clear in January when the U.S. Department of Labor (DOL) announced its final rule on joint employment. But the National Labor Relations Board (NLRB) also is at work on the issue, and the Equal Employment Opportunity Commission (EEOC) is working on a rule. Here's a look at where the issue stands.

Background

Two or more employers sometimes share enough control over employees that they are considered joint employers under various employment laws. How joint employment is determined is of particular interest to employers in franchise relationships, those that use staffing agencies, and those that rely on subcontractors. Employers have seen the standards for joint employment go from employer-friendly to employee-friendly and back again in recent years.

Different agencies set standards for joint employment as it relates to the laws they deal with. The DOL's rule addresses joint employment as it relates to the Fair Labor Standards Act, the NLRB looks at how joint employment is treated under the National Labor Relations Act (NLRA), and the EEOC considers how joint employment affects federal equal employment opportunity (EEO) laws.

DOL's rule